ETF Landscape. Industry Highlights. January Phone:

ETF Landscape Industry Highlights January Deborah Fuhr, Managing Director Global Head of ETF Research and Implementation Strategy Phone: + 7668 76 Email: Deborah.Fuhr@blackrock.com

Table of contents I. Current ETF and ETP landscape ETFs/ETPs listed globally Global ETF and ETP asset growth 6 Global ETF and ETP providers 8 ETFs/ETPs listed in the United States United States ETF and ETP asset growth ETFs/ETPs listed in Europe European ETF and ETP asset growth 7 ETFs/ETPs listed in Asia Pacific (exjapan) 6 ETFs/ETPs listed in Japan 7 ETFs/ETPs listed in Latin America 75 ETFs/ETPs listed in Canada 78 Middle East and Africa ETF and ETP asset growth 8 II. Investment applications 8 Product overview 8 ETF/ETP toolbox 86 How and why ETFs are used 89 Growth in institutional users of ETFs 95 Coresatellite Fixed income index trading characteristics Commodity index comparison 7 Structures of ETFs and ETNs III. Appendix regulatory update 7 IV. ETF Landscape reports 9

ETFs and ETPs listed globally At the end of January, the global ETF industry had,5 ETFs with 5,7 listings and assets of US$,.6 Bn, from 8 providers on 7 exchanges around the world. This compares to,55 ETFs with,9 listings and assets of US$98. Bn from providers on exchanges at the end of January. We expect global in ETFs and ETPs to increase by annually over the next three years, taking the global ETF/ETP industry to approximately US$ trillion in by early. Considering ETFs separately, should reach US$ trillion globally by the end of, US$ trillion in the United States in and US$5 billion in Europe in. Taking ETFs and ETPs together, United States should reach US$ trillion in, with European reaching US$5 billion in. Anniversaries Assets 9 January marked the 8th anniversary of ETFs in the United States. 9 March will mark the st anniversary of the first ETF globally, which listed in Canada in 99. April will mark the th anniversary of ETFs in Europe. 7 August will mark the th anniversary of ETFs in Australia. YTD, assets have increased by.8 from US$,. Bn to US$,.6 Bn, which is less than the. increase in the MSCI World Index in US dollar terms. This compares to a 5. decrease in assets over the same period in. US$. Bn of net new assets went into ETFs/ETPs in January. US$. Bn net inflows went into equity ETFs/ETPs, of which US$6. Bn went into ETFs/ETPs tracking developed market indices while ETFs/ETPs tracking emerging market indices saw net outflows of US$. Bn. Fixed income ETFs/ETPs saw net inflows of US$. Bn, of which ETFs/ETPs providing high yield exposure saw US$. Bn net inflows and corporate bond ETFs/ETPs saw net inflows of US$.6 Bn. ETFs/ETPs with commodity exposure saw net outflows of US$. Bn, of which ETFs/ETPs with precious metals exposure saw US$. Bn net outflows while ETFs/ETPs providing exposure to agricultural commodities saw net inflows of US$. Bn.. Global flows approximated by combining United States and European flows. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX).

ETFs and ETPs listed globally (continued) Assets (continued) ETFs US$. Bn of net new assets went into ETFs/ETPs YTD compared to US$.9 Bn net outflows over the same period in. US$. Bn net new asset inflows went into equity ETFs/ETPs YTD, compared to US$6.9 Bn net outflows over the same period in. Net new asset flows into ETFs/ETPs tracking developed market equity indices were US$6. Bn YTD, compared to US$.6 Bn net outflows over the same period in and ETFs/ETPs tracking emerging market indices saw US$. Bn net outflows YTD compared to US$.8 Bn net inflows in the same period in. Fixed income ETF/ETP net new asset inflows were US$. Bn YTD, less than the US$. Bn net inflows over the same period in and net outflows from ETFs/ETPs with commodity exposure were US$. Bn YTD compared to net inflows of US$. Bn in the same period in. YTD, the number of ETFs have increased by.7 with new ETFs launched. This compares to a 5.5 increase in the number of ETFs over the same period in, when 8 new ETFs launched. There are currently plans to launch, new ETFs compared to 8 at the end of January. The top ETFs, out of,5, account for 6.8 of global ETF, while,55 ETFs have less than US$. Mn in assets,,7 ETFs have less than US$5. Mn in assets and 8 ETFs have less than US$. Mn in assets. Trading volume In January, the ETF average daily trading volume in US dollars increased by. to US$56.6 Bn compared to December. This compares to average daily trading volume of US$7.7 Bn in January. ETF providers Globally, ishares is the largest ETF provider in terms of both number of products and assets, 7 ETFs and US$579.7 Bn respectively, reflecting. market share; State Street Global Advisors is second with 6 ETFs, assets of US$99. Bn, and.9 market share; followed by Vanguard with 66 ETFs, assets of US$5.9 Bn and.5 market share; as at end of January. The top three ETF providers, out of 8, account for 69.8 of global ETF. This compares to 7. out of providers at the end of January.. Global flows approximated by combining United States and European flows. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX).

ETFs and ETPs listed globally (continued) ETF providers (continued) Two new providers have entered the industry in, launching their first ETFs, while 9 firms plan to launch their first ETF in the future. Exchanges YTD, the number of exchanges with official listings has increased from 6 to 7. Index providers MSCI ranks first in terms of and number of products tracking its benchmarks with assets of US$.8 Bn and 95 ETFs, while Standard & Poor s (S&P) ranks second with US$. Bn and ETFs, followed by Barclays Capital with US$.7 Bn and 8 ETFs. Mutual funds ETPs Globally, net sales of mutual funds (excluding ETFs) were minus US$.5 Bn, while net sales of ETFs were positive US$7. Bn during according to Strategic Insight. Additionally, there were,7 other Exchange Traded Products (ETPs) with,786 listings and assets of US$6. Bn from 56 providers on exchanges. This compares to 6 ETPs with 9 listings and assets of US$8.8 Bn from 8 providers on 9 exchanges at the end of January. ETFs and ETPs Combined, there were,57 products with 7,87 listings, assets of US$,98.9 Bn from 7 providers on 5 exchanges around the world. This compares to,675 products with,85 listings, assets of US$,.8 Bn from 7 providers on exchanges at the end of January.. ETPs are products that have similarities to ETFs in the way they trade and settle but they do not use an openend investment company structure. The use of other structures including grantor trusts, partnerships, notes and commodity pools by ETPs can create different tax and regulatory implications for investors when compared to ETFs which are funds. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX). 5

Global ETF and ETP asset growth Assets US$ Bn products,,,,5 8, 6,5, 5 Assets 99 99 995 996 997 998 999 ETF total $.8 $. $. $5. $8. $7.6 $9.6 $7. $.8 $.6 $. $9.8 5 $. 6 $565.6 7 $797. 8 $7. 9 $,6. $,. Jan $,.6 ETF equity $.8 $. $. $5. $8. $7.6 $9.6 $7. $.7 $7.5 $5.9 $86. $89.6 $56.5 $7. $596.8 $8.6 $,5.8 $,7. ETF fixed income $. $. $. $5.8 $. $. $5.8 $59.9 $. $67. $7. $. ETF commodity $. $. $. $.5 $. $. $6. $. $5.6 $5.7 $. ETP total $. $5. $.9 $. $6. $9. $5.9 $.5 $5.6 $6. $9.7 $7.6 $6. ETFs 9 8 8 6 6 7,7,59,9,6,5 ETPs 7 7 8 6 7 7 66 7,66,7 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 6

ETFs/ETPs listed by region Global United States Europe Japan Asia exjapan Latin America Canada Middle East & Africa Metric Jan YTD change () Jan YTD change () Jan YTD change () Jan YTD change () Jan YTD change () Jan YTD change () Jan YTD change () Jan YTD change () ETFs,.6.8 97..8 9.9.8.. 5.5. 9.7. 8... 7.6 ETFs,5.7 9.9,85. 8. 5.5 6. 57. 9. listings 5,7.6 9.9,88.9 8. 8.6 65.8 85. 9. providers 8.5 8..6 7. 6.7... exchanges 7...5..... ADV 56,59.. 5,58.7.,75.7..7.5 77.7...,9. 8. 8.7 8. ETPs Assets 6..7.5 5.6.5.5..8. 5.. 8.6 7. ETPs,7.7 9.7 5. 9.. 8. listings,786. 9.7,65. 9. 6... 9. providers 56.. 9.. 5.. exchanges.. 8.. 5.... Total Assets,98.9.,.8.9...5. 55.8. 9.7. 8...7 5. ETFs/ETPs,57.,.,68.9 89..9 6. 57. 57. listings 7,87.,.,97... 88.6 9. 58. providers 7. 5. 5. 9. 66.5... exchanges 5....... 6. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 7

Top 5 ETF providers around the world: ranked by Provider ishares ETFs 7 $579.7 Jan total. planned 5 ETFs ETFs. YTD change $.. market share.7 State Street Global Advisors 6 $99..9 5.7 $8.7.6. Vanguard 66 $5.9.5.5 $... Lyxor Asset Management 58 $5.5.. $... db xtrackers 8 $5..7.6 $.9.8. PowerShares $6..5 9. $.6 8.. ProShares $..7 99. $.5.5. Van Eck Associates Corp 9 $9.. 5. $.8.. Nomura Asset Management $5.8.. $.6.6. Credit Suisse Asset Management 5 $5.7.. $... Bank of New York $.9.9. $..9. Zurich Cantonal Bank 7 $..8. $.6.9. WisdomTree Investments 5 $..8 7. $..6. Commerzbank 9 $8.9.7. $... Amundi ETF 9 $7.9.6. $.8.6. HSBC/Hang Seng 9 $7.8.6 9.8 $. 6.. ETFlab Investment 5 $7..5 5. $. 5.. Nikko Asset Management 7 $6.9.5. $..6. UBS Global Asset Management $6.9.5 6.9 $..5. Direxion Shares 9 $6..5 7. $... Daiwa Asset Management $6..5. $.8.. First Trust Advisors $6.. 6. $.5.. Source Markets 57 $5.9. 6.8 $. 9.5. EasyETF 9 $5.9.. $. 5.6. Claymore Investments 9 $5.6. 6. $..7. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 8

Global ETF assets by type of exposure Jan YTD change Exposure ETFs total ETFs Equity,99 $,7. 8.5 $.5.9 North America 585 $5.6 Emerging markets $7.6 Europe 9 $8..8 7. 9.6 Asia Pacific 8 $8. 6. $.. Europe equity 9.6 Global (exus) 7 $66..9 $..5 Asia Pacific equity 6. Global (exus) equity.9 Global $6.8. $.. Commodities. Fixed income 87 $. 5.8 $.. Global equity. Fixed income all (excash) 66 $.5 Fixed income cash (money market) $7.8 5..6 5 $. $. $6.8 9 $.7 $. Commodities 5 $.. 5 $.6.5 Alternative 7 $.. $. 6... 5.6.8 5. North America equity.8 Emerging markets equity 7. Fixed income all (excash) 5. Fixed income cash (money market).6 Alternative. Currency. Mixed. Currency 5 $.6. $. 6.8 Mixed 8 $.. $.. Total,5 $,.6. $..8 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 9

Global ETF/ETP net new assets by type of exposure Exposure ETFs /ETPs ADV Jan Assets Nov NNA YTD NNA Equity,585 5,6.5 966,.8,8.,8. 6,5.7 69,99. Developed markets,7,989. 78,8.5 6,9. 6,9. 6,.6,59. North America 56 9,6.9 59,6.5,5.7,5.7,795.,58. Asia Pacific 86 67.9 5,569. 95.8 95.8,9.6,87.8 EMEA 96,65. 8,.,5.,5. 8,665. 9,7.7 Global 7.5 6,76.7 75.7 75.7,56.6 6,5. Global (exus) 7,6.6 6,6.8,9.8,9.8,69.7 69. Emerging markets 8 7,7.5 8,5. (,.) (,.),.,5.9 Broad 68,99.9,9. (5,6.6) (5,6.6),996.,56. Regional 67.9 8,7.5 (7.9) (7.9),5.,79.5 Country 7,988.8 6,.8,6.,6. 7,88.6,96.6 Brazil 9,6.5 6,8.,5.8,5.8,8.,56.8 Chile 5. 965.8 5.6 5.6 58. 5. China 657.6,9. (687.9) (687.9) (,85.),5. Colombia. 6. (6.) (6.) 58. 5. Egypt.5 7. 7.6 7.6 (.) (5.) Hungary 7.6 (.5) (.5) (.6) (.) India 5 76.9 5,997.6 (98.) (98.),699.,9.9 Indonesia.6 6. 69. 69. 6.7 67.5 Kuwait 5.8.6.5 Malaysia 7.8,7. 5. 5..8 7. Mexico 5 5.5,6.6 (.5) (.5).. Peru 5. 55.8.7.7 99.8 96. Philippines.8 7.9.5.5 6. Poland. 6.8.. 9.8 7. Russia 9.6 5,775.8 585.7 585.7,9.7 55.9 South Africa 6 9.,7.7 86.9 86.9. 8.7 South Korea 7 9.6 5,79.9.. 85.7 9.9 Taiwan 7 66.,55.9.8.8 (96.),. Thailand 6. 568. (6.6) (6.6) 8. 69. Turkey 67.,7. (7.6) (7.6) 56.6 8. UAE (.) 7. Vietnam. 76.6 8. 8. 57. 5.8 NNA 9 NNA continued Note: Global ETF/ETP data approximated by combining United States and European data. NNA Net New Assets. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX).

Global ETF/ETP net new assets by type of exposure (continued) Jan Exposure ETFs /ETPs ADV Assets NNA YTD NNA Fixed income,7.6 97,9.,.,. 7,7.6 5,55. Broad. 6... 6.5. Active 6 8. 9. 9.5 9.5 798.7 8.8 Aggregate 7. 9,98. 5. 5. 5,9. 8,6.7 Corporate 7. 7,67.6 577. 577. 7,5.6 5,.5 Convertible 9.7 6.8 86. 86. 7.7. Covered 8.6,9.7 7. 7. 6. 8. Credit spreads. 95.5 (5.) (9.) Government 85,9. 66,5.8.8.8 5,.,9. High yield.5 6,8.7,5.,5. 6,85.,9. Inflation. 6,8. 5.9 5.9 78.,55.6 Money market 69. 7,9. 7.9 7.9 (999.) (,58.) Mortgage.,5... 5.6,5. Municipal 7 78.6 7,7. (8.) (8.),7.7,57.6 Commodities 6 5,9. 66,95.5 (,.8) (,.8),69. 6,9.7 Broad 96 9.9,7.7 799. 799.,5. 7,9. Agriculture.,9.7,.7,.7 (8.9),.8 Energy 575.,.6 (5.) (5.) (.) 7,89. Industrial metals 96 7.7,55.5.7.7 75.,.5 Livestock.5 7. 5.6 5.6 (.) 8. Precious metals,99.8 5,99.7 (,7.) (,7.) 9,95. 5,96.8 Currency 7.9 6,76... (,85.),5.6 Alternative 5.,. 8. 8.,6.,57. Mixed 7 9.5,8. 58. 58. 77.. Total,7 6,,,99.,8.,8. 69,55. 76,7. NNA 9 NNA Note: Global ETF/ETP data approximated by combining United States and European data. NNA Net New Assets. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX).

Global inverse and leveraged ETF assets by type of exposure Exposure Inverse Equity North America Europe Emerging markets Global (exus) Asia Pacific Fixed income Commodities Alternative Leveraged Equity North America Europe Emerging markets Global (exus) Asia Pacific Fixed income Commodities Currency Alternative Leveraged inverse Equity North America Europe Emerging markets Global (exus) Asia Pacific Fixed income Commodities Currency Total Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. ETFs 8 58 7 6 97 5 8 6 8 8 8 7 98 total listings 9 67 8 8 7 58 99 8 7 89 6 9 8 65 68 56 59 Jan $7.7 $5. $.8 $. $. $. $. $. $. $. $.8 $.7 $.5 $. $.8 $. $. $. $. $. $. $6.7 $9. $7. $.5 $.5 $. $. $6.8 $.5 $. $9. total 9.5.5 7. 5.... 6... 7.9.9 6.7 6......7...6.8 8.5.8... 7.... ETFs 6 5 5 6 total listings 8 7 7 7 7 5 6 6 YTD change $. $. $. $. $. $. $. $. $. $. $.8 $.5 $. $. $. $. $. $. $. $. $. $.9 $.5 $. $. $. $. $. $. $. $. $..6.8.5 5... 5.5..8. 5..5...6 5.7.9. 5.6 67.9. 5.8 5..5. 6..9.. 85.9 6.. total...... 5.8...8.5.8............. 6.9.6.

Index providers worldwide: ranked by Jan YTD change Index provider MSCI S&P Barclays Capital Russell FTSE STOXX Dow Jones Markit NASDAQ OMX Deutsche Boerse Topix Hang Seng NYSE Euronext Nikkei EuroMTS SIX Swiss Exchange WisdomTree PCBond Grupo Bolsa SSE Indxis Structured Solutions CSI Intellidex BNY Mellon Morningstar SNetwork ISE Zacks Other Total ETFs 95 8 7 6 5 6 5 5 9 9 7 5 8 6 6 6 6 6 5 78,5 $.8 $. $.7 $8. $55. $5. $5. $6. $5. $.6 $6.5 $5.5 $5. $.9 $9.5 $8.6 $8.5 $7.6 $7. $7. $6.5 $5. $. $.9 $. $. $.8 $. $.9 $8.6 $,.6 total 5.. 8.5 6...9.8..6.6.....7.6.6.6.5.5.5........ 6.. ETFs 5 5 7 $. $. $.5 $. $. $.7 $.8 $.9 $.6 $.5 $. $. $. $.8 $. $. $. $. $. $.6 $.8 $. $. $. $. $. $. $. $. $.9 $..9...5. 7.6 6..9.5 7.9.. 7.6 5..9.7..9 5. 8.7. 6.9 5...8.9 8.....8 MSCI 5. S&P. Barclays Capital 8.5 Russell 6. FTSE. STOXX.9 Dow Jones.8 Markit. NASDAQ OMX.6 Deutsche Boerse.6 Topix. Hang Seng. NYSE Euronext. Nikkei. EuroMTS.7 SIX Swiss Exchange.6 WisdomTree.6 PCBond.6 Grupo Bolsa.5 SSE.5 Indxis.5 Structured Solutions. CSI. Intellidex. BNY Mellon. Morningstar. SNetwork. ISE. Zacks. Other 6. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg.

Top ETFs worldwide Ranked by Assets Under Management () Ranked by US$ Average Daily Trading Volumes (ADV) ETF Country listed Bloomberg ticker ADV ( shares) ADV ETF Country listed Bloomberg ticker ADV ADV ( shares) SPDR S&P 5 US SPY US $9,96.6, $6,85. SPDR S&P 5 US SPY US $6,85., $9,96.6 Vanguard Emerging Markets US VWO US $,77.,979 $76. ishares Russell Index Fund US IWM US $,87.5 9,7 $5,55. ishares MSCI Emerging Markets Index Fund US EEM US $9,.9 6, $,88. PowerShares QQQ Trust US QQQQ US $,59. 55,9 $5,58.8 ishares MSCI EAFE Index Fund US EFA US $7,96.5, $8.9 ishares MSCI Emerging Markets US EEM US $,88. 6, $9,.9 ishares S&P 5 Index Fund US IVV US $7,7.,8 $. Financial Select Sector SPDR Fund US XLF US $,7. 68,88 $8,8.9 PowerShares QQQ Trust US QQQQ US $5,58.8 55,9 $,59. ishares MSCI Brazil Index Fund US EWZ US $,7.5,98 $,57. ishares Barclays TIPS Bond Fund US TIP US $9,86. 7 $76. ishares Barclays + Year Treasury US TLT US $96.5,8 $,65. Vanguard Total Stock Market ETF US VTI US $7,78.5,89 $. Energy Select Sector SPDR Fund US XLE US $9.6, $8,695.6 ishares Russell Index Fund US IWM US $5,55. 9,7 $,87.5 SPDR Dow Jones Industrial Average ETF US DIA US $9. 7,78 $,5.5 ishares iboxx $ Investment Grade Corporate US LQD US $,78., $.9 ishares MSCI EAFE Index Fund US EFA US $8.9, $7,96.5 ishares Russell Growth Index Fund US IWF US $,97.7,7 $9. Vanguard Emerging Markets US VWO US $76.,979 $,77. ishares MSCI Brazil Index Fund US EWZ US $,57.,98 $,7.5 Direxion Daily Financial Bull x Shares US FAS US $688.7, $,78.6 S&P MidCap SPDR US MDY US $,858.6,9 $57.6 Market Vectors Gold Miners US GDX US $586.,5 $6,76.7 ishares Russell Value Index Fund US IWD US $,.9, $5. ishares FTSE China 5 Index Fund US FXI US $57., $7,.7 ishares Barclays Aggregate Bond Fund US AGG US $,. 75 $79.5 ProShares UltraShort + Year Treasury US TBT US $56.7,59 $5,59.5 ishares S&P/TSX 6 Index Fund Canada XIU CN $,5. 5,8 $8.7 Direxion Daily Small Cap Bull x Shares US TNA US $55. 7,5 $6. SPDR Dow Jones Industrial Average ETF US DIA US $,5.5 7,78 $9. S&P MidCap SPDR US MDY US $57.6,9 $,858.6 ishares S&P MidCap Index Fund US IJH US $9,796. 8 $77.6 ProShares UltraShort S&P5 US SDS US $5.6,9 $,. Vanguard Total Bond Market ETF US BND US $9,. 8 $65. ProShares Ultra S&P5 US SSO US $7.7 9,55 $,59. Lyxor Euro STOXX 5 France MSE FP $9,.,6 $.9 ishares S&P 5 Index Fund US IVV US $.,8 $7,7. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg.

Global ETF listings Americas Country 5 EMEA 6 78 9 5 6 7 8 9 5 6 7 8 Brazil Canada Chile Mexico Country United States Austria Belgium Finland France Germany Greece Hungary Ireland Italy Netherlands Norway Poland Portugal Russia Saudi Arabia Slovenia South Africa Spain Sweden Switzerland Turkey United Arab Emirates United Kingdom primary listings 7 57 9 9 primary listings 59 9 6 6 5 9 total listings 7 85 5 8 9 total listings 8,9 5 6 6 6 68 8 6 685 providers 8 providers 9 8 7 5 9 US$ Bn.8 8. 7.9 97. US$ Bn... 6.9.9....6..7........9 7.5.. 68.6 Country Australia Hong Kong Note: Providers = primary ETF providers. = Assets Under Management in primary listings only. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. China India 5 primary listings 9 8 6 total listings 8 7 6 providers 6 7 8 9 7 US$ Bn.8.6 6.8. Indonesia. Taiwan 7.9 Japan 8 8 7. Thailand. 8 6 9 5 7 6 5 6 7 Asia Pacific Asia Pacific (continued) 9 8 Country 5 6 7 8 8 Malaysia New Zealand Singapore South Korea 5 7 primary listings 6 65 9 8 total listings 5 6 7 65 9 providers 8 6 US$ Bn... 5.7 5

Top 5 ETP providers around the world: ranked by assets Provider State Street Global Advisors ETPs Assets $5.5 Jan total. planned ETPs ETPs. YTD change Assets $6. assets. market share. ETF Securities 8 $..8 9.5 $..6. ishares $6. 9.8. $...8 Deutsche Bank 6 $. 8. 5. $.6 5..7 Barclays (ipath) 6 $8.7 5..6 $... Merrill Lynch 7 $.9.. $..7. United States Commodity Funds 9 $.9.. $... Societe Generale $..6. $..9. UBS AG 8 $.5.. $. 7.. Rydex SGI 9 $.5.5. $..8. JPMorgan Chase $... $... ProShares $.. 8 6.7 $. 7.5. Absa Capital $... $. 6.5. Swedish Export Credit Corp 7 $.5.9. $..5. db ETC $..7. $... Source Markets 8 $..7. $... GreenHaven Commodity Services $.6.. $... Benchmark Asset Management $... $..5. Credit Suisse $... $..5. RBS $.. 5. $... Lyxor $... $..8. Morgan Stanley $... $. 7.8. Nomura Asset Management $... $. 7.. Mitsubishi UFJ Trust and Banking Corporation $... $... UTI Asset Management $... $. 5.7. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 6

Top ETPs worldwide Ranked by assets Ranked by US$ Average Daily Trading Volumes (ADV) ETP Country listed Bloomberg ticker Assets ADV ( shares) ADV ETP Country listed Bloomberg ticker ADV ADV ( shares) Assets SPDR Gold Trust US GLD US $5,9.5 7,65 $,9.7 SPDR Gold Trust US GLD US $,9.7 7,65 $5,9.5 ishares Silver Trust US SLV US $9,77.7 7,588 $755.7 Oil Services HOLDRS US OIH US $89. 5,58 $,6.5 PowerShares DB Commodity Index US DBC US $5,8.8,766 $78.9 ishares Silver Trust US SLV US $755.7 7,588 $9,77.7 ETFS Physical Gold UK PHAU LN $5,7. 95 $8.6 ipath S&P 5 VIX ShortTerm Futures ETN US VXX US $5. 6,6 $,7.8 GBS Bullion Securities UK GBS LN $,998.8 77 $.9 United States Oil Fund LP US USO US $.6,95 $,8.6 ishares Gold Trust US IAU US $,7. 6,5 $8.7 Semiconductor HOLDRS US SMH US $.8 6,6 $75. PowerShares DB Agriculture Fund US DBA US $,8.,85 $96. Euro Currency Trust US FXE US $88.9,85 $75. ipath Dow JonesUBS Commodity Index TR US DJP US $,989. 8 $.9 United States Natural Gas Fund LP US UNG US $59. 6,6 $,8. Oil Services HOLDRS US OIH US $,6.5 5,58 $89. ProShares Ultra Silver US AGQ US $5.9,7 $. United States Natural Gas Fund LP US UNG US $,8. 6,6 $59. Retail HOLDRS US RTH US $7.,6 $6. JPMorgan Alerian MLP Index ETN US AMJ US $,6.9,6 $.7 PowerShares DB Agriculture Fund US DBA US $96.,85 $,8. NewGold ETF South Africa GLD SJ $,66.8 9 $.5 ishares Gold Trust US IAU US $8.7 6,5 $,7. United States Oil Fund LP US USO US $,8.6,95 $.6 PowerShares DB Commodity Index US DBC US $78.9,766 $5,8.8 ishares S&P GSCI CommodityIndexed Trust US GSG US $,85. 6 $6. PowerShares DB US Dollar Index US UUP US $76., $9.6 ipath S&P 5 VIX ShortTerm Futures ETN US VXX US $,7.8 6,6 $5. ProShares Ultra DJUBS Crude Oil US UCO US $7.7 5,8 $78.8 ETFS Agriculture DJUBSCI UK AIGA LN $,.6 858 $8. ProShares UltraShort Silver US ZSL US $5.,6 $77.7 ETFS Physical Swiss Gold Shares US SGOL US $,78.7 $7. JPMorgan Alerian MLP Index ETN US AMJ US $.7,6 $,6.9 PowerShares DB US Dollar Index Bullish Fund US UUP US $9.6, $76. ipath S&P 5 VIX MidTerm Futures ETN US VXZ US $. 689 $7.9 ETFS Physical Palladium Shares US PALL US $9. 96 $. ETFS Physical Gold UK PHAU LN $8.6 95 $5,7. ipath MSCI India ETN US INP US $899.5 6 $.9 Regional Bank HOLDRS US RKH US $8. 7 $7. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 7

Global ETP listings Americas Country Canada Mexico United States primary listings 9 total listings 9 providers Assets US$ Bn.5 5 6 9 8 7 6 8 5 9 7 EMEA Country 9 5 6 7 8 Botswana France Germany Israel Italy Netherlands South Africa Switzerland United Arab Emirates United Kingdom primary listings 9 7 6 total listings 6 8 85 7 5 providers 6 7 5 Assets US$ Bn..5 6.... 5.7 Asia Pacific Asia Pacific (continued) Country 5 6 Australia Hong Kong India primary listings 5 6 total listings 5 7 providers Assets US$ Bn.6..7 Country 7 8 9 Japan Singapore South Korea primary listings 9 total listings 9 providers Assets US$ Bn.. Note: Providers = primary ETP providers. Assets = Assets Under Management in primary listings only. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 8

Top 5 ETF/ETP providers around the world: ranked by assets Provider ishares State Street Global Advisors Vanguard PowerShares/Deutsche Bank Lyxor Asset Management db xtrackers/db ETC ETF Securities ProShares Van Eck Associates Corp Nomura Asset Management Credit Suisse Asset Management Bank of New York Zurich Cantonal Bank WisdomTree Investments Commerzbank Barclays (ipath) Amundi ETF HSBC/Hang Seng Rydex SGI ETFlab Investment Source Markets Nikko Asset Management UBS Global Asset Management Direxion Shares Daiwa Asset Management ETFs/ ETPs 78 7 66 6 58 9 5 5 7 5 9 6 9 5 85 7 9 Assets $595.8 $5.8 $5.9 $59.6 $5.5 $5. $5. $. $9. $6. $5.7 $.9 $. $. $8.9 $8.7 $7.9 $7.9 $7.7 $7. $7. $6.9 $6.9 $6. $6. Jan total 9.7 6.8...6..7.6....8.7.7.6.6.5.5.5.5.5.5.5.. planned 7 5 5 5 7 5 7 9 9 5 6 7 ETFs/ ETPs ETFs/ ETPs..6.5...5..8........6...... 6.9.. YTD change Assets $. $.7 $. $. $. $.9 $. $.7 $.8 $.6 $. $. $.6 $. $. $. $.8 $. $. $. $.8 $. $. $. $.8 assets... 7.7..7....7..9.9.6...6 5.9.8 5..7.6.5.. market share.5........................ Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 9

ETFs and ETPs listed in the United States At the end of January, the ETF industry in the United States had 9 ETFs and assets of US$97. Bn, from 8 providers on two exchanges. This compares to 79 ETFs and assets of US$665. Bn, from 8 providers on two exchanges at the end of January. 9 January marked the 8th anniversary of ETFs in the United States. Assets YTD, assets have increased by.8 from US$89. Bn to US$97. Bn, which is less than the. increase in the MSCI US Index in US dollar terms. This compares to a 5.7 decrease in assets over the same period in. US$. Bn of net new assets went into United States listed ETFs/ETPs in January. US$8.6 Bn net inflows went into equity ETFs/ETPs, of which US$.6 Bn went into ETFs/ETPs tracking North American indices, while ETFs/ETPs tracking emerging market indices saw net outflows of US$.8 Bn. Fixed income ETFs/ETPs saw net inflows of US$.8 Bn, of which US$. Bn went into high yield bond ETFs/ETPs and US$.8 Bn into government bond ETFs/ETPs. Commodity ETFs/ETPs experienced US$.7 Bn net outflows, of which precious metals ETFs/ETPs saw net outflows of US$.5 Bn, while US$. Bn net inflows went into agricultural commodity ETFs/ETPs in January. YTD, US$. Bn net new asset flows went into United States listed ETFs/ETPs compared to US$7. Bn net outflows over the same period in. Net new asset flows into ETFs/ETPs tracking North American indices were US$.6 Bn YTD compared to US$.6 Bn net outflows over the same period in and net outflows from emerging market indices were US$.8 Bn YTD, greater than the US$.5 Bn net outflows over the same period in. Fixed income ETF/ETP net inflows were US$.8 Bn YTD, less than the US$. Bn net inflows over the same period in, and net outflows from commodity ETFs/ETPs were US$.7 Bn YTD, greater than the US$.5 Bn net outflows over the same period in. ETFs YTD, the number of ETFs have increased by.9 with 7 new ETFs launched. This compares to a.5 increase in the number of ETFs over the same period in, when 9 new ETFs launched. The top ETFs, out of 9, account for 8. of United States ETF, while 66 ETFs have less than US$. Mn in assets, 7 ETFs have less than US$5. Mn in assets and 5 ETFs have less than US$. Mn in assets. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX).

ETFs and ETPs listed in the United States (continued) Trading volume In January, the ETF average daily trading volume in US dollars increased by. to US$5. Bn, compared to December. This compares to average daily trading volume of US$65.6 Bn in January. In January, United States ETF turnover was.5 of all United States equity turnover, which is less than the.6 reported in December. ETF providers ishares is the largest ETF provider in terms of both number of products and assets, 6 ETFs and US$. Bn respectively, reflecting 7. market share; State Street Global Advisors is second with 95 ETFs, assets of US$85.6 Bn and.5 market share; followed by Vanguard with 6 ETFs, assets of US$5.7 Bn and 6.8 market share; as at the end of January. Of the US$. Bn of net new assets in United States listed ETFs in January, State Street Global Advisors gathered the largest net inflows with US$5. Bn, followed by Vanguard with US$. Bn net inflows, while ishares saw US$. Bn net outflows. The top three ETF providers, out of 8, account for 8.7 of United States ETF. This compares to 85.6 out of 8 providers at the end of January. 7 firms in the United States plan to launch their first ETF in the future. Mutual funds During, according to Strategic Insight, net sales of mutual funds (excluding ETFs) were minus US$7.6 Bn in the United States, while net sales of ETFs domiciled in the United States were positive US$. Bn. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX).

ETFs and ETPs listed in the United States (continued) ETPs Additionally, there were 9 other Exchange Traded Products (ETPs) with assets of US$.5 Bn from providers on one exchange. This compares to ETPs with assets of US$8.7 Bn from 7 providers on one exchange at the end of January. ETFs and ETPs Assets in United States listed ETFs and ETPs crossed the US$ trillion milestone in December. Combined, there were, products with assets of US$,.8 Bn, from 5 providers on two exchanges in the United States. This compares to 95 products with assets of US$75. Bn from providers on two exchanges at the end of January.. ETPs are products that have similarities to ETFs in the way they trade and settle but they do not use an openend investment company structure. The use of other structures including grantor trusts, partnerships, notes and commodity pools by ETPs can create different tax and regulatory implications for investors when compared to ETFs which are funds. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX).

United States ETF and ETP asset growth Assets products,, 9 9 8 8 7 7 6 6 5 5 Assets 99 99 995 996 997 998 999 5 6 7 8 9 Jan ETF assets $.5 $. $. $. $6.7 $5.6 $.9 $65.6 $8.6 $. $5.7 $7.7 $99. $6.8 $58.7 $97. $75.5 $89. $97. ETP assets $. $5. $.8 $. $6. $8.9 $. $5.9 $.5 $5. $88. $. $.5 ETFs 9 9 9 8 7 5 6 698 77 896 9 ETPs 7 7 7 7 7 7 6 85 9 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg.

ETF providers in the United States: ranked by Provider ishares State Street Global Advisors Vanguard PowerShares ProShares Van Eck Associates Corp Bank of New York WisdomTree Investments Direxion Shares First Trust Advisors Rydex SGI Guggenheim Funds Charles Schwab Investment Management PIMCO Global X Funds ALPS ETF Trust RevenueShares Emerging Global Advisors IndexIQ Advisors Fidelity Management & Research AdvisorShares Jefferies Asset Management DBX Strategic Advisors Grail Advisors US One Trust Javelin Investment Management FaithShares Pax World Management ETFs 6 95 6 9 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX). 5 9 5 6 9 9 6 5 5 5 $. $85.6 $5.7 $5. $. $9. $.9 $. $6. $6. $5. $. $. $. $. $.8 $.6 $. $. $. $. $. $. $. $. $. $. $. Jan total 7..5 6.8 5......7.7.6................. planned 8 99 5 7 7 6 96 5 8 7 7 8 8 9 Jan NNA $. $5. $. $.9 $. $. $.6 $. $. $.5 $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. YTD NNA $. $5. $. $.9 $. $. $.6 $. $. $.5 $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. ETFs ETFs...6.........5 8.. 7.6............. YTD change $. $8.8 $. $.5 $.5 $.8 $. $. $. $.5 $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $.. 5.. 8.5.5..9.6.. 5...7 7.6.9.6.8.7 8.7 8. 7.8 5.5.....9 9. market share..6.......................... continued

5 ETF providers in the United States: ranked by (continued) Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX). AllianceBernstein Capital West Securities.8 $6..9 7 $. $. 88. $97. 9 Total Jan NNA YTD NNA YTD change Jan 5 Exchange Traded Spreads Trust T Rowe Price Spinnaker ETF Trust ShariahShares Russell Investments RiverPark Advisors OppenheimerFunds Northern Trust Next Investments Neuberger Berman Macro Securities Depositor Legg Mason JP Morgan Asset Management John Hancock Janus Capital Management Huntington Asset Advisors Hartford 5 Georgetown Investment Management FocusShares Florentez Investment Firsthand Capital 5 FactorShares Factor Advisors 5 Eaton Vance Dreyfus Corp market share ETFs ETFs planned total ETFs Provider

United States ETF/ETP net new assets by type of exposure Jan Exposure ETFs /ETPs ADV Assets NNA YTD NNA NNA Equity 778 7,6. 759,69.9 8,6. 8,6. 7,86.7 6,76. North America 8 9,. 55,877.,57.8,57.8 7,.6,987. Active.8 8.5.5.5 5.6.8 Broad 65,69. 9,69. 8,9. 8,9. 6,66.8 (,8.) Consumer goods/services 5 96. 9,69.8 (788.7) (788.7),78. 87. Energy,89.5,9.5 5.8 5.8,56.8,5. Financials,68.,69.,.6,.6,8.8,9. Healthcare 7.8 8,... (587.) (.8) Industrials 5 5.6 6,6.5 8.7 8.7,.7 9. Materials 687. 6,8. (67.) (67.) 857.5,6. Other 6 5.8,5.9.. 7.6 (77.) Real estate 6.8 6,. 5. 5.,.5,77. Technology 6 597.8 5,5.7,5.9,5.9,59.5,66.7 Telecommunications 6 5.,5.7 (5.6) (5.6) 88.6 9. Utilities 7.8 5,9. 97.8 97.8.,56.9 Asia Pacific 7 58.6,58.6 (8.) (8.),.,85.8 EMEA 8 57.5,7.7 8.7 8.7 8.,57. Global 56 5.,6. 68.7 68.7,8.7,5.7 Global (exus) 7,6.6 6,6.8,9.8,9.8,69.7 69. 9 NNA continued Note: NNA Net New Assets. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX). 6

United States ETF/ETP net new assets by type of exposure (continued) Jan Exposure ETFs /ETPs ADV Assets NNA YTD NNA NNA Emerging markets 6,568.9,599.5 (,87.9) (,87.9) 9,8. 7,.5 Broad,8.5 9,8.7 (5,7.9) (5,7.9) 5,56. 6,69. Regional.,758. (6.6) (6.6) 69.,.7 Country 6,6. 5,57.,66.6,66.6,988.9 8,99.9 Brazil 9,.,779.8,8.,8. 95.,55.7 Chile. 96. (.8) (.8) 86. 5. China 66. 9,89.7 (67.7) (67.7) (,6.),9. Colombia. 6. (6.) (6.) 58. 5. Egypt.5 7. 7.6 7.6 8.8 India 7 5.,. (98.8) (98.8),8.6 77.6 Indonesia. 6. 69. 69. 6.7 67.5 Malaysia.7,6... 5.8 6. Mexico 5.,56. (8.9) (8.9) 88.. Peru 5. 55.8.7.7 99.8 96. Philippines.8 7.9.5.5 6. Poland.8 7. 7. 7.. 7. Russia 7.,.8 67.6 67.6 96. 78.8 South Africa. 655.9.9.9 5.7 8. South Korea 7.6,59..6.6 6.8 77.6 Taiwan 6.7,66... (68.8),9.7 Thailand 6. 568. (6.6) (6.6) 8. 7.8 Turkey.8 76.9.5.7 Vietnam 6..5.. 59.8 88. 9 NNA continued Note: NNA Net New Assets. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX). 7

United States ETF/ETP net new assets by type of exposure (continued) Jan Exposure ETFs /ETPs ADV Assets NNA YTD NNA NNA Fixed income 6,79.9,9.,89.,89. 9,.8,8.9 Active 6 8. 9. 9.5 9.5 798.7 8.8 Aggregate 7. 9,98. 5. 5. 5,9. 8,6.7 Convertible 9.7 6.8 86. 86. 7.7. Corporate 7.9 6,76. 669.9 669.9 5,.7,56.6 Government 5,878. 5,66.5 87. 87. 9,578.6 6,76.9 High yield 8 95.6 5,5.,8.8,8.8 5,6.,9. Inflation 8 97.6,96.6 7.7 7.7 86.5,9.8 Mortgage 6.7,.6.. 56.9 9. Municipal 7 78.6 7,7. (8.) (8.),7.7,57.6 Commodities,866.,656.6 (,669.) (,669.),9.,55.8 Agriculture 8 7. 8,.,6.,6..6,97.6 Broad 9.9,9.7 5. 5. 795.,958. Energy 57. 7,.6 (6.7) (6.7) (95.) 6,55.9 Industrial metals 7.6,6.7 8. 8..9 798. Livestock.5..5.5 (7.) 8.9 Precious metals,8. 8,. (,56.) (,56.),7.5 8,79. Currency 6 69. 6,. 59. 59. (,69.7),5.9 Alternative 7 5.,7...,5.7,58.7 Mixed 6 8.9 966. 5.6 5.6.8 5.5 Total, 56,58.,,86.,6.8,6.8 9,89.5 9,69. 9 NNA Note: NNA Net New Assets. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX). 8

Sector ETF net new assets Sector ETF ticker Index ticker Index total return (US$) ETF NAV performance (US$) Jan YTD Jan YTD Jan ETF YTD change ETF short interest Jan ETF ADV Jan net flows YTD net flows net flows Dow Jones United States sector ETFs 6,866.5 5. 5. 8.8 85.6 85.6. ishares Dow Jones U.S. Basic Materials IYM US DJUSBM....,8.9.5 8...9.9 85. ishares Dow Jones U.S. Consumer Goods IYK US DJUSNC.6.6.7.7 98..7..7 6.5 6.5 6.5 ishares Dow Jones U.S. Consumer Services IYC US DJUSCY.....9. 8..5 6.8 6.8 9. ishares Dow Jones U.S. Energy IYE US DJUSEN 7.5 7.5 7.5 7.5 95.6 7.9 9..9 8. 8.. ishares Dow Jones U.S. Financial IYF US DJUSFN.5.5.5.5 5.5.5 5. 9.6 56. 56. 5.5 ishares Dow Jones U.S. Healthcare IYH US DJUSHC.6.6.6.6 568.5..... 7. ishares Dow Jones U.S. Industrial IYJ US DJUSIN.... 5.8 5. 6. 6.7.. 6. ishares Dow Jones U.S. Technology IYW US DJUSTC....,55.9 7. 8.9.5.. 5.7 ishares Dow Jones U.S. Telecommunications IYZ US DJSTELT.6.6.7.7 69. 8.9..6 55. 55. 6. ishares Dow Jones U.S. Utilities IDU US DJUSUT.5.5.5.5 55..5..8.. 5. S&P equal weight sector ETFs 7.8 8.5.6.6 9.9 9.9 6. Rydex S&P Equal Weight Consumer Discretionary RCD US S5.8.8.8.8 7..8.7... 5. Rydex S&P Equal Weight Consumer Staples RHS US S.5.5...9......5 Rydex S&P Equal Weight Energy RYE US S 7.6 7.6 7.6 7.6 7..9..5... Rydex S&P Equal Weight Financial RYF US S.5.5.5.5.......9 Rydex S&P Equal Weight Health Care RYH US S5.7.7.7.7 58. 5.5 7..6 6.6 6.6. Rydex S&P Equal Weight Industrial RGI US S...5.5 5..5.....5 Rydex S&P Equal Weight Materials RTM US S5.7.7.7.7.8 9.5..... Rydex S&P Equal Weight Technology RYT US S5.9.9.8.8.8 9...9 5.6 5.6 9.9 Rydex S&P Equal Weight Utilities RYU US S55.8.8...6..6... 7. S&P select sector ETFs,7.5 5. 8,6.,6.,6.,6.,79. Consumer Discretionary Select Sector SPDR XLY US IXY.7.7.7.7,9..9 686..6 58.9 58.9 6.7 Consumer Staples Select Sector SPDR XLP US IXR.5.5.5.5,7.. 7. 77.9 6.5 6.5 5.7 Energy Select Sector SPDR XLE US IXE 7. 7. 7. 7. 8,688.5.6,8.6,.6 85. 85.,9. Financial Select Sector SPDR XLF US IXM.8.8.8.8 8,8.9.7,77.,67. 7. 7. 87. Health Care Select Sector SPDR XLV US IXV.6.6.6.6,8.8.5 6.7.8 8. 8. 7.5 Industrial Select Sector SPDR XLI US IXI.9.9.9.9,69.9. 7.8 79. 79.7 79.7,6.7 Materials Select Sector SPDR XLB US IXB....,86. 8. 76.9 8.5.. 99. Technology Select Sector SPDR XLK US IXT.... 6,76.5 5.6 6. 78. 7.5 7.5 7.5 Utilities Select Sector SPDR XLU US IXU....,866.9.9 6.7 59. 69. 69. 57. Note: Index returns are for illustrative purposes only and do not represent actual fund performance. Index performance returns do not reflect any management fees, transaction costs or expenses. Indices are unmanaged and one cannot invest directly in an index. Past performance does not guarantee future results. NNA Net New Assets. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX). 9

Sector ETF net new assets (continued) Sector ETF ticker Index ticker Index total return (US$) ETF NAV performance (US$) Jan YTD Jan YTD Jan ETF YTD change ETF short interest Jan ETF ADV Jan net flows YTD net flows net flows MSCI United States investable market sector ETFs 7,8.6 8.7 8.7 7. 75. 75.,588. Vanguard Consumer Discretionary VCR US MZUSICD.9.9.9.9 59.5.8..5 6. 6. 97.7 Vanguard Consumer Staples VDC US MZUSICS.6.6.5.5 6.7.8..5.6.6. Vanguard Energy VDE US MSCIEN 7. 7. 7. 7.,77. 5. 6..7.6.6 7. Vanguard Financials VFH US MZUSIFN.... 657.7. 8. 8. 67.7 67.7. Vanguard Health Care VHT US MZUSIHC.6.6.7.7 65.5..9..9.9 9. Vanguard Industrials VIS US MSCIIN.6.6.7.7 9.. 5. 5... 7.8 Vanguard Information Technology VGT US MZUSIIT....,658....7 7.7 7.7 6.8 Vanguard Materials VAW US MZUSIMT.... 6...5 8..6.6. Vanguard Telecommunication Services VOX US MSCITC.5.5.6.6 6.7..7.7 6.6 6.6 7. Vanguard Utilities VPU US MZUSIUT...5.5 676.8.6 5.7..5.5 69. Vanguard REIT VNQ US RMZ.... 8,75.5 7.7. 88.8 8.8 8.8,58. S&P global sector ETFs,97.. 6..9 8. 8. 5.9 ishares S&P Global Consumer Discretionary RXI US SGD.5.5.5.5..5..9.. 5.5 ishares S&P Global Consumers Staples KXI US SGCS.......... 5. ishares S&P Global Energy IXC US SGES 6. 6. 6. 6.,6. 9. 8. 9....9 ishares S&P Global Financials IXG US SGFS.... 99....... ishares S&P Global Healthcare IXJ US SGH.... 78.5...7.. 6. ishares S&P Global Industrials EXI US SGN.6.6.6.6..6..5.9.9. ishares S&P Global Materials MXI US SGM.9.9.. 767... 5.8 7. 7. 5. ishares S&P Global Technology IXN US SGI.9.9.8.8 6..9. 5. 6. 6. 98. ishares S&P Global Telecommunications IXP US SGT.9.9.7.7 8..6 9...7.7 67. ishares S&P Global Utilities JXI US SGU.9.9.8.8 59.8.8..5.. 8. MSCI ACWI ex. United States sector ETFs 5.8.8..5... ishares MSCI ACWI ex US Consumer Discretionary AXDI US MSWDUCDN.5.5.5.5 6.5.5.... 5. ishares MSCI ACWI ex US Consumer Staples AXSL US MSWDUCSN........... ishares MSCI ACWI ex US Energy AXEN US MSWDUENN.... 6...... 5. ishares MSCI ACWI ex US Health Care AXHE US MSWDUHCN.... 5.6..... 5. ishares MSCI ACWI ex US Industrials AXID US MSWDUINN.9.9.6.6 6..6.... 5. ishares MSCI ACWI ex US Information Technology AXIT US MSWDUITN.6.6.. 6...... 5. ishares MSCI ACWI ex US Materials AXMT US MSWDUMTN.6.6.. 6.6..... 5. ishares MSCI ACWI ex US Telecommunication Services AXTE US MSWDUTCN.5.5.. 5.9..... 5. ishares MSCI ACWI ex US Utilities AXUT US MSWDUUTN.7.7.8.8 5.6.8.... 5. Note: Index returns are for illustrative purposes only and do not represent actual fund performance. Index performance returns do not reflect any management fees, transaction costs or expenses. Indices are unmanaged and one cannot invest directly in an index. Past performance does not guarantee future results. NNA Net New Assets. Data as at end January. Source: National Stock Exchange (NSX), Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg.

United States leveraged and inverse ETF/ETP net new assets by type of exposure Jan Exposure ETFs /ETPs ADV Assets NNA YTD NNA NNA Leveraged 8,68.,56.9 (67.) (67.) (,.7) (6,956.) Equity 6,6.7,869. (759.8) (759.8) (,878.6) (6,5.6) Asia Pacific. 5.... 8.7 Emerging markets 6.5 55.8 (78.9) (78.9) 7.7 6. EMEA..7...8 Global (exus). 8.7.. (.9).9 North America 8,96.5,75.8 (68.8) (68.8) (,98.) (6,75.) Alternative. 5..8.8 7. (586.) Commodities 9 9.,68.7 8. 8. (8.) Currency.6.8 (.7) (.7) (.).7 Fixed Income 5 9.7 5.8 5. 5. (8.9) 5. Inverse 56.,9. 9.8 9.8,56.5,8. Equity 5 5.5,858.5 5.6 5.6 98.,766. Emerging markets.5 8.6.5.5.5 7. Global (exus)..8 9.5. North America.,57. 9. 9. 8.,9.6 Alternative 6. 9.... Commodities 6 7.8.6 7. 7. (.7) 65.9 Currency 8..5.. (8.7). Fixed income 5 8.6 987... 75. 9.9 Leveraged inverse 8,86.7 5,8. 7.6 7.6 6,7.8 6,69.9 Equity 6,56.7 7,676. 78.7 78.7,9.8,66. Asia Pacific. 5... (.5) 8.6 Emerging markets 59. 5. 8. 8. 6. 65.8 EMEA. 8.5...6 9. Global. 5.... Global (exus).7. (.) (.)..5 North America 7,7. 7,5.8 66. 66.,6.9,98.9 Commodities 97.5 6. 7.9 7.9 6.9 7. Currency 9. 78.9 76. 76. 5.6 7. Fixed Income 7 6. 6,67. (9.) (9.),665.5,56. Total 98 5,7.,5. 6. 6.,95.5,978. 9 NNA Note: NNA Net New Assets. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX).

Types of ETF exposure in the United States Jan YTD change Type of exposure ETFs total ETFs Equity 559 $7. 78.7 $.8.8 Largecap $76. Emerging markets 9 $. International 59 $7.6 Sector 5 $98.9 Growth $. Value $7.6 Broad market $6.9 Midcap 7 $. Smallcap $. Fixed income 8 $.6 Custom 57 $9.8 9. 5.6..9.7...5..5. $. $9.8 $. $5. $. $.5 $. $. $. $. $. 6.6 6.5.9 5.6...... 7. Largecap equity 9. Emerging markets equity 5.6 Fixed income.5 International equity Sector equity.9 Growth equity.7 Value equity. Broad market equity. Midcap equity.5 Smallcap equity. Custom. Leveraged inverse 6 $..5 $.5.8 Leveraged inverse.5 Leveraged 6 $.9. $.. Leveraged. Commodities $.8. $.5. Commodities. Inverse 5 $.7. $..8 Inverse. Currency 9 $.. $.. Currency. Active $.. $..5 Active. Total 9 $97.. 7 $6..8 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg.

Index providers in the United States: ranked by Jan YTD change Index provider S&P MSCI Barclays Capital Russell Dow Jones NASDAQ OMX FTSE Markit WisdomTree NYSE Euronext Indxis Deutsche Boerse Structured Solutions Intellidex Morningstar BNY Mellon SNetwork ISE Zacks Value Line STOXX Other ETFs 8 9 6 65 8 5 6 5 6 $7. $6.8 $5. $79.5 $.6 $. $. $. $8.5 $7. $6.5 $6.5 $5. $.9 $. $.9 $.7 $. $.7 $. $. $.5 total 9.8 8.7.6 8.8.7....9.8.7.7.6......... ETFs $9.9 $.7 $. $.5 $.5 $. $. $.8 $. $. $.8 $. $. $. $. $. $. $. $. $. $. $.5.8...6 6..9..9..6. 7. 7...9.7 7.5..8.. 5. S&P 9.8 MSCI 8.7 Barclays Capital.6 Russell 8.8 Dow Jones.7 NASDAQ OMX. FTSE. Markit. WisdomTree.9 NYSE Euronext.8 Indxis.7 Deutsche Boerse.7 Structured Solutions.6 Intellidex. Morningstar. BNY Mellon. SNetwork. ISE. Zacks. Value Line. STOXX. Other. Total 9 $97.. 7 $6..8 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg.

Top ETFs in the United States Ranked by Assets Under Management () Ranked by US$ Average Daily Trading Volumes (ADV) ETF Bloomberg ticker ADV ( shares) ADV ETF Bloomberg ticker ADV ADV ( shares) SPDR S&P 5 SPY US $9,96.6, $6,85. SPDR S&P 5 SPY US $6,85., $9,96.6 Vanguard Emerging Markets VWO US $,77.,979 $76. ishares Russell Index Fund IWM US $,87.5 9,7 $5,55. ishares MSCI Emerging Markets Index Fund EEM US $9,.9 6, $,88. PowerShares QQQ Trust QQQQ US $,59. 55,9 $5,58.8 ishares MSCI EAFE Index Fund EFA US $7,96.5, $8.9 ishares MSCI Emerging Markets Index Fund EEM US $,88. 6, $9,.9 ishares S&P 5 Index Fund IVV US $7,7.,8 $. Financial Select Sector SPDR Fund XLF US $,7. 68,88 $8,8.9 PowerShares QQQ Trust QQQQ US $5,58.8 55,9 $,59. ishares MSCI Brazil Index Fund EWZ US $,7.5,98 $,57. ishares Barclays TIPS Bond Fund TIP US $9,86. 7 $76. ishares Barclays + Year Treasury Bond TLT US $96.5,8 $,65. Vanguard Total Stock Market ETF VTI US $7,78.5,89 $. Energy Select Sector SPDR Fund XLE US $9.6, $8,695.6 ishares Russell Index Fund IWM US $5,55. 9,7 $,87.5 SPDR Dow Jones Industrial Average ETF DIA US $9. 7,78 $,5.5 ishares iboxx $ Investment Grade Corporate LQD US $,78., $.9 ishares MSCI EAFE Index Fund EFA US $8.9, $7,96.5 ishares Russell Growth Index Fund IWF US $,97.7,7 $9. Vanguard Emerging Markets VWO US $76.,979 $,77. ishares MSCI Brazil Index Fund EWZ US $,57.,98 $,7.5 Direxion Daily Financial Bull x Shares FAS US $688.7, $,78.6 S&P MidCap SPDR MDY US $,858.6,9 $57.6 Market Vectors Gold Miners GDX US $586.,5 $6,76.7 ishares Russell Value Index Fund IWD US $,.9, $5. ishares FTSE China 5 Index Fund FXI US $57., $7,.7 ishares Barclays Aggregate Bond Fund AGG US $,. 75 $79.5 ProShares UltraShort + Year Treasury TBT US $56.7,59 $5,59.5 SPDR Dow Jones Industrial Average ETF DIA US $,5.5 7,78 $9. Direxion Daily Small Cap Bull x Shares TNA US $55. 7,5 $6. ishares S&P MidCap Index Fund IJH US $9,796. 8 $77.6 S&P MidCap SPDR MDY US $57.6,9 $,858.6 Vanguard Total Bond Market ETF BND US $9,. 8 $65. ProShares UltraShort S&P5 SDS US $5.6,9 $,. Energy Select Sector SPDR Fund XLE US $8,695.6, $9.6 ProShares Ultra S&P5 SSO US $7.7 9,55 $,59. Financial Select Sector SPDR Fund XLF US $8,8.9 68,88 $,7. ishares S&P 5 Index Fund IVV US $.,8 $7,7. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg.

Top ETFs in the United States (continued) Ranked by largest change in Ranked by largest net inflows ETF Bloomberg ticker YTD NNA Jan YE Change ETF Bloomberg ticker YTD NNA Jan ADV Jan ishares MSCI Emerging Markets EEM US $6,86. $9,.9 $7,55.5 $8,57.6 PowerShares QQQ Trust QQQQ US $,59. $5,58.8 $,59. SPDR S&P 5 SPY US $,68.9 $9,96.6 $89,95. $,58. Vanguard Emerging Markets VWO US $,698. $,77. $76. PowerShares QQQ Trust QQQQ US $,59. $5,58.8 $,69.9 $,88.9 SPDR S&P 5 SPY US $,68.9 $9,96.6 $6,85. ishares Russell Index Fund IWM US $,9.9 $5,55. $7,98. $,96.9 ishares MSCI Brazil Index Fund EWZ US $,.8 $,57. $,7.5 Market Vectors Gold Miners GDX US $599.9 $6,76.7 $7,68.8 $,5. SPDR Dow Jones Industrial Average ETF DIA US $,8. $,5.5 $9. ishares S&P 5 Index Fund IVV US $77. $7,7. $5,799. $,7. ishares Barclays + Year Treasury Bond TLT US $789.7 $,65. $96.5 SPDR Dow Jones Industrial Average ETF DIA US $,8. $,5.5 $8,79. $,. ishares S&P 5 Index Fund IVV US $77. $7,7. $. ishares MSCI EAFE Index Fund EFA US $6.8 $7,96.5 $6,9. $,. Financial Select Sector SPDR Fund XLF US $75.5 $8,8.9 $,7. Financial Select Sector SPDR Fund XLF US $75.5 $8,8.9 $7,7.5 $96. Technology Select Sector SPDR Fund XLK US $75. $6,76.5 $7.6 Technology Select Sector SPDR Fund XLK US $75. $6,76.5 $5,89. $9. Vanguard Dividend Appreciation ETF VIG US $6. $5,. $. ishares FTSE China 5 Index Fund FXI US $6. $7,.7 $8,. $77. Market Vectors Agribusiness ETF MOO US $56. $,8.8 $87. Vanguard Dividend Appreciation ETF VIG US $6. $5,. $,68.9 $7. Market Vectors Indonesia ETF IDX US $558. $6.6 $.5 ishares Barclays + Year Treasury Bond TLT US $789.7 $,65. $,65.9 $699. SPDR Barclays Capital High Yield Bond ETF JNK US $56.6 $7,8. $. SPDR Barclays Capital High Yield Bond JNK US $56.6 $7,8. $6,58.5 $679.6 ishares iboxx $ High Yield Corporate Bond HYG US $5.5 $8,. $9.5 Market Vectors Agribusiness ETF MOO US $56. $,8.8 $,6.5 $65. SPDR KBW Bank ETF KBE US $.9 $,6.8 $8. ishares Russell Value Index Fund IWD US $99.9 $,.9 $,697. $66.8 ishares Russell Value Index Fund IWD US $99.9 $,.9 $5. ishares iboxx $ High Yield Corporate HYG US $5.5 $8,. $7,76.7 $65.7 Vanguard S&P 5 ETF VOO US $6.5 $68.6 $. Vanguard REIT ETF VNQ US $.6 $8,75.5 $7,5.7 $57.8 ishares S&P Index Fund OEF US $55. $,85. $58. ishares MSCI Brazil Index Fund EWZ US $,.8 $,57. $,.5 $559.6 SPDR S&P Dividend ETF SDY US $6. $5,. $8.5 SPDR S&P Retail ETF XRT US $8.5 $58. $976.9 $68.5 Vanguard REIT ETF VNQ US $.6 $8,75.5 $8.9 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX). 5

United States ETF turnover as of United States equity turnover ETF turnover ETF turnover as of US equity turnover,5, 5,, 5,5,,, 5,5, 5,, 5, 5 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, NYSE Arca. 6 Jan8 Feb8 Mar8 Apr8 May8 Jun8 Jul8 Aug8 Sep8 Oct8 Nov8 Dec8 Jan9 Feb9 Mar9 Apr9 May9 Jun9 Jul9 Aug9 Sep9 Oct9 Nov9 Dec9 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan US ETF turnover ETF turnover as of US equity turnover

Average expenses of ETFs versus openend mutual funds in the United States Average TER(s) Active 57 Broad market equity 8 Commodities 57 Currency 8 Custom Emerging markets equity 6 Fixed income Growth equity International equity Inverse 95 Largecap equity Leveraged 95 Leveraged inverse 95 Midcap equity Sector equity Smallcap equity Value equity Total equity ETFs Total fixed income ETFs 5 Total all Openend mutual funds Passive/indexed domestic equity Passive/indexed international equity Passive/indexed fixed income Actively managed domestic equity Actively managed international equity Actively managed fixed income. As at end February.. Captured from Morningstar on 5 March. Source: Morningstar, Global ETF Research and Implementation Strategy Team, BlackRock. 9 8 6 6 5 7 ETFs Average TER (bps)

Short interest: United States listed ETF and HOLDRS short interest The rules on shorting ETFs on financial indices and the use of inverse and leveraged inverse ETFs on financial indices in the various markets are continually being updated as regulators react to market conditions and the actions of other regulators so the position is quite fluid. Date avg avg 5 avg 6 avg 7 avg 8 avg 9 avg Short interest (Mn shares) 8 95 78 87,,69,65 of shares outstanding 7. 6. 7..5 6. 7.. S&P 5 Index Level 98,7,6,8,75,9 98 On 6 February, the SEC approved a new rule that places restrictions on short selling a security when it has experienced a price decline of at least in a single day. If this level is reached, short selling is only allowed if the price of the security is above the current national best bid. Short interest in United States listed ETFs reached the highest ever during. Based on data through to December the average number of ETF shares short during was,7 Mn shares, with an average of,65 Mn in 9 and,69 Mn in 8. The January short interest level for United Stateslisted ETFs was 8.9 of shares outstanding or,56 Mn shares, down.9 from,6 Mn in December. avg,7.8,5 Investors are using ETFs for long/short and hedging strategies. Jan,56 8.9,9 At end of January, there were 9 ETFs listed in the United States and,5 ETFs worldwide, which provide exposure to equity sectors, styles, countries and regional indices as well as fixed income, commodity indices and currencies. Security lending revenue on ETFs can be attractive. For investors who own ETF shares, the lending revenue that can be earned on ETFs, may at times, and for some ETFs, more than cover the annual Total Expense Ratio (TER). Short interest is often considered an indication of the level of scepticism in the market. Short interest data is captured for United States listed securities on the 5th of each month or the next business day and reflects the number of shares that have yet to be repurchased to give back to lenders. The higher the short interest, the more investors are expecting a downturn. Short positions fall in value as stocks rise, and vice versa. Note: With short sales, the investor faces the potential for unlimited losses as the security's price rises. Data as at mid January. Source: Regulatory Notice 9, Financial Industry Regulatory Authority, SEC, Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 8

Short interest: top United States listed ETFs and HOLDRS based on short interest Name Bloomberg ticker Short interest ( shares) Shares outstanding ( shares) Short interest ratio () SPDR S&P 5 SPY US 6,69 76,58.5 ishares Russell Index Fund IWM US 69,78 99, 85. Financial Select Sector SPDR Fund XLF US 5,5 5,5.5 PowerShares QQQ Trust QQQQ US 75, 5,5 6.7 ishares MSCI Emerging Markets Index Fund EEM US 69,59 85, 8. SPDR S&P Retail ETF XRT US 6,8,95 58.8 ishares Dow Jones US Real Estate Index Fund IYR US 6,58 5,95. SPDR KBW Regional Banking ETF KRE US 5,7,7 7.7 SPDR S&P Oil & Gas Exploration & Production ETF XOP US,865 6,6 58. Energy Select Sector SPDR Fund XLE US,55 8,87 5.5 ishares FTSE China 5 Index Fund FXI US, 7, 7. Technology Select Sector SPDR Fund XLK US,8 6,56 9. ishares MSCI EAFE Index Fund EFA US,58 68,.8 ishares Barclays + Year Treasury Bond Fund TLT US,7,7 6.7 ishares MSCI Brazil Index Fund EWZ US,89 7,75. Industrial Select Sector SPDR Fund XLI US,56 5,6 7.9 Health Care Select Sector SPDR Fund XLV US 9,98 88,65.6 Utilities Select Sector SPDR Fund XLU US 9,9, 6. Materials Select Sector SPDR Trust XLB US 9,8 6,7.9 Consumer Discretionary Select Sector SPDR Fund XLY US 8,66 56,75.5 Note: Data as at mid January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 9

United States options on ETFs/ETPs In January, there were 7 options on ETFs/ETPs in the United States, which means that of United States listed ETFs/ETPs had options. Options on ETFs offer strategies for managing the risk or expanding the opportunities for profit. Because ETFs are traded like stocks, ETF options are very similar to stock options. Just as stock options settle in shares of stock, ETF options settle in ETFs. cleared contracts cleared transactions 8,, 6,, 6,,,, 5,,,,,,,, 8,,,, 6,,,,,,,,,, Oct9 Nov9 Dec9 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Cleared contracts Cleared transactions Note: Data as at end January. Source: The Options Clearing Corporation (The OCC), Global ETF Research and Implementation Strategy Team, BlackRock.

ETP providers in the United States: ranked by assets Provider State Street Global Advisors ishares Deutsche Bank Barclays (ipath) Merrill Lynch United States Commodity Funds ETF Securities Rydex SGI JPMorgan Chase ProShares Swedish Export Credit Corp GreenHaven Commodity Services Credit Suisse Morgan Stanley Goldman Sachs HSBC/Hang Seng VelocityShares Barclays Capital Teucrium Trading Citigroup RBS Jefferies Asset Management Sprott Asset Management WealthNotes Capital Management Total ETPs 6 5 7 9 7 9 7 6 9 9 Assets $5.5 $6. $. $8.6 $.9 $.9 $.5 $.5 $. $. $.5 $.6 $. $. $. $. $. $. $. $. $. $.5 Jan total 6...6 7.5......9..5.......... planned 5 8 8 5 Jan NNA $. $.8 $. $.5 $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $.8 YTD NNA $. $.8 $. $.5 $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $.8 ETPs 5 ETPs...... 6.7.. 6.7............7 YTD change Assets $6. $. $.6 $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $6.7 assets.. 5..7.7..8.8. 7.5.5..5 7.8 5.. 8. 6..8. 98.8 5.6 market share..9..5................. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg.

Top 5 ETF/ETP providers in the United States: ranked by assets Provider ishares State Street Global Advisors Vanguard PowerShares/Deutsche Bank ProShares Van Eck Associates Corp Bank of New York WisdomTree Investments Barclays (ipath) Rydex SGI Direxion Shares First Trust Advisors Merrill Lynch United States Commodity Funds ETF Securities Guggenheim Funds Charles Schwab Investment Management JPMorgan Chase PIMCO Swedish Export Credit Corp Global X Funds ALPS ETF Trust GreenHaven Commodity Services RevenueShares Emerging Global Advisors ETFs/ ETPs 96 6 9 5 5 9 7 9 7 7 6 9 Assets $6. $8. $5.7 $58. $. $9. $.9 $. $8.6 $7.7 $6. $6. $.9 $.9 $.5 $. $. $. $. $.5 $. $.8 $.6 $.6 $. Jan total... 5...8..9.8.7.6.6.5.5........... planned 5 7 5 7 9 7 6 8 5 8 7 7 8 Jan NNA $. $.7 $. $. $.5 $. $.6 $. $.5 $. $. $.5 $. $. $. $. $. $. $. $. $. $. $. $. $. YTD NNA $. $.7 $. $. $.5 $. $.6 $. $.5 $. $. $.5 $. $. $. $. $. $. $. $. $. $. $. $. $. ETFs/ ETPs ETFs/ ETPs...6..8......... 6.7.5 8.... 7.6.... YTD change Assets $. $.8 $. $. $.7 $.8 $. $. $. $. $. $.5 $. $. $. $. $. $. $. $. $. $. $. $. $. assets.7...7...9.6.7.8...7..8..7. 7.6.5.9.6..8.7 market share.8........................ Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, National Stock Exchange (NSX).

Top 5 brokers trading United States listed ETFs/ETPs: ranked by traded volume Broker Knight Securities Credit Suisse UBS Merrill Lynch Citigroup Global Markets Barclays Capital JPMorgan Chase Bank Deutsche Bank Securities Morgan Stanley Goldman Sachs Susquehanna Capital Group Fidelity Capital Markets BNP Paribas Securities Citadel Securities Instinet BTIG GFI Group Royal Bank Of Canada HSBC Bank Bloomberg Tradebook Jefferies & Co State Street Bank & Trust Co ConvergEx Newedge Group Nomura International Others (5) Total broker reported trades,95,67,55 9,9,5,9,59 7,5 6,6, 6,875 7,859,656 6,5,8 69 5,6 5,,58,57,69,6,9 76 8 5,7 57,5 Broker advertised volume Jan $9,556. $9,5. $7,889.5 $69,8. $,698. $5,58.7 $,7.9 $9,6.9 $5,6. $,799.6 $,68. $,68.6 $9,89.9 $,55. $5,796. $5,6.5 $5,85. $,59. $,6.6 $,.9 $,5. $,5.5 $,9.7 $,78. $,75. $,5. $66,5. broker advertised market share.... 6.7 5..8..8.7.7...5.9.8.8.7.6.6.5.5....6. total exchange volume 7.5 7. 6. 5.5.6.8.5.....7.6.8.5...........9 5.8 Knight Securities. Credit Suisse. UBS. Merrill Lynch. Citigroup Global Markets 6.7 Barclays Capital 5. JPMorgan Chase Bank.8 Deutsche Bank Securities. Morgan Stanley.8 Goldman Sachs.7 Susquehanna Capital Group.7 Fidelity Capital Markets. BNP Paribas Securities. Citadel Securities.5 Instinet.9 BTIG.8 GFI Group.8 Royal Bank Of Canada.7 HSBC Bank.6 Bloomberg Tradebook.6 Jefferies & Co.5 State Street Bank & Trust Co.5 ConvergEx. Newedge Group. Nomura International. Others (5).6 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg.

ETFs and ETPs listed in Europe At the end of January, the European ETF industry had,85 ETFs with,88 listings and assets of US$9.9 Bn, from providers on exchanges. This compares to 896 ETFs with,68 listings and assets of US$7.9 Bn from providers on 8 exchanges at the end of January. April will mark the th anniversary of ETFs in Europe. Assets YTD, assets have increased by.8 from US$8. Bn to US$9.9 Bn, which is less than the. increase in the MSCI Europe Index in US dollar terms. This compares to a. decrease in assets over the same period in. US$.8 Bn of net new assets went into European listed ETFs/ETPs in January. US$.7 Bn net inflows went into equity ETFs/ETPs, of which US$.8 Bn went into ETFs/ETPs tracking European indices and US$.7 Bn into ETFs/ETPs tracking emerging market indices. Fixed income ETFs/ETPs saw net outflows of US$. Bn, of which government bond ETFs/ETPs saw net outflows of US$.8 Bn while US$. Bn went into money market ETFs/ETPs. Commodity ETFs/ETPs saw net outflows of US$. Bn, of which ETFs/ETPs providing precious metals exposure saw US$.6 net outflows while US$. Bn went into broad commodity exposure. YTD, US$.7 Bn net new asset flows went into equity ETFs/ETPs, greater than the US$. Bn net inflows over the same period in. Net new asset flows into ETFs/ETPs tracking European indices were US$.8 Bn YTD compared to the US$. Bn net outflows over the same period in. Net inflows into ETFs/ETPs tracking emerging market indices were smaller at US$.7 Bn YTD versus US$. Bn net inflows over the same period in. Fixed income ETF/ETP net outflows were US$. Bn YTD compared to US$. Bn net inflows over the same period in, and net outflows from commodity ETFs/ETPs were US$. Bn YTD compared to net inflows of US$. Bn over the same period in. ETFs YTD, the number of ETFs have increased by. with new ETFs launched. This compares to an 8. increase over the same period in when 67 new ETFs launched. The top ETFs, out of,85, account for 6. of European ETF, while 68 ETFs have less than US$. Mn in assets, 57 ETFs have less than US$5. Mn in assets and 7 ETFs have less than US$. Mn in assets. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, Federation of European Stock Exchanges (FESE).

ETFs and ETPs listed in Europe (continued) Trading volume In January, the ETF average daily trading volume in US dollars increased by. to US$. Bn compared to December. This compares to average daily trading volume of US$.8 Bn in January. Most ETF trades are not required to be reported in Europe as ETFs are not covered by the European Union directive on markets in financial instruments (MiFID). In December, reported European ETF turnover was 5. of all European equity turnover, greater than the.5 in December 9. Exchanges YTD, the number of exchanges with official listings has increased from to. ETF providers ishares is the largest ETF provider in terms of both number of products and assets, 8 ETFs and US$.9 Bn respectively, reflecting 5.9 market share; Lyxor Asset Management is second with 56 products, assets of US$5.5 Bn, and 8. market share; followed by db xtrackers with 5 ETFs, assets of US$8.8 Bn, and 6.7 market share; as at the end of January. Of the US$. Bn of net new assets in European listed ETFs in January, ishares gathered the largest net inflows with US$.9 Bn, followed by Source Markets with US$.9 Bn net inflows, while Lyxor Asset Management had the largest net outflows with US$. Bn. The top three ETF providers, out of, account for 7. of European ETF. This compares to 7. out of providers at the end of January. YTD, one new provider has entered the industry, launching their first ETF, while three firms plan to launch their first ETFs in Europe in the future. Mutual funds In Europe, net sales of mutual funds (excluding ETFs) were US$. Bn, while net sales of ETFs domiciled in Europe were US$8.9 Bn during the first months of according to Lipper FMI. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, Federation of European Stock Exchanges (FESE). 5

ETFs and ETPs listed in Europe (continued) ETPs Additionally, there were 5 other Exchange Traded Products (ETPs)¹ with,65 listings, and assets of US$.5 Bn, from nine providers on eight exchanges. This compares to 76 ETPs with listings and assets of US$5. Bn, from three providers at the end of January. ETFs and ETPs Combined, there were,68 products with,97 listings and assets of US$. Bn, from 5 providers on exchanges in Europe. This compares to,7 products with,9 listings and assets of US$. Bn from 6 providers on 8 exchanges at the end of January.. ETPs are products that have similarities to ETFs in the way they trade and settle but they do not use an openend investment company structure. The use of other structures including grantor trusts, partnerships, notes and commodity pools by ETPs can create different tax and regulatory implications for investors when compared to ETFs which are funds. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 6

European ETF and ETP asset growth Assets US$ Bn 5 products,, 5 8 6 5 5 Assets 5 6 7 8 9 Jan ETF total $.7 $5.7 $.7 $. $. $5.9 $89.7 $8.5 $.7 $6.9 $8. $9.9 ETF equity $.7 $5.7 $.7 $9. $. $9. $75.7 $.5 $96.6 $59.8 $98.5 $6. ETF fixed income $. $.9 $5. $. $. $. $5.6 $57. $57.7 ETF commodity $. $. $. $.9 $5. $6. $5.6 ETP total $. $. $.9 $7. $5.7 $. $.5 ETFs 6 7 8 65 7 66 87,7,85 ETPs 8 8 78 5 5 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 7

ETF providers in Europe: ranked by Provider ishares ETFs 8 total listings 79 Jan $.9 total 5.9 planned Jan NNA $.9 YTD NNA $.9 ETFs ETFs.6 YTD change $. assets. market share. Lyxor Asset Management 56 65 $5.5 8. $. $.. $... db xtrackers 5 6 $8.8 6.7 $. $..7 $.9.8. Credit Suisse Asset Management 5 7 $5.7 5. $. $.. $... Zurich Cantonal Bank 7 $..8 $. $.. $.6.9. Commerzbank 9 6 $8.9. $. $.. $... Amundi ETF 9 65 $7.9.7 $.6 $.6. $.8.6. ETFlab Investment 5 7 $7.. 5 $. $.. $. 5.. UBS Global Asset Management 5 $6.9. $. $. 6.9 $..5. Source Markets 57 59 $5.9. 6 $.9 $.9.8 $. 9.5. EasyETF 9 7 $5.9. $. $.. $. 5.6. Swiss & Global Asset Management 6 $.. $. $.. $. 5.. XACT Fonder $.. $. $.. $..8. RBS 55 $..5 $. $.. $... PowerShares 9 66 $..5 $. $.. $. 5.. BBVA Asset Management $.. $. $. 5. $..9. State Street Global Advisors 5 $.. $. $.. $... ETF Securities 6 8 $.8. $. $.. $. 5.. HSBC/Hang Seng 5 9 $.8. 8 $. $. 5. $... Marshall Wace LLP $.. $. $.. $..8. Seligson & Co Fund Management $.. $. $.. $... DnB NOR Asset Management 8 $.. $. $.. $. 7.8. Finans Portfoy Yonetimi 7 7 $.. $. $.. $..8. JP Morgan Mansart Investments 6 $.. $. $.. $..8. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. continued 8

ETF providers in Europe: ranked by (continued) Provider Alpha Asset Management ETFs total listings Jan $. total. planned Jan NNA $. YTD NNA $. ETFs ETFs. YTD change $. assets. market share. PIMCO Source $.. $. $.. $... ThinkCapital 5 5 $.. $. $.. $..7. Carnegie Fonder 7 7 $.. $. $.. $... NCB Investment Services $.. $. $.. $..9. OTP Fund Management $.. $. $.. $. 8.. Is Investment $.. $. $.. $. 6.. NBG Asset Management $.. $. $.. $. 5.. Osmosis Investment Management $.. $. $.. $... Troika Dialog Asset Management $.. $. $.. $. 6.6. Garanti Bank $.. $. $.. $... Medvesek Pusnik AM $.. $. $.. $... Bizim Menkul Degerler $.. $. $.. $..5. ESAF $.. $. $.. $... Goldman Sachs Asset Management $.. $. $.. $... Kuveyt Turk Katilim Bankasi $.. $. $.. $... Direxion Shares ProShares 8 Van Eck Associates Corp Vanguard Hinduja Bank (Switzerland) Ossiam 5 Qbasis Invest Total,85,88 $9.9. 59 $. $.. $7.8.8 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 9

European ETF/ETP net new assets by type of exposure Jan Exposure ETFs /ETPs ADV Assets NNA YTD NNA NNA Equity 87,9.5 6,96.9,75.,75.,99.,6.8 Europe 68,9.7 7,588.5,85.6,85.6 7,8. 8,.7 Broad 89,886.7,7.5 56.5 56.5 7,58.9,75.7 Consumer goods/services 8.5,88.5 5.8 5.8 6.7 5. Energy 8.7,95.8 5. 5... Financials 8.6,56. 68. 68. (9.6) 85.5 Healthcare 5.8 98. 8.5 8.5 (9.5) 5.9 Industrials 5.7 668... 8. 6.6 Information technology. 5.8 8.9 8.9 (.). Materials 5.8,89..5.5 (9.5) 5.5 Private equity 7..9 67. 67. 6.. Real estate.,.8 8. 8. 79..6 Telecommunications 6. 85... (9.) 5. Utilities. 96....9 6. Other. 58... (.) (67.) North America 8 6.7,8.5,58.9,58.9,79.8,56.5 Asia Pacific 59 6.,5.7 75.9 75.9,69.5,66. Global 75.,65...,87.9,798. 9 NNA continued Note: NNA Net New Assets. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 5

European ETF/ETP net new assets by type of exposure (continued) Jan Exposure ETFs /ETPs ADV Assets NNA YTD NNA NNA Emerging markets 578.6 8,55.8 676.8 676.8,7.9 7,6. Broad 8 8. 8,99... 7,5.,665. Regional 5.8,95..7.7 965.9 778.8 Country 75. 5,6. 5.8 5.8,89.8,6.6 Brazil 6.,668.6 (.) (.) 9. 8. Chile. 59.5 9. 9..8 China.6,5.5 (6.) (6.) 7. 86.9 Egypt (9.) (5.) Hungary. 7.6 (.5) (.5) (.6) (.) India 8 6.7,856..7.7 69.6 66. Indonesia. Kuwait. 5.8.6.5 Malaysia. 6... 99.. Mexico. 5....8 Poland. 9.6 5. 5. 77.5 Russia 9 9.,6. 8. 8. 95.8 7. South Africa 5 5.8 5.8 5. 5. 87.5 6. South Korea 5 9.,7.7 59.5 59.5 88.9 5. Taiwan 5 9. 889.9 86. 86. 5.5 7.7 Thailand. (5.5) Turkey.6 756. (7.6) (7.6) 5.. UAE (.) 7. Vietnam 5.. 6. 6. 97. 6.6 9 NNA continued Note: NNA Net New Assets. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 5

European ETF/ETP net new assets by type of exposure (continued) Jan Exposure ETFs /ETPs ADV Assets NNA YTD NNA NNA Fixed income 6 7.7 57,7. (5.) (5.) 8,75.9 9,5. Broad. 6... 6.5. Corporate 6 6.,875. (9.5) (9.5),.8,77.8 Covered 8.6,9.7 7. 7. 6. 8. Credit spreads. 95.5.. (5.) (9.) Government 6.,79. (78.5) (78.5) 5,7.8 6,9. High yield 6. 67.7.. 7.8 Inflation 6.5,7.6 8. 8. (.),65.8 Money market 69. 7,9. 7.9 7.9 (999.) (,58.) Mortgage 5.6,67.6 (6.) 9. Commodities 5 6. 55,96.8 (.6) (.6) 9,.,657.9 Broad 76 9. 8,76. 77. 77.,77.,985.9 Agriculture 5.,969.5 (6.) (6.) (79.6),9. Energy.9,7. (5.) (5.) 5.,8. Industrial metals 76.,.7 5.5 5.5.5.5 Livestock 7....5 9. Precious metals 8.8,779. (57.9) (57.9) 7,.6 7,7.7 Currency 78.8 5. (9.) (9.).7 9.7 Alternative.,75. (55.8) (55.8) 77.7 898.6 Mixed.5 6..7.7 5..8 Total,68,75.7,7.,8.,8. 5,65.6 56,88. 9 NNA Note: NNA Net New Assets. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 5

STOXX 6 Sector ETF net flows: week ending 8 January The week ending 8 January saw US$. Mn net inflows to STOXX Europe 6 sector ETFs. The largest sector ETF net inflows for the week ending 8 January were in financial services with US$7. Mn followed by insurance with US$7. Mn net inflows while industrial goods and services experienced net outflows of US$8.6 Mn. In YTD, STOXX Europe 6 sector ETFs have seen US$,9. Mn net inflows. Banks has seen the largest net inflows with US$8.9 Mn, followed by insurance with US$96. Mn net inflows while chemicals experienced the largest net outflows with US$.8 Mn. Sector Ticker STOXX 6 stocks Futures US$ total return performance open interest weight Weekly Rank YTD Rank 8Jan ETF YTD change ETF 5day ADV Weekly ETF net flows MTD ETF net flows YTD ETF net flows Automobiles and parts SXAR.. 5 6. 6.7 5.7 6. 5.7.5 9. 9. Banks SX7R 5 5.. 6. 78.6,79.. 7. 57. 8.9 8.9 Basic resources SXPR 5.6.8 5. 9 77.,..6 6.9. 9. 9. Chemicals SXR.. 9. 6 9. 8..7...8.8 Construction and materials SXOR 7.6. 8.5 6. 85.6 6.. 8. 5.7 5.7 Financial services SXFR.5. 6.7 5.. 5. 8.5 7. 5. 5. Food and beverage SXR 8 6.9.5 9. 8.7 89..6.5.6 5.6 5.6 Healthcare SXDR 5 9..6 7.8 55. 859.9.. 57... Industrial goods and services SXNR 9 9.6.6.9.9 589. 5.. 8.6.9.9 Insurance SXIR 5.6.. 7.7 8.9 9..9 7. 96. 96. Media SXMR 8..5 5. 9 7.7 56.6...5 7.7 7.7 Oil and gas SXER 8.7.6 5.9 8 56.5,57.5 8.9. 9. 5.8 5.8 Personal and household goods SXQR 7 5...5 7.9.8 7...9 6. 6. Real estate SX86R..8 6. 7. 6.5.6.... Retail SXRR 5.6.5 7. 5 9. 9. 5.7.. 5.7 5.7 Technology SX8R 6.9. 8.8 7. 5. 66. 8.8.6 5. 5. Telecommunications SXKR 6.. 6. 5. 776..9 5.... Travel and leisure SXTR...8.6 5. 5...9 5. 5. Utilities SX6R 5.7.5 8 6. 7 67. 8.7..9 5.6.. Total 6... 5,67.8,96..6 8..,9.,9. Note: Index returns are for illustrative purposes only and do not represent actual fund performance. Index performance returns do not reflect any management fees, transaction costs or expenses. Indices are unmanaged and one cannot invest directly in an index. Past performance does not guarantee future results. Index YTD returns reflect US dollar total return performance from December to 8 January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 5

STOXX Europe 6 sector ETF net flows, history Net flows Net flows,,,8,8,6,6,,,,,, 8 8 6 6 6 6 8 8,, Note: Data as at 8 January Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 5 Jan 9Jan 6Feb 6Mar Apr May 8Jun 6Jul Aug Sep 8Oct 5Nov Dec Dec 8Jan Weekly net flows YTD net flows YTD net flows

European leveraged and inverse ETF/ETP net new assets by type of exposure Jan Exposure ETFs /ETPs ADV Assets NNA YTD NNA NNA Leveraged 76 8.9,96. (558.) (558.) 78.7,7. Equity 8.6,.9 (5.9) (5.9) 6. 77.5 Europe 7 77.7,9. (5.8) (5.8) 5.8 758.8 North America 5.9 7.9 8.9 8.9..7 Commodities 7 88. (.) (.) 5.7 6.5 Currency 8.6... Fixed income. 5.5 56.6 Inverse 5.8,. 65.6 65.6 89.9,76. Equity 7 7.6,. (.5) (.5) (8.5),7.6 Asia Pacific.7... 6.9 8.6 Europe 98.9,978.8 (.) (.) (9.),57. Emerging markets. 8.8 North America 6.9.6 5.7 5.7 5.6 67.6 Commodities 5 66.8.8.8. 97.7 Currency 9.6.. 69..5 Fixed income 9 8.,5. (9.7) (9.7) 65. 8. Alternative. 8. (8.8) 7.9 Leveraged inverse 5.,85.9.. 76. 965. Equity 9.,6. 8.9 8.9 75.7 965. Europe 9.5,55.6 8.9 8.9 6. 965. North America.5 8.5. Fixed income. 7.6 9. Currency 8.7...5 Commodities.5 Total 6.9 9,59. (6.5) (6.5),7.8,965. 9 NNA Note: NNA Net New Assets. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 55

Types of ETF exposure in Europe: ranked by ETFs should be viewed as a tool for both active and passive managers. Type of exposure Equity Total Country exposure Europe Emerging markets Regional Exposure Eurozone Country exposure United States ETFs 7 7 6 5 Jan $. $5.9 $8. $.7 $9. total 69. 5.7..5 6.5 ETFs 7 YTD change $8. $.8 $.7 $.9 $.5...9 6. 8. Country exposure Europe equity 5.7 Emerging markets equity. Regional Exposure Eurozone equity.5 Country exposure United States equity 6.5 International equity 6. International 7 $8. 6. $.5.7 Regional exposure Europe equity.8 Regional exposure Europe 55 $..8 $.9 7. Global exposure equity. Global exposure 6 $.7. $..5 European sector exposure equity. European sector exposure $.6. $..9 Style equity. Style $6.. $.. Eurozone sector exposure equity.8 Eurozone sector exposure 9 $..8 $. 9.7 US sector exposure equity. US sector exposure $.. $. 5.7 Fixed income 9.5 Fixed income 9 $57. Commodities 69 $5.5 Inverse 7 $.5 Alternative $.9 Leveraged inverse 6 $.7 Leveraged $.5 Currency $. 9.5 8.7.9.7.6.5. 5 $.6 $.6 $. $. $. $. $...... 8. 9.8 Commodities 8.7 Inverse.9 Alternative.7 Leveraged inverse.6 Leveraged.5 Currency. Mixed (equity and fixed income). Mixed (equity and fixed income) $.. $.. Total,85 $9.9. $7.8.8 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 56

Index providers in Europe: ranked by Jan YTD change Index provider ETFs total ETFs MSCI 6 $69.9.9 $.9. STOXX 7 $5. 7.9 $.7 7.6 MSCI.9 Deutsche Boerse $8. 9.6 $.6 5.9 STOXX 7.9 Deutsche Boerse 9.6 Markit 5 $. 7. $.. Markit 7. FTSE 8 $.8 7. $.. FTSE 7. S&P 56 $..9 $. 7. S&P.9 EuroMTS 9 $9.5. $..9 EuroMTS. SIX Swiss Exchange 7 $8.6. $..7 SIX Swiss Exchange. Barclays Capital 9 $8..8 $.. Barclays Capital.8 NYSE Euronext.7 NYSE Euronext $8..7 $.. NASDAQ OMX.8 NASDAQ OMX $5..8 $..8 Dow Jones.7 Dow Jones $.9.7 $..6 Hang Seng.6 Hang Seng 6 $.9.6 $.. Topix. Topix $.9. $. 5. Nikkei. Russell. Nikkei $.7. $..5 Structured Solutions. Russell $.. $.. SNetwork. Structured Solutions $.. $. 7. Intellidex. SNetwork $.. $. 7.5 Other.6 Intellidex $.. $.. Other 5 $6.9.6 $..8 Total,85 $9.9. $7.8.8 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 57

Top ETFs in Europe Ranked by Assets Under Management () Ranked by US$ Average Daily Trading Volumes (ADV) ETF Country listed Bloomberg ticker ADV ( shares) ADV ETF Country listed Bloomberg ticker ADV ADV ( shares) Lyxor Euro STOXX 5 France MSE FP $9,.,6 $.9 Lyxor Euro STOXX 5 France MSE FP $.9,6 $9,. ishares S&P 5 UK IUSA LN $8,696.7 8, $6. ishares DAX (DE) Germany DAXEX GY $.7,55 $6,5. ZKB Gold ETF Switzerland ZGLD SW $7,5.6 6 $.5 ishares S&P 5 UK IUSA LN $6. 8, $8,696.7 ishares MSCI Emerging Markets UK IEEM LN $6,658.8,66 $6.6 Lyxor ETF Leverage CAC France LVC FP $9. 7,5 $8. ishares DAX (DE) Germany DAXEX GY $6,5.,55 $.7 db xtrackers Euro Stoxx 5 ETF Germany XESX GY $75.9,8 $,6.6 ishares FTSE UK ISF LN $6,8. 7,5 $7. Lyxor CAC France CAC FP $7.8, $,58.7 db xtrackers MSCI Emerging Market Germany XMEM GY $5,9.,5 $65.8 db xtrackers DAX ETF Germany XDAX GY $7. 75 $,99.6 ishares EURO STOXX 5 (DE) Germany SX5EEX GY $5,.6,69 $65.7 ishares FTSE UK ISF LN $7. 7,5 $6,8. ishares Markit iboxx Euro Corporate Germany IBCS GY $,78.6 6 $.9 db xtrackers MSCI EM TRN Index ETF Germany XMEM GY $65.8,5 $5,9. ishares EURO STOXX 5 Germany EUN GY $,66.6, $5. ishares EURO STOXX 5 (DE) Germany SX5EEX GY $65.7,69 $5,.6 Lyxor CAC France CAC FP $,58.7, $7.8 ishares MSCI Emerging Markets UK IEEM LN $6.6,66 $6,658.8 db xtrackers DAX ETF Germany XDAX GY $,99.6 75 $7. Lyxor ETF XBEAR CAC France BX FP $6.,6 $96.8 ishares MSCI World UK IWRD LN $,567.7 959 $6.8 Lyxor ETF DAX Germany LYXDAX GY $57.7 6 $,85.8 CS ETF (CH) on SMI Switzerland CSSMI SW $,5. $.6 ishares EURO STOXX 5 Germany EUN GY $5., $,66.6 db xtrackers Euro Stoxx 5 ETF Germany XESX GY $,6.6,8 $75.9 Lyxor ETF Xbear FTSE MIB Italy XBRMIB IM $5., $87. db xtrackers MSCI World TRN ETF Germany XMWO GY $,8., $.8 Lyxor ETF MSCI India France INR FP $5.8,99 $,57. db xtrackers MSCI USA TRN ETF Germany XMUS GY $,86.6 59 $8. ComStage ETF DAX TR Germany CBDAX GY $6.5 8 $8. Lyxor ETF MSCI India France INR FP $,57.,99 $5.8 STOXX 6 Optimised Industrial G & S Source ETF Germany XNPS GY $. 5 $. ishares MSCI AC Far East exjapan UK IFFF LN $,. 78 $. STOXX 6 Optimised Basic Resources Source ETF Germany XPPS GY $. 8 $98. Lyxor ETF MSCI Emerging Markets France LEM FP $,.5,86 $6. STOXX 6 Optimised Banks Source ETF Germany X7PS GY $.8 $99. Note: reflects total fund. ADV reflects total of all exchange listings, share classes and OTC volumes. NNA reflects the total fund NNA. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 58

Top ETFs in Europe (continued) Ranked by largest change in Ranked by largest YTD net inflows ETF Bloomberg ticker YTD NNA Jan YE Change ETF Bloomberg ticker YTD NNA (US$ Mn) ADV ishares S&P 5 IUSA LN $75.5 $8,696.7 $7,95.8 $79.9 ishares S&P 5 IUSA LN $75.5 $8,696.7 $6. Lyxor Euro STOXX 5 MSE FP $.8 $9,. $8,78.6 $75. ETFlab DAX ETFDAX GY $6. $,7. $9. ETFlab DAX ETFDAX GY $6. $,7. $,7. $5. ishares STOXX Europe 6 (DE) SXXPIEX GY $97. $,7.8 $. ZKB Gold ETF ZGLD SW $5. $7,5.6 $7,8.8 $56. AMUNDI ETF Dow Jones EURO STOXX 5 C5 FP $9. $858. $.8 db xtrackers MSCI Emerging Market XMEM GY $. $5,9. $6,6. $. Lyxor ETF Euro Cash (EONIA) CSH FP $6.5 $,598. $.8 Lyxor ETF MSCI India INR FP $.7 $,57. $,56.5 $7. Lyxor ETF Russia (DJ RusIndex Titans ) RUS FP $56. $,.6 $8. db xtrackers DAX ETF XDAX GY $55.8 $,99.6 $,69. $98.5 db xtrackers DAX ETF XDAX GY $55.8 $,99.6 $7. ishares EURO STOXX 5 EUN GY $8. $,66.6 $,97.5 $69. ishares MSCI Emerging Markets IEEM LN $5.9 $6,658.8 $6.6 Lyxor ETF Leverage CAC LVC FP $6. $8. $676.8 $68.8 UBSETF MSCI USA USACHA SW $5. $,86. $7. AMUNDI ETF DJ EURO STOXX 5 C5 FP $9. $858. $67.6 $5. MAN GLG Europe Plus Source ETF MPFE GY $9.7 $9. $. ishares STOXX Europe 6 (DE) SXXPIEX GY $97. $,7.8 $,9.9 $6.8 Lyxor ETF Xbear FTSE MIB XBRMIB IM $8.9 $87. $5. ishares DAX (DE) DAXEX GY $66. $6,5. $5,97.7 $.5 CS ETF (IE) on MSCI EMU CSEMU SW $8.7 $7.5 $.6 ETFlab EURO STOXX 5 ETFSX5E GY $5.9 $,896. $,. $. Lyxor ETF Commodities CRB CRB FP $7.6 $,69. $. Lyxor ETF Russia (DJ RusIndex Titans ) db xtrackers Euro Stoxx 5 ETF Lyxor ETF Euro Cash (EONIA) db xtrackers II IBOXX Euro Sovereigns Eurozone 57 Total Return Index ETF ishares EURO STOXX 5 (DE) RUS FP XESX GY CSH FP X57E GY SX5EEX GY $56. $. $6.5 $. $. $,.6 $,6.6 $,598. $66. $5,.6 $,.9 $,. $,97.6 $6.7 $5,.7 $6.7 $. $.5 $98.8 $9.8 ishares Markit iboxx Euro High Yield Bond ETFlab DAX (Ausschuttend) db xtrackers DJ STOXX 6 Banks STOXX 6 Optimised Insurance Source ETF RDX Source ETF IHYG LN ETFDAXK GY XS7R GY XIPS GY RDXS LN $. $.8 $.7 $.9 $6.8 $6.8 $5. $555.9 $8. $.5 $5.9 $. $. $. $7. Lyxor EuroMTS Y MTA FP $8. $,.8 $,597.9 $87. db xtrackers MSCI AC Asia ex Japan TRN XAXJ GY $.7 $,. $. STOXX 6 Optimised Insurance Source XIPS GY $.9 $8. $99. $8.7 db xtrackers MSCI USA TRN ETF XMUS GY $8. $,86.6 $8. Note: reflects total fund. ADV reflects total of all exchange listings, share classes and OTC volumes. NNA reflects the total fund NNA. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 59

European ETF turnover as of European equity turnover ETF turnover ETF turnover as of European equity turnover, 7, 6 8, 5 6,,, Note: European equity turnover from main market and multilateral trading facilities includes electronic order book equity trading, offelectronic order book equity trading, reporting transactions and dark pool equity trading. Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, Federation of European Stock Exchanges (FESE). 6 Sep8 Oct8 Nov8 Dec8 Jan9 Feb9 Mar9 Apr9 May9 Jun9 Jul9 Aug9 Sep9 Oct9 Nov9 Dec9 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan ETF turnover ETF turnover as of European equity turnover

Average expenses of ETFs versus openend mutual funds in Europe Average TER(s) Alternative 5 Commodities Country exposure Europe equity Country exposure United States equity 8 Currency Emerging markets equity 69 European sector exposure equity 5 Eurozone sector exposure equity Fixed income 7 Global exposure equity 9 International equity 56 Inverse Leveraged 59 Leveraged inverse 6 Mixed 7 Regional exposure Europe equity 8 Regional exposure Eurozone equity Style equity 7 United States sector exposure equity 5 Total equity ETFs Total fixed income ETFS 7 Total all 5 Openend mutual funds Passive/indexed domestic equity Passive/indexed international equity Passive/indexed fixed income Actively managed domestic equity Actively managed international equity Actively managed fixed income. As at end February.. Captured from Morningstar on 5 March. Source: Morningstar, Global ETF Research and Implementation Strategy Team, BlackRock. 9 78 9 8 76 6 ETFs Average TER (bps)

ETP providers in Europe: ranked by assets Provider ETPs total listings Jan Assets total planned Jan NNA YTD NNA ETPs ETPs YTD change Assets assets market share ETF Securities 6 79 $. 66. $.5 $.5. $..9.7 Societe Generale $..7 $. $.. $..9.8 UBS AG 8 8 $.5. $. $.. $. 7.. db ETC 69 $..6 $. $.. $... Source Markets 8 7 $..5 $. $.. $... RBS 8 $..6 $. $.. $..8. Lyxor 8 $..6 $. $.. $..8. Barclays (ipath) $.. $. $.. $. 6.. Standard Commodities 5 $.. $. $.. $. 7.. ishares State Street Global Advisors Merrill Lynch Credit Suisse GAM Holding Total 5,65 $.5. 6 $.6 $.6. $.8.5 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 6

Top 5 ETF/ETP providers in Europe: ranked by assets Provider ishares Lyxor Asset Management db xtrackers/db ETC ETF Securities Credit Suisse Asset Management Zurich Cantonal Bank Commerzbank Amundi ETF ETFlab Investment ETFs/ ETPs 8 56 85 5 7 9 9 5 total listings 795 65 7 87 7 6 65 7 Jan Assets $.9 $5.5 $9.9 $.9 $5.7 $. $8.9 $7.9 $7. total 8... 5.6.....9 planned 5 Jan NNA $.9 $. $. $.5 $. $. $. $.6 $. YTD NNA $.9 $. $. $.5 $. $. $. $.6 $. ETFs/ ETPs ETFs/ ETPs.6..5...... YTD change Assets $. $. $.8 $. $. $.6 $. $.8 $. assets...7.5..9..6 5. market share......... Source Markets 87 9 $7..9 6 $.8 $.8.6 $.9.. UBS Global Asset Management EasyETF 9 Societe Generale Swiss & Global Asset Management 6 UBS AG 8 XACT Fonder RBS 8 PowerShares 9 BBVA Asset Management State Street Global Advisors 5 7 8 88 66 5 HSBC/Hang Seng 5 9 $.8. 8 $. $. 5. $... Marshall Wace LLP Seligson & Co Fund Management DnB NOR Asset Management Lyxor 8 8 $6.9.8 $5.9.6 $.. $.. $.5.9 $..9 $.5. $.. $.. $.. $.. $.. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. 6.9 $..5.. $. 5.6.. $..9.. $. 5... $. 7... $..8.. $..6.. $. 5.. 5. $..9.. $.... $..8.. $... $.. $. $.. $. 7.8. $.. $. $.. $..8. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 6

ETFs and ETPs listed in Asia Pacific (exjapan) At the end of January, the Asia Pacific (exjapan) ETF industry had ETFs with 8 listings and assets of US$5.5 Bn, from 6 providers on exchanges. This compares to ETFs with 8 listings and assets of US$6.9 Bn, from 7 providers on exchanges at the end of January. 7 August will mark the th anniversary of ETFs in Australia. Assets YTD, assets have increased by. from US$5. Bn to US$5.5 Bn, compared to the. fall in the MSCI AC Asia Pacific exjapan Index in US dollar terms. This compares to a decrease in assets of. over the same period in. ETFs YTD, the number of ETFs increased by 5.5 with new ETFs launched. This compares to a.9 increase over the same period in, when five new ETFs launched. Trading volume In January, the ETF average daily trading volume in US dollars decreased by. to US$.8 Bn, compared to December. This compares to average daily trading volume of US$.9 Bn in January. ETF providers State Street Global Advisors is the largest ETF provider in terms of assets with US$.6 Bn, in eight ETFs, reflecting. market share; ishares is second with 9 ETFs, assets of US$. Bn, and 8. market share; followed by HSBC/Hang Seng with four ETFs, assets of US$7. Bn and.9 market share; as at the end of January. YTD, one new provider has entered the industry launching their first ETF, while nine firms plan to launch their first ETFs in the future. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg 6

ETFs and ETPs listed in Asia Pacific (exjapan) (continued) Mutual funds During, according to Strategic Insight, net sales of mutual funds (excluding ETFs) were minus US$7. Bn in Asia Pacific (exjapan), while net sales of ETFs domiciled in Asia Pacific (exjapan) were positive US$8.7 Bn. ETPs Additionally, there were other Exchange Traded Products (ETPs) with 6 listings and assets of US$. Bn from 5 providers on five exchanges. This compares to ETPs with 5 listings and assets of US$.8 Bn from eight providers on five exchanges at the end of January.. ETPs are products that have similarities to ETFs in the way they trade and settle but they do not use an openend investment company structure. The use of other structures including grantor trusts, partnerships, notes and commodity pools by ETPs can create different tax and regulatory implications for investors when compared to ETFs which are funds. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg 65

Asia Pacific (exjapan) ETF and ETP asset growth Assets products 6 5 5 5 5 Assets 5 6 7 8 9 Jan ETF assets $.7 $.8 $6.6 $8.6 $.5 $8. $7. $.8 $8.5 $5. $5.5 ETP assets $. $.5 $.8 $. $. ETFs 7 9 68 96 ETPs 6 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 66

ETF providers in Asia Pacific (exjapan): ranked by Provider State Street Global Advisors ishares HSBC/Hang Seng China Asset Management Samsung Investment Trust Management E Fund Management Polaris Hua An Fund Management BOCIPrudential Asset Management Lyxor Asset Management db xtrackers Woori Asset Management Mirae Asset MAPS Global Investments China Southern Fund Management Bank Of Communications AIGHuatai Fund Management KB Asset Management Fubon Asset Management Korea Investment Trust Management Benchmark Asset Management DBS Asset Management Bosera Asset Management Smartshares Limited Vanguard ETFs 8 9 7 5 9 6 8 5 total listings 6 7 6 65 9 6 8 5 Jan $.6 $. $7. $.7 $. $. $.6 $. $. $. $. $. $.7 $.6 $.6 $. $. $. $. $. $. $. $. $. total. 8..9 6.8 5.7 5.5.7...8.8.8....7.7.7.6.5.5.5.5. planned 6 6 ETFs ETFs...... 5.. 66.7... 8.8........... YTD change $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $.....7 8.7..8. 9.7... 8... 7..5..6...6.6.5 market Share.8.5......5................ continued Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 67

ETF providers in Asia Pacific (exjapan): ranked by (continued) Provider ICBC Credit Suisse Asset Management ivcap Management AmInvestment Management CIMBPrincipal Asset Management Fortune SGAM Fund Management AMP GTJA Allianz Russell Investments HFT Investment Management Yurie Asset Management Ping An Penghua Fund Management UOB Asset Management One Asset Management BetaShares Capital CCB Principal Asset Management Hanwha Investment Trust Management Da Cheng International Asset Management Motilal Oswal Asset Management KTB Asset Management Sensible Asset Management Prudential Asset Management Daishin Investment Trust Management Kotak Mahindra Asset Management ETFs total listings Jan $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. total........................ planned ETFs ETFs........................ YTD change $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $. $...5..7.5...8.5.8.5 7.6.7...9....6 5.. 6..6 market share........................ continued Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 68

ETF providers in Asia Pacific (exjapan): ranked by (continued) Provider Tong Yang Investment Trust Management China International Capital Corp Australian Index Investments Daiwa Asset Management Krung Thai Asset Management TMB Asset Management Indo Premier Securities Reliance Capital Asset Management Hyundai Investments Quantum Asset Management UTI Asset Management PRUDENTIAL ICICI Allianz SE China Merchants Fund Management EasyETF Fullgoal Fund Management Birla Sun Life Mutual Fund Government Service Insurance Systems Guotai Asset Management Religare India Asset Management Tata Mutual Fund Other (Planned) ETFs 6 total listings 6 Jan $. $. $. $. $. $. $. $. $. $. $. $. total............ planned 5 ETFs ETFs............ YTD change $. $. $. $. $. $. $. $. $. $. $. $..9..7.6.5 5.6 6. 8. 7...7 8.9 market share............ Total 8 $5.5. 6 5.5 $.. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 69

Top ETFs in Asia Pacific (exjapan) Ranked by Assets Under Management () Ranked by US$ Average Daily Trading Volumes (ADV) ETF Country listed Bloomberg ticker ADV ( shares) ADV ETF Country listed Bloomberg ticker ADV ADV ( shares) ishares FTSE A5 China Index ETF* Hong Kong 8 HK $7,5. 99,99 $6. ishares FTSE A5 China Index ETF* Hong Kong 8 HK $6. 99,99 $7,5. Tracker Fund of Hong Kong (TraHK) Hong Kong 8 HK $6,78.7 9,59 $9. China AMC SSE 5 China 55 CH $98.8, $,9.6 Hang Seng Index ETF Hong Kong 8 HK $,85.5 5 $.6 E Fund SZSE China 599 CH $8. 76,67 $,76. China AMC SSE 5 China 55 CH $,9.6, $98.8 db xtrackers CSI Index ETF* Hong Kong 9 HK $.5,77 $7.5 Hang Seng HShare Index ETF Hong Kong 88 HK $,8.9,9 $. SHANGHAI SSE8 ETF China 58 CH $.,5 $856. E Fund SZSE China 599 CH $,76. 76,67 $8. Samsung KODEX Leverage ETF South Korea 6 KS $.,985 $.6 SPDR S&P/ASX Fund Australia STW AU $,598.6 85 $8. Samsung Kodex ETF South Korea 695 KS $5., $,96. ABF Pan Asia Bond Index Fund Hong Kong 8 HK $,8.5 8 $. Tracker Fund of Hong Kong (TraHK) Hong Kong 8 HK $9. 9,59 $6,78.7 Samsung Kodex ETF South Korea 695 KS $,96., $5. Polaris Taiwan Top 5 Tracker Taiwan 5 TT $.9,577 $,689. Polaris Taiwan Top 5 Tracker Taiwan 5 TT $,689.,577 $.9 Hang Seng HShare Index ETF Hong Kong 88 HK $.,9 $,8.9 World Index Shares ETFs CSI China* Hong Kong 87 HK $996.5,66 $. China SME ETF China 599 CH $5.6 5,57 $57. ishares MSCI India ETF Singapore INDIA SP $99.5 88 $5.7 Samsung KODEX Inverse ETF South Korea 8 KS $5., $.5 SHANGHAI SSE8 ETF China 58 CH $856.,5 $. World Index Shares ETFs CSI China* Hong Kong 87 HK $.,66 $996.5 Bank Of Communications Schroder SSE8 China 5 CH $595.8,767 $. Mirae Asset MAPS TIGER ETF South Korea KS $. 5 $7.5 China SME ETF Shenzhen Stock Exchange Component Stock Index ETF China China 599 CH 599 CH $57. $55.8 5,57 7,8 $5.6 $. W.I.S.E. Polaris CSI Investment Trust SPDR S&P/ASX Fund Taiwan Australia 6 TT STW AU $8. $8.,89 85 $87.9 $,598.6 W.I.S.E. Polaris CSI Investment Trust Taiwan 6 TT $87.9,89 $8. E Fund SSE Midcap ETF China 5 CH $7.,7 $9. db xtrackers CSI Index ETF Singapore XCSI SP $7.5 85 $.9 ishares MSCI India ETF Singapore INDIA SP $5.7 88 $99.5 Samsung KODEX Samsung Group ETF South Korea 78 KS $5. 88 $.9 Samsung KODEX Samsung Group ETF South Korea 78 KS $.9 88 $5. HuataiPineBridge Dividend ETF China 588 CH $9.5 6,57 $. Polaris/PShares MSCI Taiwan Financials Taiwan 55 TT $.5 8,9 $5. * This is a synthetic ETF. The relevant annotation that the fund is a synthetic ETF is a Hong Kong regulatory requirement. As such, for funds that are not authorized in Hong Kong, they may not carry the same annotation even though they may invest substantially in financial derivatives instruments. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 7

ETFs and ETPs listed in Japan At the end of January, the Japanese ETF industry had 8 ETFs with 8 listings and assets of US$. Bn, from seven providers on two exchanges. This compares to 69 ETFs with 7 listings and assets of US$. Bn from six providers on two exchanges at the end of January. There are 78 ETFs which have filed notifications in Japan. Assets ETFs YTD, assets have decreased by. from US$. Bn to US$. Bn, compared to the.9 increase in the MSCI Japan Index in US dollar terms. This compares to a.6 decrease over the same period in. YTD, there have been no new ETFs launched in Japan. This compares to a.5 increase over the same period in, when one new ETF launched. Trading volume In January, the ETF average daily trading volume in US dollars decreased by.5 to US$. Bn compared to December. This compares to average daily trading volume of US$. Bn in January. ETF providers Nomura Asset Management is the largest ETF provider in terms of assets, with US$5.8 Bn in ETFs, reflecting 5.9 market share; Nikko Asset Management is second with 7 ETFs, assets of US$6.9 Bn, and. market share; followed by Daiwa Asset Management with ETFs, assets of US$6. Bn and 9. market share; as at the end of January. Mutual funds ETPs In Japan, net sales of mutual funds (excluding ETFs) were US$65. Bn, while net sales of ETFs domiciled in Japan were US$.9 Bn during according to Strategic Insight. Additionally, there were nine other Exchange Traded Products (ETPs) with cross listings and assets of US$. Bn from four providers on two exchanges. This compares to five ETPs with cross listings and assets of US$. Bn from two providers on two exchanges at the end of January.. ETPs are products that have similarities to ETFs in the way they trade and settle but they do not use an openend investment company structure. The use of other structures including grantor trusts, partnerships, notes and commodity pools by ETPs can create different tax and regulatory implications for investors when compared to ETFs which are funds. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 7

Japan ETF and ETP asset growth Assets products 9 5 8 7 5 6 5 5 5 Assets 5 6 7 8 9 Jan ETF assets $6.6 $. $7.6 $. $.8 $.6 $. $7. $.6 $. $. ETP assets $. $. $. $. $. ETFs 8 8 8 5 5 6 68 8 8 ETPs 5 9 9 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 7

ETF providers in Japan: ranked by Jan YTD change Provider ETFs total listings total planned ETFs ETFs market share Nomura Asset Management $5.8 5.9. $.6.6. Nikko Asset Management 7 7 $6.9.. $..6.7 Daiwa Asset Management $6. 9.. $.8.. Mitsubishi UFJ Asset Management 5 5 $. 7.5. $...5 ishares $... $..9. Simplex Asset Management $... $... Kokusai Asset Management $... $. 68.7. EasyETF Samsung Investment Trust Management State Street Global Advisors Total 8 8 $... $.. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 7

Top ETFs in Japan Ranked by Assets Under Management () Ranked by US$ Average Daily Trading Volumes (ADV) ETF Bloomberg ticker ADV ( shares) ADV ETF Bloomberg ticker ADV ADV ( shares) TOPIX ETF 6 JP $7,95.,79 $. NIKKEI 5 ETF JP $6. 65 $6,6. NIKKEI 5 ETF JP $6,6. 65 $6. TOPIX ETF 6 JP $.,79 $7,95. Listed Index Fund 5 JP $,65.8 7 $. Listed Index Fund 5 JP $. 7 $,65.8 Listed Index Fund TOPIX 8 JP $,96.9 $. Daiwa ETF NIKKEI 5 JP $.6 8 $,8. Daiwa ETF NIKKEI 5 JP $,8. 8 $.6 TOPIX Banks Exchange Traded Fund 65 JP $.,5 $6. Daiwa ETF TOPIX 5 JP $,76.8 7 $.5 Listed Index Fund TOPIX 8 JP $. $,96.9 MAXIS S&P Mitsubishi Group ETF 67 JP $,85. 5 $.7 SSE 5 Index Linked ETF 9 JP $. 9 $. MAXIS NIKKEI5 ETF 6 JP $65.5 5 $.9 MAXIS NIKKEI5 ETF 6 JP $.9 5 $65.5 TOPIX Banks Exchange Traded Fund 65 JP $6.,5 $. Daiwa ETF TOPIX 5 JP $.5 7 $,76.8 SSE 5 Index Linked ETF 9 JP $. 9 $. NEXT FUNDS Tokyo Stock Exchange REIT JP $. 7 $. MAXIS TOPIX ETF 8 JP $. 57 $.6 Kokusai S&P5 VIX ShortTerm Futures Index ETF 55 JP $.7 5 $. MAXIS TOPIX Core ETF JP $. $. MAXIS S&P Mitsubishi Group ETF 67 JP $.7 5 $,85. TOPIX Core Exchange Traded Fund JP $89.9 9 $. MAXIS TOPIX ETF 8 JP $.6 57 $. NEXT FUNDS Ibovespa Linked ETF NEXT FUNDS Tokyo Stock Exchange REIT Index ETF Listed Index Fund China A Share (Panda) CSI 5 JP JP JP $5. $. $88.9 57 7 8 $.5 $. $. Simplex JASDAQ TOP Exchange Traded Fund Listed Index Fund JREIT (Tokyo Stock Exchange REIT Index) BiMonthly Dividend Payment Type NEXT FUNDS Ibovespa Linked ETF 55 JP 5 JP 5 JP $.6 $.6 $.5 9 57 $.7 $59. $5. Daiwa ETF TOPIX Core JP $87.8 $. NEXT FUNDS India S&P CNX Nifty Linked ETF 678 JP $.5 8 $.7 Nikkei Stock Index Listed Fund Daiwa ETF TOPIX7 ELECTRIC APPLIANCES & PRECISION INSTRUMENTS Listed Index Fund JREIT (Tokyo Stock Exchange REIT Index) BiMonthly Dividend Payment Type 9 JP 6 JP 5 JP $85.7 $6. $59. 6 $. $. $.6 Listed Index Fund China A Share (Panda) CSI Listed Index Fund International Emerging Countries Equity (MSCI EMERGING) Listed Index Fund International Bond (Citigroup WGBI) Monthly Dividend Payment Type JP 68 JP 677 JP $. $. $. 8 $88.9 $55. $.5 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 7

ETFs and ETPs listed in Latin America At the end of January, the Latin American ETF industry had 6 ETFs, with 65 listings and assets of US$9.7 Bn, from four providers on three exchanges. This compares to 7 ETFs, with listings and assets of US$9.5 Bn from three providers on three exchanges at the end of January. There were 89 ETFs cross listed in Mexico, ETFs registered for sale in Chile and 98 ETFs registered for sale in Peru, at the end of January. Assets YTD, assets have decreased by. from US$. Bn to US$9.7 Bn, which is less than the.6 decrease in the MSCI EM Latin America Index in US dollar terms. This compares to a.6 decrease in assets over the same period in. ETFs YTD, the number of listings have increased by.8, with ten new ETFs cross listed in Latin America. This compares to an 8. increase over the same period in, when new ETFs were cross listed. Trading volume In January, the ETF average daily trading volume in US dollars increased by. to US$. Bn, compared to December. This compares to average daily trading volume of US$. Bn in January. ETF providers ishares is the largest ETF provider in terms of assets with US$6.8 Bn, in 8 ETFs, reflecting 7. market share; BBVA Asset Management is second with US$.7 Bn in five ETFs, 7. market share at the end of January. ETPs Additionally, there were other Exchange Traded Products (ETPs) cross listed on one exchange in Latin America, at the end of January. This compares to seven other ETPs cross listed on one exchange at the end of January.. ETPs are products that have similarities to ETFs in the way they trade and settle but they do not use an openend investment company structure. The use of other structures including grantor trusts, partnerships, notes and commodity pools by ETPs can create different tax and regulatory implications for investors when compared to ETFs which are funds. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 75

Latin America ETF asset growth Assets products 5 8 6 5 5 Assets 5 6 7 8 9 Jan ETF assets $. $. $. $. $.7 $6. $5.5 $9.8 $. $9.7 ETFs 6 7 6 6 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 76

ETF providers in Latin America: ranked by Provider ishares BBVA Asset Management Itau Unibanco Protego Direxion Shares EasyETF Global X Funds Lyxor Asset Management PowerShares ProShares State Street Global Advisors Van Eck Associates Corp Vanguard WisdomTree Investments Total ETFs 8 6 5 total listings 8 8 65 6 9 9 Jan $6.8 $.7 $. $. $9.7 total 7. 7..6.. planned ETFs ETFs..... YTD change $. $. $. $. $... 5. 9.. market share.... Top ETFs in Latin America Ranked by Assets Under Management () Ranked by US$ Average Daily Trading Volumes (ADV) ETF ishares NAFTRAC BRTRAC PIBB FUNDO INDICE BRASIL 5 ishares Ibovespa Fundo de Índice ishares IPC Large Cap Total Return MEXTRAC ishares Mexico Corporate Bond ishares LATixx Mexico UDITRAC ishares IPC Mid Cap Total Return ishares LATixx Mexico CETETRAC Country listed Mexico Mexico Brazil Brazil Mexico Mexico Mexico Mexico Mexico Mexico Bloomberg ticker NAFTRAC MM BRTRAC MM PIBB BZ BOVA BZ ILCTRAC MM MEXTRAC MM CORPTRC MM UDITRAC MM IMCTRAC MM CETETRC MM $5,9. $,7. $,.6 $5.8 $5. $6.6 $6. $7.8 $7.8 $8.8 ADV ( shares) 5,5,9 5 5 75 69 57 5 ADV $6.9 $.5 $.5 $6. $. $.8 $. $. $. $. ETF ishares NAFTRAC ishares MSCI Brazil Index Fund SPDR S&P 5 PowerShares QQQ Trust ishares Ibovespa Fundo de Índice Direxion Daily Financial Bull x Shares Financial Select Sector SPDR Fund ishares MSCI Australia Index Fund BRTRAC ishares Dow Jones US Home Construction Country listed Mexico Mexico Mexico Mexico Brazil Mexico Mexico Mexico Mexico Mexico Bloomberg ticker NAFTRAC MM EWZ* MM SPY* MM QQQQ* MM BOVA BZ FAS* MM XLF* MM EWA* MM BRTRAC MM ITB* MM ADV $6.9 $5. $8. $8. $6. $. $.9 $.8 $.5 $.5 ADV ( shares) 5,5 5 96 9,9 55 $5,9. $,57. $9,96.6 $5,58.8 $5.8 $,78.6 $8,8.9 $,. $,7. $58.. For ETFs cross listed into Latin America from the US, reflects total fund (which is not counted in previous totals). ADV reflects US dollar volume of the specific exchange listing shown. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 77

ETFs and ETPs listed in Canada At the end of January, the Canadian ETF industry had 57 ETFs and assets of US$8. Bn, from four providers on one exchange. This compares to 5 ETFs and assets of US$8. Bn from four providers on one exchange at the end of January. 9 March will mark the st anniversary of the first ETF globally, which listed in Canada in 99. Assets YTD, assets have fallen by., from US$8. Bn to US$8. Bn, compared to the. increase in the MSCI Canada Index in US dollar terms. This compares to a.5 decrease in assets over the same period in. In January, net outflows from Canadian domiciled ETFs totalled US$. Bn. ETFs with exposure to North American indices saw US$. Bn net outflows, of which exposure to local Canadian equity indices saw US$. Bn net outflows, while ETFs/ETPs with fixed income exposure saw US$. Bn net inflows. ETFs YTD, there have been no new ETFs launched in Canada. This compares to a.7 increase over the same period in, when 6 new ETFs launched. Trading volume In January, the ETF average daily trading volume in US dollars increased by 8. to US$. Bn, compared to December. This compares to average daily trading volume of US$. Bn in January. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 78

ETFs and ETPs listed in Canada (continued) ETF providers ishares is the largest ETF provider in terms of assets with US$7.9 Bn in 8 ETFs, reflecting 7. market share; Claymore Investments is second with 9 ETFs and US$5.6 Bn, a.7 market share; followed by BetaPro Management with 6 ETFs, assets of US$.9 Bn and 7.7 market share, at the end of January. Of the US$. Bn net outflows from Canadian listed ETFs in January, ishares saw net outflows of US$. Bn while Claymore Investments saw net inflows of US$. Bn. ETPs Additionally, there were other Exchange Traded Products (ETPs) cross listed on one exchange in Canada at the end of January. This compares to eight other ETPs cross listed on one exchange at the end of January.. ETPs are products that have similarities to ETFs in the way they trade and settle but they do not use an openend investment company structure. The use of other structures including grantor trusts, partnerships, notes and commodity pools by ETPs can create different tax and regulatory implications for investors when compared to ETFs which are funds. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 79

Canada ETF asset growth Assets 5 8 products 6 5 5 8 5 6 5 Assets 999 5 6 7 8 9 Jan ETF assets $. $. $. $. $5.5 $7. $.6 $. $8. $5.7 $8.5 $8. $8. ETFs 5 6 6 6 6 77 57 57 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 8

ETF providers in Canada: ranked by Provider ishares ETFs 8 $7.9 Jan total 7. planned Jan NNA $. YTD NNA $. ETFs ETFs. YTD change $.5 assets.6 market share.7 Claymore Investments 9 $5.6.7 6 $. $.. $..7.9 BetaPro Management 6 $.9 7.7 $. $.. $..8. BMO Asset Management $.6. $. $.. $... Total 57 $8.. 9 $. $.. $.. Top ETFs in Canada Ranked by Assets Under Management () Ranked by US$ Average Daily Trading Volumes (ADV) ETF Bloomberg ticker ADV ( shares) ADV ETF Bloomberg ticker ADV ADV ( shares) ishares S&P/TSX 6 Index Fund XIU CN $,5. 5,8 $8.7 ishares S&P/TSX 6 Index Fund XIU CN $8.7 5,8 $,5. ishares DEX Short Term Bond Index Fund XSB CN $,97. 85 $8. Horizons BetaPro NYMEX Natural Gas Bull Plus HNU CN $98.7,7 $5.9 ishares DEX Universe Bond Index Fund XBB CN $,99.8 9 $9. Horizons BetaPro NYMEX Natural Gas Bear Plus HND CN $9.6 8,779 $89. ishares S&P 5 Index Fund (CADHedged) XSP CN $,97. 578 $8.5 Horizons BetaPro NYMEX Crude Oil Bull Plus HOU CN $7.9 9,59 $. ishares S&P/TSX Capped Composite Index Fund XIC CN $,78.5 55 $9.7 Horizons BetaPro S&P/TSX Global Gold Bull Plus HGU CN $8.,7 $78. ishares DEX All Corporate Bond Index Fund XCB CN $,58.7 6 $5. Horizons BetaPro NYMEX Crude Oil Bear Plus HOD CN $. 6, $7. ishares S&P/TSX Global Gold Index Fund XGD CN $,7.,8 $5. ishares S&P/TSX Capped Energy Index Fund XEG CN $7.,758 $,7. ishares S&P/TSX Capped REIT Index Fund XRE CN $,.6 $6. ishares S&P/TSX Global Gold Index Fund XGD CN $5.,8 $,7. ishares MSCI EAFE Index Fund (CADHedged) XIN CN $,76.6 $. Horizons BetaPro S&P/TSX 6 Bull Plus Fund HXU CN $.6,87 $8. ishares S&P/TSX Capped Financials Index Fund XFN CN $,. 8 $. Horizons BetaPro S&P/TSX Global Gold Bear Plus HGD CN $.,77 $57.6 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 8

Middle East and Africa ETF and ETP asset growth Assets products 5 8 6 5 8 5 6 5 Assets ETF assets ETP assets $. $. $. $.6 $. $.8 $. $. $.5 5 $.6 $. 6 $. $.5 7 $. $9. 8 $. $8. 9 $.8 $.8 $. $7. Jan $. $8.6 ETFs 5 7 8 7 9 9 ETPs 9 95 7 98 8 8 Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg, Bank of Israel. 8

ETF providers in Middle East and Africa: ranked by Provider Satrix Managers db xtrackers Bips Investment Managers Absa Capital STANLIB Fortress Asset Managers Investec Fund Management Falcom Financial Services Nedbank Capital National Bank of Abu Dhabi Al Mal Capital Gaon Investment House HSBC/Hang Seng Other (Planned) Total ETFs 7 5 7 9 $.5 $. $. $. $. $. $. $. $. $. $. Jan total 68.8 9.6 8. 6.5...5.... planned ETFs ETFs........... YTD change $. $. $. $. $. $. $. $. $. $. $. 8.8 6.9.6 6...9 9..8 9.6 6. 7.6 market share.9..7.7...... Top ETFs in Middle East and Africa Ranked by Assets Under Management () Ranked by US$ Average Daily Trading Volumes (ADV) ETF Country listed Bloomberg ticker ADV ( shares) ADV ETF Country listed Bloomberg ticker ADV ADV ( shares) SATRIX Satrix Dividend Plus SATRIX Financials Bips Government Inflation Linked Bond Fund SATRIX Industrials NewRand ETF SATRIX SWIX TOP SATRIX RAFI Total Return Bips Top db xtrackers MSCI World South Africa South Africa South Africa South Africa South Africa South Africa South Africa South Africa South Africa South Africa STX SJ $9. STXDIV SJ $6. STXFIN SJ $.5 BIPINF SJ $. STXIND SJ $86.5 NRD SJ $86. STXSWX SJ $7.5 STXRAF SJ $7.7 BIPS SJ $67.9 DBXWD SJ $59. 7,9 6 97 7 6 9 $.6 $. $. $. $. $. $. $. $.5 $. Bips Top SATRIX Bips Government Inflation Linked Bond Fund Zshares GOVI SATRIX RESI Satrix Dividend Plus SATRIX SWIX TOP STANLIB SWIX Fund Property Index Tracker SAPY Falcom Saudi Equity ETF South Africa South Africa South Africa South Africa South Africa South Africa South Africa South Africa South Africa Saudi Arabia BIPS SJ $.5 STX SJ $.6 BIPINF SJ $. ZGOVI SJ $. STXRES SJ $.7 STXDIV SJ $. STXSWX SJ $. STANSX SJ $. PTXSPY SJ $. FALCOM AB $. 6 7 97 65 85,9 59 8 $67.9 $9. $. $. $58. $6. $7.5 $5. $. $8. Note: Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock, Bloomberg. 8

Exchange Traded Funds (ETFs): product overview Most ETFs in Europe are UCITS funds which are the same as traditional mutual funds in Europe. In the United States, most ETFs are registered investment companies regulated under the Investment Company Act of 9 (the 9 Act ), the same as traditional mutual funds. ETFs in the United States require special exemptions from the Securities and Exchange Commission since they buy and sell shares at Net Asset Value ( NAV ) at the end of each day to a limited group of institutional investors. As a result, other shareholders in the United States who wish to buy or sell shares must trade in the secondary market, rather than directly with the fund unlike mutual funds. ETFs are openended index tracking funds. ETFs are managed by asset managers. ETFs are bought and sold through brokers. Trade on the exchange like any other stock. Settle like any other share on the exchange. Can be purchased, cleared and held in brokerage or custodial account. Can go long or short. Are lendable and marginable. Transparent underlying portfolios generally available daily. Real time indicative NAV. ETFs will generally price around their NAV due to the creation/ redemption process. Benefits: ETFs are not a derivative. Flexible. Transparent. Liquid. Small minimum investment. Ability to trade with multiple counterparties. ETFs are generally liquid: Liquidity reflects liquidity of underlying basket of shares not the trading volume of the ETF as long as trading with a broker which is an authorised participant. Creation/redemption process makes ETFs as liquid as their underlying shares. Unique structure for brokers who enter into legal agreements with the ETF asset managers to be authorised participants, creation/ redemption agents or liquidity providers: Portfolio of securities can be exchanged for Creation Units. Creation Units can be redeemed for underlying portfolio. Creation/redemption ( in kind ) feature allows for arbitrage and results in the fund trading near NAV.. Note a few active funds which disclose their portfolios daily have been approved and listed. 8

Exchange Traded Products (ETPs): product overview ETPs are products that have similarities to ETFs in the way they trade and settle but they do not use a mutual fund structure. The use of other structures by ETPs can create different tax and regulatory implications for investors when compared to ETFs which are funds. ETPs may not provide transparency on the underlying portfolio. ETPs may not have a real time indicative NAV. ETPs may expose the investor with up to counterparty risk. ETPs typically do not have an inkind creation/redemption process. Structures often used by ETPs: ETPs are openended. Grantor Trusts. ETPs are bought and sold through brokers. Delaware Statutory Trust. Trade on the exchange like any other stock. New York Grantor Trust. Settle like any other share on the exchange. Special Purpose Company. Partnerships. Secured Note. Unsecured Note. Can be purchased, cleared and held in brokerage or custodial account. Can go long or short. Are lendable and marginable. Commodity Pool. 85

ETF/ETP tool box Equity Fixed income Cash Currency Global Capitalisation e.g. large, mid, small Sectors Broad markets Emerging markets Countries Inverse/leveraged Styles Active Dividend Fundamental Infrastructure Real estate Shariah Thematic Private equity Value Growth Government Corporate Credit Inflation High yield Mortgage backed Emerging markets EONIA, SONIA Fed funds Alternatives Hedge funds Carbon Volatility Developed currencies Emerging market currencies Inverse/leveraged Strategy e.g. carry, momentum Commodities Broad e.g. S&P, GSCI, DJUBS, RICI, CRB Subindices e.g. energy, livestock, precious metals, industrial metals, agriculture Individual commodities Based on physically held assets e.g. gold, silver, platinum, palladium Based on futures Based on forwards Inverse/leveraged,5 ETFs with 5,7 ETF listings,7 other ETPs with,786 ETP listings Total:,57 products with 7,87 listings. Other Exchange Traded Products (ETPs) include Holding Company Depository Receipts (HOLDRs), Exchange Traded Commodities (ETCs), Exchange Traded Currency products, and Exchange Traded Notes (ETNs). Data as at end January. Source: Global ETF Research and Implementation Strategy Team, BlackRock. 86

Fixed income core and specialities Equity core and specialities Structured products Liabilitydriven investments Quantitative products Real estate (including REITs) Commodities Active Passive Innovative Net revenue margin (basis points) Private equity Hedge funds Shortextension funds Absolute return Infrastructure funds Innovative products Source: BCG Global Asset Management 9, Conquering the Crisis, July 9, Projections 8. Estimated size, 8 ($trillions). Scale = $ trillion Active products Money market Passive equity Passive fixed income Passive products/etfs ETFs CAGR, 8 () New asset classes will continue to squeeze the traditional core of actively managed funds New asset classes 87

How should I decide which product to use? Considerations What is my benchmark? Products Product structure What are my regulatory guidelines? Portfolio trading Domicile What are my mandate constraints? ETFs Country registrations Portfolio holdings What are my counterparty risk guidelines? ETNs ETPs Assets Under Management What are my tracking risk guidelines? Swaps Average daily trading volume ETF provider / manager Transparency Client service How can I gain long and/or short exposure? How can securities lending add value? What is my time horizon? What are the tax implications? Futures Options Securitised products: certificates, warrants, equity linked notes, local access products Product choice What are my liquidity requirements? Liquidity What costs are involved? 88

Why use ETFs? Transparency Liquidity Diversification Flexibility Cost effectiveness Securities lending. Source: Morningstar. March. Investors can generally see the ETF composition at any given time ETFs offer two sources of liquidity: Traditional liquidity measured by secondary market trading volume The liquidity of the underlying assets via the creation and redemption process ETFs provide immediate exposure to a basket or group of securities for instant diversification Broad range of asset classes including equities, bonds, commodities, investment themes etc ETFs are listed on exchanges and can be traded at any time the market is open Pricing is continuous throughout the day ETFs offer a costeffective route to diversified market exposure The average total expense ratio (TER) for equity ETFs in Europe is bps versus 9 bps (per annum) for the average equity index tracking fund and 8 bps (per annum) for the average active equity fund ETF units and underlying assets can be lent out to potentially offset holding costs 89

How can ETFs be used? Strategic Market exposure: Implement a wide variety of investment strategies using a broad range of market exposures Directional views: Establish a broad directional market position, use long and short trades to implement market view(s) Core satellite: Achieve strategic focus Rebalancing: Adjust drift in a portfolio s asset allocation or style Completion: Add uncorrelated instruments and/or asset classes to strategy Tactical Interim beta: Maintain exposure to a given market while searching for a specific market opportunity Cash management: Invest cash rapidly and cost effectively to gain desired market exposures Derivatives alternative: Broad opportunity set of Delta exposures with single line cash based settlement Exposure management: Shift portfolio emphasis by adjusting exposures (e.g. duration, credit) Thematic: Implement thematic exposures (e.g. dividends, alternatives) 9

ETFs can offer solutions for a range of portfolio strategies Portfolio construction Fill allocations required by investment strategy Improve diversification Gain exposure to size, style, yield, sector, geography Portfolio management Implement short, long term and/or neutral market views: Hard to access asset classes, themes, sector, country Tactical asset allocation Strategic asset allocations Establish core holdings Establish single country or sector satellites Risk management Active risk budgeting Combine ETFs in managing total portfolio volatility or duration adjustments in fixed income portfolios Cash equitisation Manage inflows, outflows, transitions Obtain wider exposures than offered by other Delta products Exposure Exposures to markets or asset classes where one has no expertise or operational capabilities Note: The strategies discussed are strictly for illustrative and educational purposes and should not be construed as a recommendation to purchase or sell, or an offer to sell or a solicitation of an offer to buy any security. There is no guarantee that any strategies discussed will be effective. 9

Asian institutions build out investment capabilities Asian institutions appetite for using external asset managers is growing slowly with the recovery in global markets. Although a recent flurry of RFPs marked a resumption in manager hiring after a near deadstop during the market crisis, institutional investors in Asia continue to build out their own investment management capabilities with an eye towards internalising assets for specific investment strategies. In addition, Asian institutions are not planning to limit their internal management to passive strategies; many are looking to go toe to toe with external managers in active strategies with the goal of generating alpha. These conclusions are drawn from the results of Greenwich Associates Asian Investment Management Study, in which 8 of the largest institutional investors in Hong Kong, Macau, China, Taiwan, South Korea, Singapore and other Asian countries were interviewed. These institutions together manage some $5 trillion in assets, a sum that was roughly unchanged from 9 to. About one third of Asian institutions use ETFs as part of their investment strategies. ETFs are most widely employed due to their relatively high levels of liquidity and flexibility, and for their ability to provide institutions with a means of accessing specific investment strategies or exposures.. Greenwich Associates conducted interviews with 8 of the largest institutions in Brunei, China, Hong Kong/Macau, India, Indonesia, Malaysia, the Philippines, Singapore, South Korea, Taiwan and Thailand. Interview topics included asset allocation, product fees paid and compensation. Source: Greenwich Associates: Asian Institutions Build Out Internal Investment Capabilities, Asian Investment Management June. 9

ETFs gain foothold in institutional market In the United States, where ETFs are most commonly thought of as a retail product, institutional investors are finding that ETFs can be helpful tools for cash equitisation, transition management, rebalancing, and obtaining hard to achieve exposures. According to a recent survey by Greenwich Associates, ETF use among United States pension funds, endowments and foundations has grown to about, according to the results of Greenwich Associates most recent annual study of the United States investment management market. How ETFs are used by United States Institutions Tactical adjustments Transitions 5 8 56 Despite that relatively modest share, institutions actually represent roughly half the assets invested in ETFs in the United States according to recent industry estimates. Cash equitisation 6 Almost half the institutional users in the Greenwich Associates annual study say they employ ETFs for what they consider tactical tasks related to the management of their portfolios. Approximately of institutional ETF users say they employ the funds to implement strategic or longterm investment decisions, and an equal share report that they use ETFs for both tactical and strategic purposes. Greenwich Associates asked the institutions participating in the survey to name the providers they use for ETFs. The results revealed the following: ishares/blackrock is by far the most widely used provider of ETFs among United States institutions; and Core/satellite Rebalancing Portfolio completion ETF overlay 8 5 9 5 Most institutions that employ ETFs use more than one provider: 89 of institutional ETF users obtain ETFs from ishares/blackrock, whereas 6 use SPDRs/State Street and 5 use Vanguard. Other 6 5 5 6 75 9 5 Plan sponsors Money managers. Greenwich Associates surveyed United States pension funds, endowments, foundations, and money managers that identified themselves as ETF users. Seventy institutions participated in the survey, including plan sponsors and 7 money managers. The survey was conducted from 8 March to 6 March.. Based on responses from 7 United States plan sponsors and money managers using ETFs. Source Greenwich Market Pulse ETFs. Source: Greenwich Associates: ETFs Gain Foothold in Institutional Market, April. Greenwich Market Pulse ETFs. 9

ETFs gain foothold in institutional market (continued) Institutions cite a range of criteria used in selecting an ETF provider. In addition to the obvious consideration of fees, institutions rank four factors as particularly important in selecting an ETF provider: liquidity, benchmark, the track record of the fund, and reputation of the company behind the fund. Expected change in asset allocation to ETFs Increase > Almost 55 of institutions currently employing ETFs expect their usage of the product to increase in the next three years, including nearly that expect the amount of assets dedicated to ETFs to grow by 5 in that period. Money managers are slightly more apt to predict an increase in use: approximately 65 expect to be devoting more assets to ETFs in the next months, compared with half of plan sponsors. About of plan sponsors expect to reduce their use of ETFs. Increase 5 Increase No change 8 5 Nearly of institutions that do not use ETFs say they lack familiarity with the product. Decrease (8) One way to address this lack of information would be for providers to win over investment consultants, who would then be in a position to explain the product to their institutional clients as both a tool for tactical adjustments and a means of obtaining desired exposures. Decrease 5 (5) The results of this recent Greenwich Market Pulse suggest that many investment consultants are not currently recommending ETFs or even initiating discussions with their clients about the product. Decrease > () () (). Based on responses from 7 United States plan sponsors and money managers using ETFs. Source: Greenwich Associates: ETFs Gain Foothold in Institutional Market, April. Greenwich Market Pulse ETFs. 9

Growth in institutional users of ETFs Number of institutions Number of institutions,,,5,5,,,5,5,, 5 5 Number of institutions 997 998 999 5 6 7 8 United States 5 56 78 889,,5,,559,78,5 Europe 6 9 6 5 5 5 6 68 68 Canada 7 55 68 6 58 7 77 95 Asia Pacific 9 5 8 5 6 79 Latin America 5 8 7 9 6 57 68 Other 5 5 5 Total 65 78 76,,97,7,67,9,,66,96 Source: Global ETF Research and Implementation Strategy Team, BlackRock, Thomson Reuters. 95

Global institutions reported assets: as at end December 8 Firm reported assets >5 Bn 5 Bn Bn 5 Bn 5 Bn 5 Mn 55 Mn 5 Mn < Mn Total institutions All reporting firms 9 5 5,6 86,96,,5 7, Reported assets 5,,68,55,8,76,7,8,979,68, 6,8,69 5,96,9 6,7,589 Reported ETF users institutions 8 8 7 98 8 6 55 686,99 Reported ETF assets 68,5 69,8 5,57 5,56,9,,59,79,7 7,67 institutions of ETF users 7.8 7. 56.8 7.8 5. 8.5 7. 5.. 6.7 Reported ETF assets.....6....6.7 Firm type Investment managers Bank and trust Endowment fund Finance company Foundation Hedge fund Insurance company Investment advisor Pension fund Private equity Sovereign wealth fund Venture capital Brokerage firms Strategic entities Holding company Government agency Corporation Total institutions All reporting firms 7,6 9 7, 6,6 6 5 5,7 5 97 9,69 7, Reported assets,87,58 9,5,77 6, 9,6 6,9,9,5 55,665,858 5, 5,6 8,6,8,779 5,76 6,8,, 6,7,589 Reported ETF users institutions, 58 8 56 6,857 8 7 5 5 6,99 Reported ETF assets 76,88 5,959,8,9,67,5 8,69 8 86,869,8, 7,7 7,67 institutions of ETF users.6. 7...5.6.8.6 6.8. 6.7..5.... 6.7 Reported ETF assets.5.8 5.8......6... 5.7.....7 Source: Global ETF Research and Implementation Strategy Team, BlackRock, Thomson Reuters. 96

Types of institutional users of ETFs Type of institution 997 998 999 5 6 7 8 Investment advisor 9 9 59 8 9,,67,8,56,96,5 Hedge fund 9 7 5 8 9 85 8 Bank and trust 9 67 9 9 9 6 7 89 9 Pension fund 5 8 9 5 8 8 5 6 5 8 Brokerage firm 5 5 6 5 8 7 5 8 Insurance company 9 7 9 5 6 65 66 7 8 7 Endowment fund 5 5 7 8 9 9 Private equity 7 9 Holding company 5 Corporation 6 5 Foundation Sovereign wealth fund Venture capital Total 65 78 76,,97,7,67,9,,66,96 Source: Global ETF Research and Implementation Strategy Team, BlackRock, Thomson Reuters. 97

98 Source: Global ETF Research and Implementation Strategy Team, BlackRock, Thomson Reuters. Growth in institutional users of ETFs 9 5 Taiwan 8 8 8 5 6 6 5 Chile 6 Liechtenstein 6 7 9 5 5 6 Singapore 6 6 7 5 Portugal 6 9 9 6 Belgium 7 9 9 9 5 5 Greece 9 8 Netherlands 8 7 8 Australia 9 9 7 Hong Kong 7 8 6 Argentina 8 7 9 Austria 9 7 6 7 5 7 Sweden 9 7 Mexico 5 6 6 7 6 Italy 9 6 Luxembourg 59 56 7 6 9 France 7 6 5 9 9 6 Germany 76 76 76 7 6 6 6 7 8 Spain 9 9 6 6 8 5 6 9 7 Switzerland 95 77 7 58 6 68 55 7 Canada 87 79 55 6 55 7 5 5 9 United Kingdom,5,78,559,,5, 889 78 56 5 United States 8 7 6 5 999 998 997 Country 7 9 8 5 6 Japan Barbados Slovenia Colombia Thailand 5 5 Denmark 5 5 5 8 7 6 6 Ireland 5 6 Bermuda Brazil Iceland India Czech Republic Poland Virgin Islands (US) Cayman Islands Hungary Bahamas Peru 7 7 Norway 7 Malaysia 6 7 5 7 7 South Africa 6 7 Finland,96,66,,9,67,7,97, 76 78 65 Total 8 7 6 5 999 998 997 Country

ETF portfolios Conservative Balanced Growth Dynamic Fixed income BarCap Government Bond BarCap Government Bond 5 BarCap Government Bond 7 iboxx Liquid Corporate Bond Equities MSCI Europe exuk FTSE S&P 5 MSCI North America Nikkei 5 MSCI Emerging Markets Property FTSE EPRA/NAREIT Global Property Yield Alternatives FTSE/Macquarie Global Infrastructure S&P Listed Private Equity DowJonesUBS Commodity Lower Expected risk Higher Lower Expected return Higher Note: Sample portfolios are for illustrative purposes only and should not be construed as a recommendation to purchase or sell, or an offer to sell, or a solicitation of an offer to buy any security. Source: BlackRock. 99

Coresatellite: ETFs can be used in the core portfolio, as well as in the satellite ETFs in the core ETFs in the satellite Active strategy ETFs Active strategy ETF satellite Portfolio ETF satellite Active strategy ETF satellite A broad market index. Exposure to diversified baskets of securities. Optimised core: sector, style or country indices. Concentrated, focused ETFs. Sector and style. Individual countries and regions. Alternative asset class.