Deutsche Bank Community Development Finance Group

*Global Social Debt Fund management fees typically range from 1.50% to 2.00% of Outstanding Gross Loan Portfolio. Deutsche Bank’s fees are among the lowest in the microfinance fund management sector.

Global Social Investment Fund

DB Microfinance Development Fund

Fund Rationale By the late 1990’s, microfinance had demonstrated itself as a profitable means to help alleviate poverty through a business model. While the microfinance sector showed great potential to quickly serve the financial needs of the 2.47 billion poor individuals without access to financial services, the industry’s expansion required large volumes of wholesale capital. However, the microfinance sector was still largely dependent upon limited donor and development agency support and no precedents of replicable financings from the commercial sector existed to spur large volumes of private investment. The DB Microfinance Development Fund (“DB MDF”) was the first investment fund created by a global financial institution to support the microfinance sector. Since DB MDF’s creation, the microfinance fund model has been replicated by many other banks and asset managers, becoming a major source of capital for the microfinance industry. Fund Investment Strategy The DB MDF’s objective is to foster growth in underdeveloped microfinance sectors by deploying catalytic debt financings to early stage MFIs, pairing the brand name of Deutsche Bank with philanthropically motivated capital to attract other investors. DB MDF targets MFIs with strong social missions focused on achieving sustainability and responsible pricing. DB MDF uses Deutsche Bank’s Social Investment Score Card to assess an MFI’s commitment to its social mission and whether its credit methodology, policies and procedures help to protect and promote the well-being of its clients. DB MDF adapts to the evolving needs of the microfinance industry. Historically, it has helped MFIs forge relationships with local commercial banks by providing first loss guarantees, provided direct loans when local commercial banks are unwilling to lend on reasonable terms, and acts as a first lender to MFIs which have emerged from troubled periods in their history, helping to demonstrate their creditworthiness and attract other lender support. In 2005, the DB Start-Up Fund was created within the DB MDF to deploy high risk capital to start-ups in nascent microfinance markets. Portfolio Details DB MDF has provided credit support to MFIs for 15 years and counts some of the largest and most successful MFIs in the world among its earliest borrowers. It has supported over 64 MFIs in 37 developing countries. It currently has loans outstanding to 19 institutions in 18 countries. With loan losses less than 2.5% of loans disbursed, the DB MDF has demonstrated impressive asset quality. Country Distribution (Outstanding)

Country Borrowers % Portfolio Country Borrowers % Portfolio Azerbaijan 1 9% Moldova 1 4% Bolivia 1 9% Morocco 1 6%

Bulgaria 1 8% Nicarugua 1 11% Cambodia 1 7% Pakistan 1 2% Ecuador 1 1% Peru 1 11% Honduras 1 11% Samoa 1 1% Indonesia 1 4% Sri Lanka 1 2% Kazakhstan 2 3% Tajikistan 1 2% Kenya 1 4% Tonga 1 4%

Capital Structure Details The DB MDF is a US non-profit organization, capitalized by: (i) donations & retained surpluses (82%), and (ii) philanthropically motivated loans (18%), provided by the public, foundations, clients and employees of Deutsche Bank, and the DB Americas Foundation.

Fund Facts

Legal Name Deutsche Bank Microcredit Development Fund

Capitalization $4.4mm

Domicile Delaware

Inception February 1997

Fund Term Open Ended

Investment Advisor Deutsche Bank

Assets Held Senior Debt, Letters of Credit, FX Hedges

Base Currency USD

Management Fee Pro Bono*

Portfolio Holdings

Outstanding Portfolio $2.25mm

Outstanding # MFIs 19

MFIs Supported Since 64 Inception

Avg. Loan Size to MFIs $118,421

Avg. Loan Tenor 3.2 Yrs

Local Currency Loans 100%

Estimated # Loans to 745,365 Microentrepreneurs Financed by Fund

Regional Distribution

Caucasus11%

Central Asia6% Eastern

Europe 15%

Africa13%Latin

America55%