EFTA Document EFTA01461203

From: Vahe Stepanian Sent: 12/5/2013 1:00:35 PM To: Paul Morris CC: Subject: Fw: GBP + AAPL (C) Attachments: pic05051.gif; pic20883.gif Classification: Confidential Paul - would like to send 7E the below as a follow up to Tuesday. If he wants to write calls vs. AAP1, think now is an opportune time. Let me know what you think Thanks, vahe Good Afternoon Jeffrey - following up Tuesday's email (included below): 1) wsJ has reported that AAPL has signed a deal w/china mobile, providing it a boost in the world's largest mobile market. Shares have reacted, reaching a new 52 wk. high @ —SS72 (vs. S565.00 close yesterday) on the back of the report. consider selling Jan 595 or 600 calls (currently 512.20 and S10.70 bid, respectively). 2) we believe the GBP trade is still relevant ahead of payrolls tomorrow. ADP came in ahead of street expectations yesterday (215k vs. 170k expected; revised October +54k), and street is calling for headline number of +185k tomorrow morning. GBP is currently —1.6350 (vs. usD), but is bouncing around today and we'd look to enter trade on additional GBP strength. Thank you, vahe Forwarded by Vahe Stepania on 12/05/2013 08:50 AM From: vahe Stepanian To: jeevacation@gmail.com, Cc: Paul MorriM I Date: 12/03/2013 10:20 AM Subject: GBP + AAPL [c] classification: confidential Good Morning Jeffrey, Hope you had a great holiday weekend. As you have likely seen, GBP is currently at a 2 yr. high vs. USD (0 —1.64; see graph below). The most recent move up has been attributed to a rise in construction activity for a seventh month, the fastest pace since August 2007. I recall you mentioned in our meeting that your view is to sell GBP if it approaches 1.65. For what it's worth, our DB analysts have a bearish view on the pound. A recent (D8) FX note discusses reasons why it's tough to build a fundamentally bullish case for sterling with the market pricing the first BOE hikes by mid-2015 (well ahead of the ECB and even the Fed). We see potential for GBP to CONFIDENTIAL — PURSUANT TO FED. R. GRIM. P. 6(e) DB-SDNY-0 123091 CONFIDENTIAL SDNY_GM_00269275 EFTA01461203