Distributor Compensation Information

Haitong Bank has its own Distribution team technically qualified and certified with CPA 20 of fixed income products, but specifically private securities issued by companies that are clients of the Bank and that contracts the Bank individually or through a consortium of banks for the carrying out the placement of these securities to professional investors who are the managers of fixed income funds with private credit risk; in addition to distributing to the same professional investors the securities issued by Haitong for the purpose of raising funds for its activities.

These placements are generally made through public issues, with the filing of materials with the Securities and Exchange Commission (CVM) and by the agreement of the Brazilian Association of Financial and Capital Market Entities (ANBIMA), thus, the compensation received by the Bank for the execution of the offering is made official by means of a public issue execution mandate that is filed with the CVM. Since all publicity material distributed to potential investors was approved by the legal advisors of the public issue and is made available to all potential investors with equitable remuneration practices for the securities offered to all customers who participate in the issuance coordinated by Haitong. We do not receive any commission other than the commission described in the public distribution mandate for the structuring, firm guarantee and placement of fixed income securities of companies that are clients and contractors of the Bank for this execution.

There is no conflict of interest in the distribution of third-party securities in relation to our own securities, as they are complementary operations to the access and maintenance of the relationship of the Distribution team in offering the best products that suit the profile of each investor – suitability.

In the case of the issuance of the Bank's own securities, the Distribution team makes the placement without having any remuneration agreed for the sales of these securities.

Haitong does not distribute products from third parties, that is, from other banks, investment funds and the like to its institutional customers.

The Distribution Team follows the rules of the Code for the Distribution of Investment Products, as well as the Rules and Procedures of the ANBIMA Distribution Code, in addition to the close monitoring of Haitong's internal Compliance area and the need to fill in the internal KYC forms (Know Your Client) of each client in the area.