Accordingly, this presentation has been prepared to provide you with an overview of this subject and an alternative solution for you and your investors.

GENERAL INFORMATION ABOUT LEASED ASSETS: When someone offers to lease you an instrument or a POF (Asset) for a period of time, for a fixed amount of costs (in most cases, upfront-fees), they are not offering to allow you to have that Asset hypothecated, moved or pledged. In fact, all they are offering you is the ability to leave the Asset where it is, in safekeeping in the name of the lessor, not in your name. Further, you will never be able to obtain a line of credit or hypothecation against such asset as you are NOT the actual, legal and beneficial owner of the Asset.

Therefore, if you lease an instrument, you have done so without any opportunity to hypothecate it or trade on the value of the Asset. In short, you have wasted your money.

Accordingly, we have developed a turnkey solution for our investor(s), addressing the above shortcoming, based on the Right to Use (RTU) a CMO for a one-year period of time.

GENERAL INFORMATION ABOUT CMOs:
A CMO is a Mortgage Bond that has a good coupon, but no value at Maturity. Like most instruments, the owner can clip the coupons on an annual basis. However, unlike other instruments, at the time of Maturity of the CMO, there is no one that is going to pay the owner the Face Value (like other instruments) or any value. At Maturity, the instrument is dead and the coupons are finished and there are no further activities with the CMO.

USE OF CMO, CREDIT LINE ON CMO AND TRADING OF CREDIT: Yes, it is possible for our group to obtain a Credit Line against a CMO and then perform the trading. However, the criteria for these activities are much different, as are the profits and fees, than those for other types of instrument (BGs, SLOCs, CDs, MTNs, Bond, Treasury, etc.).

First, the client must identify the amount of Cash Funds that it has available for such a transaction. The minimum amount of Cash Funds for this transaction is US$5Mn and the maximum amount is US$50Mn.

Second, the client must clearly understand that its Cash Funds will be moved to an U. S. Securities House and used for the sole purpose of acquiring the Right to Use a CMO for a period of one (1) year. At the end of the year, the CMO is returned much like a leased instrument. [Note: the money being moved onto an U.S. Securities House will be under the investor’s name]

Third, the difference is that as the Provider, we will contract for and make all of the arrangements for the use of the CMO, the Credit Line on the CMO and perform the trading on the Credit Line. Therefore, there is no risk to the client that they used their money and did not receive any benefits from the trading.

Fourth, for US$5Mn, you will be granted a Right to Use the CMO that will yield a paper Line of Credit of US$50Mn solely for the purposes of trading with our Platform. This is not a Cash Line of Credit and no funds can be disbursed from the Line of Credit.

Investor’s funds: The Line of Credit: $5Mn ---------------- $50Mn Line of Credit $7.5Mn ---------- $75Mn Line of Credit $10Mn ---------- $100Mn Line of Credit

Each additional $5M $50M additional Line of Credit for Trading Purposes

If a client has an amount that is not a multiple of $5Mn, we can make special arrangements. However, the minimum amount is always $5Mn to participate, the client must issue a set of documents, including a current Bank Proof of Funds Letter, (to be provided) in the amount that will be used ($5Mn to $50Mn), demonstrating that the investor owns the funds, that they are free and clear and that they are prepared to move the funds to the U. S. Securities House.

Fifth, after the receipt of the ALL of the documents, IBC USA LLC will issue the Agreement and supporting documents for obtaining the Right to Use the CMO and the Credit Line. This Agreement will also include the trading of the Credit Line. This is a turnkey offering and all three (3) elements are included. Additionally, the client will be required to furnish the Provider with the authority to transact all of this business, including the arrangements for the CMO, the arrangements for the Credit Line and the trading of the Credit Line.

Sixth, given the nature of the CMO and the underlying profits from the trading for this specific asset, the client’s profits from this trading will be 7 Points Per Week on the Credit Line, for a period of 50 weeks. From this amount, the client will be required to pay our group a fee of 1 Point Per Week. [Note: Our fee of 1% will be paid directly by the trader, from the profits generated for the investor]

EXAMPLE:
• Client has $10Mn available in Cash Funds for use in this transaction. • We will select a CMO that will produce a Line of Credit of $100Mn. • Client’s Weekly Gross Profits would be $100Mn x 7% or $7Mn • IBC USA LLCs’ Fee would be $1Mn Per Week (our group). • Client’s Weekly Net Profits would then be $6Mn. • Based on this profits being replicated 50 times, the investor earns: $300M

Seventh, this is a huge amount of money to earn for an initial investment of $10Mn. Further, the client has NO obligations for repayment of the Credit Line as it was a paper-only Line of Credit for the sole purpose of trading. Further, unlike our normal Private, Managed Buy/Sell Transaction that requires the client to deploy 70% of their profits for project funding, the client has NO obligations for project funding from this transaction.

Eighth, at the conclusion of all of the trading, the CMO will be returned, the client has his profits and there are no further obligations.

Ninth, if the client has a bank instruments and wants us to hypothecate that instrument and then use the Net Proceeds for participation in this transaction, we can accommodate that request.

Brokers, make sure you request a joint venture agreement from your investor to cover your fee. Once your client is happy with this project and wants to enter our regular “Private Managed Buy-Sell Agreement” (minimum entry $100Mn USD), I will be happy to provide our proposal once the investor can qualify for this investor status.

For additional information you may contact me using my email address.

Regards,

Michael Hunt
IBC USA LLC
IBCUSALLC at AOL dot COM

Ps: Our group (IBC USA LLC) is direct to the foundation that will be issuing the line of credit and for our services, the fee of 1% is paid directly to us by the foundation (which comes from the profits earned by your client).