1 ETF EXECUTION SERVICE OFFERING National Bank Correspondent Network Christine Rodrigues, Senior Vice President, Business Development and Relationship Management

2 AGENDA INTRODUCTION AND OVERVIEW OF SERVICE OFFERING PROCESS WALKTHROUGH NEXT STEPS AND OPERATIONAL CONSIDERATIONS

3 National Bank Correspondent Network (“NBCN”) is the premier provider of custody, trade execution and brokerage solutions to independent Portfolio Managers and Investment Dealers. Today, we service over 400 firms representing more than $100B in assets under administration. We were approached by the Canadian ETF Association (CETFA) to help find a solution to provide custody, trade executions and clearing services for Mutual Fund Dealers specific to certain ETF products. Our solution is to offer these services through one omnibus account per Mutual Fund Dealer. INTRODUCTION AND OVERVIEW OF SERVICE OFFERING

4 DIVISION OF RESPONSIBILITIES Mutual Fund DealerNBCN Relationshi p with Client Responsible for all administrative, reporting and regulatory responsibilities Relationship is solely with the Dealer AccountsBook of record for individual accounts One omnibus account per Dealer. TradingSend trade instructions to NBCN for omnibus account Responsible for all regulatory responsibilities Execute trade on market and send confirmation and trade files to Dealer Entitlement s & Corporate Actions Provide instructions to NBCN for omnibus account Report on Dealer Book of Record Allocate to individual accounts Execute corporate actions in Dealer’s instructions in omnibus account Execute entitlements in omnibus account Provide details to Dealer on a bulk basis TransfersProvide instructions to NBCN Confirm all client details Follow-up on incoming or outgoing transfers Set up transfers on CDS based on Dealer’s instructions Provide confirmation of CDS processing Reconciliat ion Responsible for all reconciliation Provide files to support Dealer’s reconciliation process

5 PROCESS WALKTHROUGH Mutual Fund Dealer ORDER NBCN FIX CONNECTION TRADING SYSTEM MARKET ORDER EXCHANGE FILL TRADE EXECUTION/RECONCILIATION OMNIBUS ACCOUNT CONFIRMATION LONG POSITION IN OMNIBUS ACCOUNT T+1 FILE OF ALL PROCESSED TRADES

6 PROCESS WALKTHROUGH Mutual Fund Dealer NBCN TRADING SYSTEM MARKET EXCHANGE OMNIBUS ACCOUNT SETTLEMENT CDS CLEARING TRADE FILE SETTLEMENT BOOKING TRUST ACCOUNT NET CASH EXCHANGE

7 NEXT STEPS AND OPERATIONAL CONSIDERATIONS Operational Considerations Electronic connection to NBCN for trade execution via FIX protocol (Financial Information eXchange) Entitlements: NBCN will provide factors on a bulk basis. The Dealer must have the ability to track and post at the individual client level in order to perform the proper allocation on the Dealer’s Book of Record. The Dealer must be able to maintain a reconciliation process using NBCN’s daily transaction files. Next Steps Determine that the process can be supported. Contact a NBCN Regional Vice President to learn more about the offering.