Monex Financial Group

Presentation
Monex Grupo Financiero
— Monex was given the authorization to become a “Financial Group” by the
Mexican Finance Ministry (Secretaría de Hacienda y Crédito Público) on May
22th, 2003.

— The Financial Group, is formed by a holding company and three financial

entities: Banco Monex (Bank), Monex Casa de Bolsa (Securities Brokerage)
and Monex Operadora de Fondos (Mutual Funds).
Monex Grupo Financiero

— In August 2006 Monex completed the acquisition of Comerica Bank Mexico, actually Banco Monex.

— Monex tranfered FX operation from Brokerage House to Bank in December 2007.

— Monex Group head-office is located in Mexico City and has 43 branches throughout Mexico, that enable
Monex to provide a better service to their customers nationwide.

— To offer investment opportunities in international markets, Monex has a subsidiary in the United States
located in Houston Texas, Monex Securities Inc., is a member of the National Association Securities
Dealers (NASD) and is authorized by the Securities Exchange Commission (SEC) to engage in securities
business.

— Through its professionalism and financial soundness, it has built a “brand name” recognized by the largest
domestic and foreign companies that do business in Mexico.

— On June of 2007, Standard and Poor’s Ratings Services raised its long term Mexican national scale
counterparty credit rating to ‘mxA’ on Banco Monex, Institución de Banca Múltiple and confirmed our short
term Mexican national scale rating of ‘mxA-2’. The outlook is stable.

— On July of 2007, Fitch Ratings raised to ‘A(mex)’ on Monex Casa de Bolsa.

— On June of 2007, Standard and Poor’s Ratings Services raised its long term Mexican national scale
counterparty credit rating to ‘mxA’ on Monex Casa de Bolsa and confirmed our short term Mexican
national scale rating of ‘mxA-2’. The outlook is stable.
 Our Recent History

„ Banco Monex
acquisition
„ Authorization „ Authorization „ Ahorra Ahora
„ Monex begins to distribute for OTC (pension fund
foreign exchange mutual funds derivatives management).
operations „ Brokerage trading Begins operations
International and House „ ‘A(Mex)’ rating „ Corros Monex „ DNV ratifies
payment becomes from Fitch System (Electronic ISO 9001
processing profitable Ratings broker) Certification

1985 2001 2003

2002 2004 2004 2005 2006 2007 2008

„ ISO 9001
„ Acquisition of „ Grupo „ Monex Financiera Trade „ S&P rating
Casa de Bolsa Financiero Finance raised to ‘mxA’
(Brokerage (holding „ Social Responsibility „ Transfer of
House) and company) is award foreign
fund formed „ Great Place to Work exchange
management „ Transfer of award activities to
business foreign „ Higher than standard Banco Monex
exchange rating from S&P granted
activities to to Casa de Bolsa as first
Brokerage Common Representative
House
Key Highlights

— Leading Mexican foreign exchange payments provider

— Best-in-class, experienced management team
— 39,054 clients – small and medium sized businesses and individuals
— Extensive office network – 43 key cities in Mexico
— Efficient transaction processing platform – US$70.5 billion in foreign exchange
transactions and 3.2 million annual payments
— 36.993 billion pesos in Total Assets Under Management
— 22 year operating history and 1,417 employees
— Non-capital intensive, fee-based, low-risk complementary business portfolio
— Solid governance and risk management practices and state-of-the-art IT
platform
— ISO 9001 certificate in AML and anti-terrorism financing (ATF) at group wide
level for all products and services
— Strong balance sheet and financial performance
 Our Distribution Network

NORTH REGIONAL SOUTH REGIONAL

Chihuahua Cancún
Ciudad Juárez Cozumel
Matamoros Cuernavaca
Monterrey Mérida
Monclova Playa del Carmen
Nuevo Laredo Puebla
Piedras Negras Tapachula
Reynosa Veracruz
NY001ZCZ_1.wor Saltillo Villahermosa
Tampico
Torreón
Houston

CENTER METROPOLITAN
REGIONAL REGIONAL
Aguascalientes Matriz
Colima
WEST REGIONAL
Irapuato
León
Manzanillo Los Cabos
Metepec Culiacán
Morelia Ensenada
Pachuca Guadalajara
Querétaro Hermosillo
San Luis Potosí Mexicali
San Miguel de Allende Tijuana
Zacatecas Puerto Vallarta
Puerto Peñasco
Board of Directors

Regular Members Alternates

Héctor Lagos Dondé (Chairman of the Board) Patricia García Gutiérrez
Héctor Lagos Cué (Founder and Honorary Arturo Acevedo Aceves
Chairman) Moisés Tiktin Nickin
Pedro Dondé Escalante Carlos Ayón Cárdenas
Hernando Carlos Luis Sabau García Manuel Galicia Alcalá
Jorge Jesús Galicia Romero

Examiner Alternate Examiner

Jorge Rico Trujillo
José Carlos Rivera Nava

Secretary Alternate Secretary

Jacobo G. Martínez Flores
Alejandro Fuentes Villanueva
Supervising Authorities

In Mexico

9 Monex is a financial entity authorized, regulated and supervised by the

CNBV, Banco de México (Mexico’s Central Bank) and SHCP (Mexico’s
Ministry of Finance)
9 Monex is also regulated regarding its Anti Money Laundering procedures
9 Monex Casa de Bolsa is member of the AMIB
9 Banco Monex is a member of Mexico’s Banking Association

In the U.S.

9 Securities Exchange Commission (SEC)

9 National Association of Securities Dealers (NASD)
 Products and Services

Monex
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Grupo Financiero
Monex Financiero
GrupoFinanciero
Grupo Financiero

ForeignExchange
Foreign Exchange
StockExchange
Stock Exchange TrustFunds
Trust Fundsand
and Creditand
Credit andBanking
Banking
Servicesand
Services and AssetManagement
Asset Management Derivatives
Derivatives
Services
Services Investment Banking
Investment Banking Services
Services
PaymentProcessing
Payment Processing

BondHolders’
Bond Holders’
MoneyMarket
Money Market ProprietaryMutual
Proprietary Mutual Exportand
Export andImport
Import
Documents
Documents Instruments Funds
Futures
Futures Common
Common Finance
Instruments Funds Representative Finance
Representative

CapitalMarket
Capital Market Co-distributed
Co-distributed WorkingCapital
Working Capital
Travelerschecks
Travelers checks
Instruments MutualFunds
Funds
Options
Options TrustServices
Trust Services
Financing
Instruments Mutual Financing

SavingsFunds
Savings Funds Securities
Securities
Transfers
Transfers InvestmentFunds
Investment Funds Management
Management Forwards
Forwards Pledge
Pledge
System
System Financing
Financing

International Investment
Investment
Cash
Cash International ExchangeRisk
Exchange Risk
(ForeignCurrency
(Foreign Currency Retirement
Retirement CorporateFinancel
Corporate Financel
Management
Management Investments)
Insurance
Insurance
Investments) Accounts(PPR)
Accounts (PPR)

PensionFund
Pension Fund
PrivateEquity
Private Equity
Management
Management

PrivateWealth
Private Wealth
Management
Management
Products and Services

‰ Foreign Exchange (FX)

— Documents.- Monex has business relations with leading banks in the world, which allows
it to cash documents in any currency in national and international banks. Further more,
Monex issues documents in any currency that can be cashed in any part of the world,
only a foreign exchange house as important as Monex can offer this service.

— Traveler Cheques.- Monex offers the purchase and sale of traveler checks. These
traveler checks have the international backup of the American Express brand.

— Wire Transfers.- Monex has an electronic banking connection with the main national and
international banks. Monex utilizes automatic systems to allow full control and high
productivity of its transactions.

The professional business relations with the main banks of the world, the complex
system networks and the most advanced technology in telecommunications give us
fluency and security for the immediate and accurate execution of operations, which
distinguishes Monex as the most reliable foreign exchange institution in the market.

— Cash Management.- Investments in pesos, euros, dollars, yen

Products and Services

‰ Futures, Options, Forwards

— Our exchange rate risk management products address:
• Trade transactions
• Foreign currency payments to suppliers
• Hedging of open positions denominated in foreign currencies

— Products include: listed futures and options on currencies, equity and interest
rates, and over-the-counter forwards and options on the same underlying
assets

‰ Corros Monex System

— In March 2006, Monex launched an on-line-web-based electronic trading

system targeted maingly to institutional investors (“Corros Monex”)
• Corros allows customers to display bids and offers, execute trades, transmit
confirmations on local money market and fixed income securities (scalable to other
securities)
• Monex is the only broker dealer in Mexico offering an electronic brokerage system
aimed at facilitating trading among buy side clients and even among other financial
intermediaries
Products and Services

‰ Money Market
This market offers investors the opportunity to invest in debt instruments:
— Government Securities (Cetes, Bonds, etc).
— Bank Instruments (Bank Acceptances, Promissory Notes, Bank bonds, etc).
— Private Paper (Commercial Paper, Certificados Bursátiles, etc.)

‰ Stocks and Bonds

Through this market, Monex Casa de Bolsa offers to large and medium size
investors:

— Brokerage services in the purchase and sale of shares of companies listed on the Mexican stock
exchange.
— Advice based on economic, technical analysis and issuer fundamental analysis.
— Participation in public offerings.
— Purchase-sale services of stocks in international markets such as the NYSE, NASDAQ, etc.
(through Monex Securities).
Products and Services

‰ Mutual Funds

— For investors who seek to diversify their assets, Monex Casa de Bolsa
operates different types of mutual funds, each with specific characteristics in
terms of the product mix, term, and expected yield.

— Monex offers its clientele, security in the selection of the instruments that
comprise our funds’ portfolios, which are rated by Fitch Ratings. The rating
of each fund is based on a methodology aimed at clarifying, both credit as
well as market risk, and is a fundamental element in the decision-making
process.

— At the same time, Valmer Proveedora de Precios is the price vendor for the
instruments that comprise the mutual fund portfolio, while Covaf, an
independent appraiser, values the instruments that comprise this portfolio.
Products and Services
‰ Global Securities

In order to be able to offer opportunities in international markets, Monex Casa de

Bolsa has a subsidiary in Houston, Texas, Monex Securities Inc., which is
authorized by the National Association of Securities Dealers (NASD) and
supervised by the Securities Exchange Commission (SEC) to act as a broker-
dealer in the United States.

The wide range of products offered includes:

— Eurobonds
— Treasury Bills and Treasury Bonds
— CD’s, Commercial Paper
— Stocks
— Options and Warrants
— Mutual Funds
Products and Services

‰ Asset Management

Monex Casa de Bolsa seeks to position itself in the market as a Financial

Company with an integral focus on asset management, in both pesos and
dollars.

— Determining the investor’s profile.

— Structuring the suggested investment portfolio, based on the profile.
— Establishment of benchmarks (yield / risk).
— Implementation of mechanisms that evaluate the profitability of the
client’s portfolio.
— Compensation programs for account executives based on the
profitability of the client’s portfolio.
Products and Services
‰ Corporate Finance

The Corporate Finance division offers the following services:

— Design and instrumentation of public debt and capital issues such as

commercial paper, CPIs and CPOs, financial promissory notes and medium-
term promissory notes, obligations, stocks, ADRs.
— Structured Municipal Bonds to be used as a source of financing to obtain
resources for the creation of public work and infrastructure projects and the
restructuring of liabilities.
— Common representation in debt issues.
— Private capital placements.
— Company valuation studies.
— Intermediation and advice services in mergers, acquisitions, and the sale of
companies.
— Advice on debt and equity restructuring.
Products and Services
‰ Small and Medium sized company financing
Inventory loans
— Revolving credit lines secured by inventory.
— The inventory is safeguarded at Bonded Warehouses
— Credit lines range between MX$500,000 and MX$5 million

Loans for Imports

— Short-term and medium-term loans to finance the importation of capital
goods and services from the U.S.
— The Ex-Im Bank issues either a guarantee or an insurance policy on the loan,
thereby eliminating virtually all credit exposure. Short term loans have a
residual risk of 10% of the total amount of the loan.
— Short term loans can vary from up to 360 days while a typical medium term
transactions can be up to over five years. Longer terms can be provided
depending on the amount of the importation and the type of product or
service. The total all-in cost of a medium term loan fluctuates between 5%
and 7% per year.
Products and Services

‰ Individual Retirement Accounts

— Monex has been authorized by the Ministry of Finance (Secretaría de Hacienda y Crédito
Público) as the manager of its Individual Retirement Accounts.

— The Individual Retirement Accounts are investment accounts established to receive and
manage the resources destined for long term investments, and can be disposed of when
the beneficiary reaches the age of 65, in the case of disability or incapacity.

— The investment in an Individual Retirement Account may allow the investor to obtain tax
benefits by deducting from his earned income the deposits realized in such account during
the tax period, which would result in a reduced amount of taxable income or in some cases
the possibility of a tax refund could be generated.

— The amount of the refund can be up to 10% of the investors income during the fiscal
period, as long as the income does not exceed the equivalent of five minimum wages of
the investors geographical area as of the end of the year.

— The deposits made in the Pension Fund are invested in the main investment instruments
of the Mexican financial market. Monex offers for such accounts its family of investment
funds which offers attractive advantages such as: outstanding revenues, diversification,
security and transparency.
Products and Services

‰ Managing Pensions and Savings Funds

Monex Casa de Bolsa provides its clients with a System for Managing Pensions
and Savings Funds, which is used and administered by the client.

— Company personnel training for its application.

— Processing global information for the system’s operations is the company’s
responsibility.
— Technical support from our computer systems department.

Functions:
— Managing of offers, loans, liquidations.
— Registration of new employees by department, cost center, etc.
— Generation of interest income from investments and loans.
— Consulting movements per employee.
— Consulting loans per employee.
— Account statements by fund or per employee.
Recognitions
‰ ISO 9001-2000
In February 2008 MONEX achieved the ISO 9001:2000 Certification for the “Group Wide Anti-Money
Laundering and Anti-Terrorism Financing Process for all of its products and services at national level,
by the renowned certifying organization: Det Norske Veritas Mexico, S. A. de C. V., DNV accredited
by RvA.

‰ Great Place to Work

In 2004 the Great Place to Work Institute granted Monex the award of being “One of the best places
to work for in Mexico”. Since 2005 Monex continually received this award. The facts considered in
designating a company as a great place to work area, among others the policies and practices of the
Human Resource Area and also the staff perception on the following: Credibility, Respect, Fairness,
Pride and Camaraderie.

‰ Social Responsibility
At the beginning of March 2005 Monex received the Corporate Social Responsibility Distinction from
the Centro Mexicano para la Filantropía (Mexican Center for Philanthropy “CEMEFI”) and from the
Alianza para la Responsabilidad Social en México (Alliance for a Socially Responsible Mexico,
“AliaRSE”). This distinction reinforces the commitment that Monex and its staff have decided to uphold
through the four basic areas of a socially responsible firm.

‰ Deutsche Bank: “2006 USD STP Excellence Award”

Deutsche Bank achieved the award “2006 USD STP Excellence Award” to Monex Casa de Bolsa for
the exceptional quality of payment messages.
Recognitions

2008

4Policies, Procedures and Internal Controls

4Compliance Officer
4Committee
4Training
4Independent Audit