From: "Barrett, Paul S" To: Jeffrey Epstein <[email protected]> CC: "Ens, Amanda" Subject: Update Date: Mon, 19 Sep 2011 14:08:30 +0000 , "Giuffrida, David J" Hi Jeffrey We are long $1OMM worth of Indian Rupee and Singapore Dollar. Both currencies have sold off recently (SGD 5% and INR 3%) since Sept 1st on liquidation and position squaring. I am worried that things will get worse in the near term before recovering. So I think we switch from outright forwards into options. Our recommendation is: Unwind SGD forward and enter into a 1 month SGD call option. We are back to breakeven on this position and I do not want to go into a loss. A 1 month SGD call will cost 1.2%. If it snaps back then we are long but if the unwind continues we have no more downside exposure Unwind INR Forward. We are now down $150K on the position since inception. INR has sold off 8% since early Aug. I do think INR is cheap but remains vulnerable to worse macro news. We would recommend unwinding the forward and buying a 47.00 Call on $20MM (twice what we have on via the forward) notional. Cost around 50bps. Are you free to discuss? Paul Paul Barrett, CFA Managing Director Global Investment Opportunities Group JPMorgan Private Bank This email is confidential and subject to important disclaimers and conditions including on offers for the purchase or sale of securities, accuracy and completeness of information, viruses, confidentiality, legal privilege, and legal entity disclaimers, available at EFTA00720177