88483 EMTA 7Th Readers
EMERGING MARKETS TRADERS ASSOCIATION
1995 ANNUAL REPORT MISSION STATEMENT
The Emerging Markets Traders Association is a not-for-profit corporation dedicated to promoting the
orderly development of fair, efficient and transparent
trading markets for Emerging Markets instruments.
1 Co-Chair Letters
3 Executive Director Letter
4 About the Emerging Markets
6 About EMTA
8 Local Markets
10 EMTA Working Group Reports
12 1995 Financial Report
20 Board of Directors 1995 Annual Meeting EMTA Fifth Anniversary
22 EMTA Members
24 EMTA Staff
EMTA’s 1995 Annual Report describes EMTA and its activities in the context of visual images that reflect the diversity, complexity and global significance of today’s Emerging Markets. LETTER FROM LONDON CO-CHAIR
Peter R. Geraghty is EMTA’s London Co-Chair for 1996. He is a Managing Director of ING Barings and a member of the Global Management Committee of Baring Investment Bank. He has been a member of EMTA’s Board of Directors since EMTA’s formation in 1990.
Mexico’s December 1994 high levels, as investors contin- Markets, and, in that context, devaluation caused a temporary ued to take advantage of the we were very pleased to loss of investor confidence diversity of investment opportu- welcome Pedro Malan and that rippled throughout the nities available throughout the Guillermo Ortiz, Ministers of Emerging Markets in early Emerging Markets. Finance of Brazil and Mexico, 1995. Market conditions respectively, as keynote speak- improved considerably as the The implications of these devel- ers at EMTA’s 1995 Annual year progressed, although our opments highlight the continu- Meeting. Our latest Volume market’s recovery was hampered ing importance of EMTA’s role Survey underscores the impor- by the strong performance of in promoting orderly trading tance of Brazil and Mexico the U.S. equity markets. markets. During 1995, EMTA’s to our marketplace, and we efforts to help reduce risk and expect EMTA’s future agenda Emerging Market fundamentals increase efficiency were led by to include greater emphasis were generally characterized the formal introduction of on local market activities in by continuing reforms and by Match-EM, EMTA’s electronic these countries. steady progress in the remain- post-trade confirmation and ing debt reschedulings, particu- matching system. By streamlin- larly in Ecuador, Panama, Peru ing the confirmation process, and Russia. Activity in the pri- Match-EM enables market mary markets was characterized participants to better manage by substantial innovation, their trading positions and to Peter R. Geraghty and capital flows into the meet settlement deadlines. In Emerging Markets during addition, Match-EM is making 1995 exceeded expectations. our marketplace more transpar- ent by permitting the wide- Despite some pessimistic spread dissemination of daily predictions, trading of Brady market volume and price data. Bonds and other Emerging Markets debt instruments Although loan trading volumes (especially local market generally slowed in 1995, instruments) remained at as expected, we are pleased at the new efficiency that EMTA’s Standard Terms and Multilateral Netting Facility have brought to the often diffi- cult process of documenting and settling loan trades.
EMTA continues to strongly support the economic and polit- ical reforms that are occurring throughout the Emerging
1 LETTER FROM JOINT NEW YORK CO-CHAIRS
Jorge V. Jasson and Daniel J. Canel were elected joint New York Co-Chairs of EMTA in March 1996. They are Co-Heads of Global Emerging Markets at The Chase Manhattan Corporation, responsible for origination, sales, trading and research for all Emerging Market fixed income securities, loans, equities, foreign exchange and derivatives, on a global basis.
Our markets opened 1996 in a role in helping to bring greater the volume of cross-border climate of continued growth efficiency and transparency to transactions, while minimizing marked by the return of sub- our marketplace. counterparty risk and opera- stantial voluntary capital flows tional barriers. into the Emerging Markets. One of EMTA’s most significant Renewed investor confidence projects, the Match-EM elec- In the past five years, our has been based in large part on tronic matching system, has industry has established a the strengthening of the applied technology against the strong track record for working Mexican economy and a per- challenges of increased trading together, within EMTA, as a ception that other Emerging volumes and volatility, enhanc- forum for voluntary self-regula- Market countries are also main- ing trading efficiency and access tion and for the orderly devel- taining their commitment to the to better market information. opment of our trading market. economic reform process. Strong We expect that, by building on Building on this record, EMTA fundamentals in many countries Match-EM, EMTA will soon be is well-positioned to deal effec- and reduced price levels for in a position to create an inte- tively with the challenges that many assets combined to attract grated trading infrastructure for lie before us. Through EMTA’s new investors to our market- the Emerging Markets trading continuing efforts to improve place from other markets, such industry that also includes net- market efficiency and trans- as the U.S. high-yield market. ting and clearing functions. parency, we hope to reinforce the confidence that investors Prospects this year remain During 1996, EMTA will add to have placed in the integrity of relatively buoyant, and interna- its past initiatives to increase our marketplace. tional investors are seeing the efficiency and reduce risk in the benefits of long-term participa- loan market by broadening our tion in the Emerging Markets. multilateral netting efforts to Even the ratings agencies have include a facility to net and expressed their confidence in settle residual Argentina interest the economic fundamentals of payments. We also intend to Daniel J. Canel these economies, as evidenced continue our industry’s strong by the recent investment-grade support of the country debt ratings for certain countries. rescheduling process by, among other things, working with the Our market’s continued growth Russian financial authorities to and vitality is in part a tribute facilitate their debt restructuring. Jorge V. Jasson to its orderliness and efficiency. 1995 marked EMTA’s fifth In an effort to build a global anniversary. Since 1990, much network, EMTA is also actively progress has been made in the providing market and infra- development of the Emerging structure support to several Markets trading industry, and emerging local markets. EMTA has played a leading Through our efforts to promote consistency between local and international trading stan- dards, EMTA hopes to increase
2 LETTER FROM 1996 EXECUTIVE DIRECTOR
Michael M. Chamberlin has been EMTA’s Executive Director since January 1994. Previously, he was a partner of Shearman & Sterling, where he concentrated on international financings, including Mexico’s restructuring under the Brady Plan and global debt offerings for Petróleos de Venezuela.
Our experience in the Emerging ture that will eventually ensure our industry by minimizing or Markets teaches us to expect high efficiency and a minimum removing operational obstacles the unexpected, and we are of risk from time of trade and undue risks that would rarely disappointed. 1995 was through settlement. In 1996, impede the smooth functioning no exception. Mexico’s stumble working with representatives of a global electronic market- and the collapse and rebirth of from ISCC, Euroclear and place. Looking ahead, we Barings remind us why EMTA Cedel, we expect to take the envision a critical need for was formed – to promote the next important step toward this documentation, clearance and orderly development of our goal--designing and construct- settlement systems that link marketplace so that it can bet- ing an industry-owned clearing local market financial centers ter withstand external shocks utility that will take much of with major international finan- and changing conditions. the current risk and operational cial centers, and with each uncertainty out of screen-based other, as efficiently as possible. Confidence quickly returned to Brady Bond trading. Not only must each local market our marketplace, and EMTA’s have its own soundly designed momentum continued during As if we needed more evidence, systems, but to ensure maximum 1995. In a year when other sec- EMTA’s 1995 Volume Survey efficiency on a global scale, these tors of the financial community confirms that our marketplace local systems must be designed rode through storms of criti- is rapidly evolving. In five to integrate easily into the glob- cism, we made quiet progress years, Brady Bonds have al operational framework. toward stronger systems that replaced loan trading at the are necessary and desirable for core of our business, and local In short, the globalization of the continued growth and pros- market trading activities, as the world’s capital markets perity of the Emerging Markets well as voluntary sovereign requires harmony among them. trading industry. refundings, continue to grow In 1996, EMTA hopes to play a in importance to the future useful role in encouraging the EMTA’s accomplishments over direction of our industry. To requisite cooperation among the past five years have been meet the growing needs of global and local interests to the result of a remarkable team these local markets, EMTA ensure that the risks of incon- effort that has been guided by a has begun to devote greater sistency are minimized. clear vision – that the Emerging resources to projects involving Markets trading industry have local market instruments and There is no sure blueprint for an effective forum for industry trading practices. these tasks. But EMTA’s aggres- discussion, problem-solving sive approach toward identify- and voluntary self-regulation. We now take for granted that ing needs and solutions and As much progress as the indus- our marketplace operates glob- building industry consensus has try has made since 1990 toward ally and as a part of the broad- proven successful so far, and we the development of an orderly er capital markets. New tech- will stay on that path in 1996. market, it is still too early to nology and regulatory reform declare victory. But we are enable telecommunications and confident that we are on the capital to cross boundaries and right track. time zones more easily than ever before. Because traders EMTA’s Match-EM system is a react instantaneously to these Michael M. Chamberlin key first step toward building developments, EMTA must help an integrated trading infrastruc- anticipate the future needs of
3 ABOUT THE EMERGING MARKETS
1982 1987 LDC debt Major U.S. money crisis begins. center banks take increased reserves against LDC loans. 1984 Emergence of secondary trading market for LDC loans.
Emerging Markets Trading billion in 1992 to over U.S.$2.7 trillion in 1995, reflecting the Emerging Markets trading has growing importance of grown in the past decade from Emerging Markets trading to a small group of LDC debt the financial and investment traders to a sophisticated global communities worldwide. over-the-counter trading market for both debt securities and Investment Instruments loans that services the needs of a growing institutional investor As the market completes its base. As the Emerging Markets steady evolution from loans to have evolved, they have diversi- Brady Bonds, the increasingly fied beyond Latin America to innovative Brady refinancings include Russia/Eastern Europe, have created over U.S.$140 bil- Asia and Africa. Investors now lion face amount of high-yield have a wider selection of geo- fixed and floating rate debt graphically diversified invest- securities, with and without col- ment opportunities than ever lateral. As the voluntary capital before with an even greater markets have re-opened variety of investment instru- throughout the Emerging ments and risk characteristics. Markets, and the internal capi- tal markets become more highly Size of the Marketplace developed, the various Brady Bonds have been supplemented The past few years have seen by an even wider variety of exceptional growth in the local currency instruments, as overall size and depth of the well as predominantly U.S. dol- Investors now have a wider trading market for Emerging lar and U.S. dollar-indexed Markets instruments. Total selection of geographically securities issued by both public trading volumes for debt instru- and private sector issuers in the diversified investment ments have risen from U.S.$734 international capital markets. opportunities than ever before. At the same time, the need for equity investment throughout the Emerging Markets has cre-
4 ABOUT THE EMERGING MARKETS
1989-90
1987-88 Rapid expansion of Brady Plans for swaps and loan trading Mexico and Venezuela market, in part due to create more liquid debt/equity programs. trading instruments.
ated a myriad of opportunities Trading and Settlement The introduction of Match-EM in the rapidly developing pri- in 1995 has expedited the pro- The marketplace for Emerging vate sectors. Along with the cessing of trades of both Brady Markets debt instruments is rapid increase in the diversity of Bonds and loans by permitting predominantly an over-the- instruments, and in the develop- nearly instantaneous electronic counter market composed of ment of the marketplace for confirmation and matching. dealers, brokers and investors them, has come greater liquidi- located worldwide but linked ty, as well as greater evolution Loan trading generally is con- informally through a network in the development of derivative ducted in accordance with of broker screens and normal instruments and other hedging EMTA Market Practices and telecommunications channels. techniques to permit the tailor- standard documentation. The Actual trading in Brady Bonds ing and management of risk. settlement of loan trades is and loans is conducted orally, more complex and time-con- either directly between dealers Market Participants suming than for Brady Bonds, or between dealers and largely because of the absence Market participants include the investors or, in the case of of centralized clearing and major international commercial, Brady Bonds, often through settlement mechanisms for investment and merchant banks brokers. Settlement in Brady loans. Accordingly, the settle- and governments, brokers and Bonds is normally made ment of loan trades is processed dealers, multinationals and through Euroclear or Cedel. individually by dealers and local companies around the other market participants. world. In recent years, the In general, the trading and set- market has expanded to include tlement of Brady Bonds occurs an ever-growing range of in accordance with customary institutional investors (major international securities practices insurance companies, pension (including certain procedures funds, hedge funds and for the U.S. institutional mar- broadly-held mutual funds). ket). Due to the unique origins and characteristics of Brady Bonds and the marketplace for trading them, EMTA has devel- oped numerous Market Practices for Brady Bond trad- ing, including T+3 settlement.
5 ABOUT EMTA
1992 Argentina and Philippines Brady plans. 1991 1993 Voluntary capital Trading volumes markets begin reach U.S. $2 trillion. to reopen. Brazil Brady plan. NAFTA ratified.
The Emerging Markets Traders 60* Full Members are institu- Support for Debt Rescheduling Association is a not-for-profit tions that actively trade Much of our industry’s growth organization dedicated to pro- Emerging Markets instruments. has been fueled by a series of moting the orderly development Brady Plan reschedulings, which of fair, efficient and transparent EMTA’s Board of Directors is since 1990 have converted com- trading markets for Emerging composed of leaders in Emerging mercial bank loans into more Markets instruments. Markets trading who, together liquid Brady securities. In 1995, with EMTA staff, actively Ecuador successfully completed EMTA’s Origins identify and address key its Brady rescheduling, follow- industry issues through their EMTA was formed largely in ing Brazil, Bulgaria, Poland and participation in various EMTA response to the trading oppor- the Dominican Republic, which Working Groups. tunities created by the sovereign all closed in 1994. EMTA debt reschedulings under the continues to strongly support Headquartered in New York Brady Plan. In an effort to the country debt negotiation City, EMTA has a full-time develop mechanisms to trade process, which most recently staff of 18 professional and the new debt securities issued has included agreements for support personnel. under these plans more effi- Russia, Panama and Peru, as ciently, a small group of debt these transactions bring value Activities traders from major internation- to our marketplace and help al financial institutions pooled With the continued expansion strengthen the global economy. their resources to form the of trading activities beyond Association in late 1990. Latin America, and the number Better Risk Management and diversity of trading instru- and Efficiency Membership/Structure ments and volumes at high lev- Managing risk in a rapidly els, EMTA plays an increasingly Today, EMTA has approximate- evolving trading business is a important role in promoting ly 160* member institutions, major challenge. EMTA’s efforts the orderly development of including leading broker-deal- to improve market efficiency Emerging Markets trading. In ers, commercial banks and have helped reduce risk by 1995, EMTA expanded its range other major financial institu- ensuring that trading transac- of activities substantially to tions worldwide. The tions settle more quickly and, in include key initiatives that Association’s approximately the case of its standard netting should benefit the Emerging Markets trading industry for years to come.
*As of March 31, 1996.
6 ABOUT EMTA
1994 Bulgaria, Poland and Ecuador Brady plans. Russian trading emerges. 1995 Panama Brady plan. Progress on Russia rescheduling.
arrangements, by allowing mar- Match-EM System permits ket participants to reduce their EMTA to collect and dissemi- aggregate counterparty expo- nate market volume and price sure. Through April 1996, data on a nearly real-time basis. EMTA’s Multilateral Netting Facility had netted and settled Voluntary Self-Regulation more than 2,480 loan trades Although Emerging Markets aggregating nearly U.S. $6.7 trading is well-regulated, EMTA billion in face amount. Other actively promotes the highest measures to promote greater standards of integrity and pro- efficiency in the trading market fessionalism through voluntary for bonds and loans include self-regulation. EMTA’s Code of EMTA’s Standard Terms for Conduct for the trading of Loan Assignments and Match- Emerging Markets instruments EM, EMTA’s automated trade encourages all market partici- confirmation and matching sys- pants to have appropriate trad- tem. By facilitating better risk ing policies to ensure that the management, EMTA enables marketplace is as professional individual market participants as possible. The Code continues to conduct their activities with to be well-received by market greater confidence, efficiency participants and their regulators and safety and helps to reduce and supervisory authorities. systemic risk. Through the adoption of general trading principles and More Transparency more specific Market Practices,
By publishing its annual Volume EMTA also strives to develop a EMTA helps to ensure greater Survey of debt trading and by better common understanding promoting standard Market of market conventions that market transparency for the Practices and a better informa- promote appropriate market benefit of both investors and tion flow within the Emerging discipline, as well as greater
Markets, EMTA helps to ensure efficiency and transparency. market professionals. greater market transparency for the benefit of both investors and market professionals. In addition to acting as an infor- mation clearinghouse, EMTA’s
7 LOCAL MARKETS
As EMTA’s 1995 Volume Survey As a global membership organi- suggests, there is increasing zation representing the interests investor interest in the local of both international and local fixed income and equity instru- market participants, EMTA ments that trade on Emerging is able to provide regulators Market exchanges or in the and market participants with OTC markets. This investor insight into the types of reform interest marks a sharp depar- necessary to encourage foreign ture from the indifference of the capital inflows. By emphasizing 1980s. As part of the wide- the importance of including spread economic reforms that both global and local market have accompanied the Brady participants, EMTA works to Plan, many Emerging Market better ensure the integration of governments have opened their local markets into the global markets to greater foreign par- capital marketplace.
Local Markets Debt Trading in Emerging Market Countries
Reported Trading Percentage in Local Market of all Instruments Debt Trading
1994 U.S.$ 518.9 billion 18.8% 1995 U.S.$ 571.4 billion 20.9%
ticipation by reducing exchange EMTA’s philosophy of consen- controls and reforming regula- sus-building accommodates tions which adversely affect for- both local market and interna- eign investors and financial tional agendas by building a institutions. Inflows of foreign partnership of global and local capital into the Emerging interests. In deference to domes- Markets have increased dramat- tic interests, EMTA’s local mar- ically as a result. As these for- ket projects are implemented EMTA works to integrate eign capital inflows have through locally-based Working increased, Emerging Market Groups. Under local leadership local markets into the governments have become even and with technical input, as global capital markets. more receptive to reforms appropriate, from internationally- which further open their markets. based members, EMTA Local Market Working Groups identi- fy obstacles to fair, efficient and transparent trading which can be resolved through collective
8 LOCAL MARKETS
industry action. With input A Case Study: Argentina Composed of all of the major from New York and London- Argentine and international based EMTA members, EMTA Strong international interest in financial institutions domiciled Local Market Working Groups the opportunities provided by in Argentina, the MAE makes work to resolve market infra- the Argentine local market pre- all significant policy and structure and regulatory issues. cipitated EMTA’s initial focus on Market Practice decisions which Local Working Group partici- Argentina. Global market partici- affect the trading of Argentine pants also work with their pants in Argentina wanted to instruments. International finan- international counterparts to promote borrowing and lending cial institutions participate in develop global Market Practices of Argentine stocks. Argentine the development process by pro- and documentation. These glob- and international counterparties viding input through one of al standards are expected to sought greater efficiency and several New York and London lead to enhanced efficiency and transparency of securities financ- working groups composed of reduced risk on a global scale. ing transactions. technical specialists.
For its first local market pro- While Argentine and global EMTA’s Argentine initiative jects, EMTA looked to countries market participants share a began late in 1995. By the time where there is a keen interest common interest in improving of its inaugural meeting in on the part of the international liquidity and efficiency in cross- March 1996, EMTA had attract- financial community, and where border transactions, their inter- ed the support of over 50 finan- there is strong interest among ests sometimes diverge. The cial institutions active in the local market participants and Argentine financial community Argentine local market. In addi- regulatory authorities to make is understandably interested in tion to developing standardized positive changes. EMTA also preserving the unique character documentation, representatives sought a geographic balance of the Argentine market, while from these institutions are which reflects the diversity of international financial institu- focusing on the development of its international membership. tions have a strong incentive to an Argentine derivatives mar- Based on this analysis, EMTA work towards global market ket, a local Code of Conduct has chosen to focus initially on practices and documentation and on various clearance and Argentina, Russia, Poland, which would allow greater con- settlement issues. Brazil and Mexico. sistency between Argentina and other markets.
To ensure that each of these constituencies has appropriate input and representation, EMTA has established a working relationship with the Board of Directors of the Mercado Abierto Electronico (the “MAE”).
9 EMTA WORKING GROUP REPORTS
In addition to its local markets Working Group, chaired by Alex Rodzianko (MC Securities/ projects, many of EMTA’s glob- Carmen Paracchini (Chase UCB) and Robert McCarthy al activities are conducted Manhattan), has enhanced (Deutsche Morgan Grenfell), through Working Groups of market liquidity for the so- it has supported the Polish, industry experts whose time is called “Exotic” loans (e.g. Peru Bulgarian and Russian donated by their Member firms. and Panama) by developing reschedulings, and Slovenian These Working Groups, and Market Practices that define exchange offer, by issuing forms their most significant projects, these loans and provide for for confirming when-issued have included: their efficient trading. trades and developing various Market Practices. European Working Group Derivatives Working Group Technology Working Group EMTA’s European Working Options and other derivatives Group meets periodically in products play an important In an effort to make the London to discuss Market role in enabling investors and Emerging Markets trading Practices and industry issues financial intermediaries to industry more efficient and relevant to EMTA’s European- hedge their risks and otherwise transparent, EMTA’s Technology based Members. During 1995, participate in Emerging Working Group (led by Lou the European Working Group Markets trading opportunities. Bonavita at Chase) developed was chaired by Donald Pierce EMTA’s Derivatives Working the Match-EM automated post- (Samuel Montagu) and Julie Group was formed in 1992 to trade confirmation and match- Chadney (Bank of America). develop Market Practices and a ing system for Brady Bonds Master Agreement for put and and sovereign loans. Developed Exotics/Loan Trading call options on Emerging in conjunction with GE Working Group Markets debt instruments and Information Services, the continues to promote the devel- Match-EM System, launched Loan trading continues to be an opment of these and related in 1995, better enables market important part of the Emerging Market Practices. participants to manage their Markets trading industry, inventories and to comply despite the exchange of many Russia/Eastern Europe with the shortened settlement of these loans for Brady Bonds. Working Group periods for both Brady Bond EMTA’s Exotics/Loan Trading and loan asset trades. Match- EMTA’s Russia/Eastern EM also makes the Emerging European Working Group was formed in 1993. Chaired by
10 EMTA WORKING GROUP REPORTS
Markets trading industry dissemination of relevant infor- more transparent by permitting mation regarding corporate the widespread dissemination actions and a variety of activi- of daily market volume and ties relating to the development price data. of the Argentine and Russian equities markets. Risk Management Working Group Documentation Working Group
This Working Group was This Working Group, formed in formed in 1995 (with Katy 1994 under the leadership of Briger (Indosuez Capital) and Kathleen Wells (J.P. Morgan), Donna Reino (J.P. Morgan) developed the Standard Terms as Chairs) to create a forum for Assignments of Loan Assets, to review and address issues which enables market partici- of common concern to risk pants to substantially reduce managers in the Emerging the paperwork and time neces- Markets trading industry. To sary to complete the prepara- date, this Group has examined tion of loan trade documenta- areas of concern such as coun- tion. In 1996, the Standard terparty risk and the clearing Terms were revised to set T+10 arrangements used by Brady and T+15 settlement periods Bond brokers. and provide compensation for delayed settlement. The Group Global Equities Working Group is also developing Standard Terms for Participations in This Working Group was Loan Assets. EMTA is a forum for voluntary formed in 1994 to address issues concerning the secondary self-regulation that operates markets for Emerging Market equity instruments. In an effort through industry participation to increase market transparen- cy, the Group, chaired by Bruce and consensus, ever-mindful of Wolfson (Bear Stearns), has the importance of investor taken steps to improve the
confidence in our marketplace.
11 1995 FINANCIAL REVIEW
Operating Highlights
For the Year Ended December 31,
1995 1994 1993 1992
Market trading volume (in billions of U.S.$) 2,739 $ 2,766 $ 1,978 $ 734
Brady Bonds 1,580 1,684 1,021 247 Non-Brady Eurobonds 233 164 176 NA Loans 175 244 273 229 Local Markets Instruments 571 518 NA NA
Number of Members at year end: Full 60 83 75 64 Associate 43 Affiliate 43 69 43 14
Total Members 146 152 118 78
Revenue
Membership dues $1,337,250 $1,364,250 $ 894,500 $ 677,528 Fees for program services 2,212,351 1,434,922 — — Directors' support (assessments and donated services, facilities and supplies) 1,170,000 1,312,500 787,949 171,423 Other 148,620 30,675 13,203 10,371
Total revenue 4,868,221 4,142,347 1,695,652 859,322
Expenses
Staff 1,763,810 1,269,064 366,983 117,174 Office 309,775 201,987 91,436 54,619 Communications 335,653 260,433 11,241 — Professional and vendor services 2,153,876 1,945,580 839,169 767,051 Conferences, receptions and travel 235,549 196,415 250,707 1,049
Total expenses 4,798,664 3,873,479 1,559,536 939,893
Increase (decrease) in net assets 69,558 268,868 136,116 (80,571) Net assets: Beginning of year 356,301 87,433 (48,683) 31,888
End of year $ 425,859 $ 356,301 $ 87,433 $ (48,683)
12 MANAGEMENT’S DISCUSSION AND ANALYSIS
Despite difficult market conditions Revenue Professional services, the largest in the early part of the year, the vol- Total revenue increased 18% in individual component of expenses, ume of trading in Emerging 1995 to $4.9 million, from $4.1 increased 11% to $2.2 million in Markets debt instruments remained million in 1994. The increase was 1995, from $1.9 million in 1994. strong in 1995, but without the primarily due to a rise in fees for The primary factors for this increase across-the-board growth seen in program services of $800,000. were: (a) consultants’ expenses for prior years. With erratic trading program services rose from Revenue from Match-EM accounted volumes early in the year, and for $600,000 of this rise as it $800,000 to $1.2 million, mostly steadier volumes and price recovery moved from pilot stage to formal because of an increase in Match-EM characterizing the rest of the year, implementation on May 1, 1995. expenses of $600,000, partially off- aggregate 1995 trading volumes Another $200,000 came from the set by a decline of $300,000 in were U.S.$2.74 trillion, down 1% Multilateral Netting Facility, as the Multilateral Netting Facility (Net- from U.S.$2.76 trillion for 1994. number of trades netted and settled EM) expenses. The former was due During this period, the market’s increased from 942 in 1994 to to Match-EM’s implementation in resiliency demonstrated its increas- 1,377 in 1995, with a slight decline May 1995, and the latter was due ing maturity, and a wide variety of in the average fee per trade input. to the fact that most of the financial EMTA projects helped contribute to work on Net-EM was brought in- the market’s orderly development. Membership dues declined by house in the first quarter of 1995; EMTA membership ended the year $27,000 (2%), as the dues structure (b) legal fees declined 19% to at 146, as compared with 152 at was changed by adding a third cate- $650,000 in 1995 from $800,000 in the end of 1994. The decline was gory, which altered the mix of 1994 because more legal work was probably a result of adverse market Members. In addition, there was a also brought in-house; (c) expenses conditions during much of 1994 decline of 4% in the number of for public relations and annual and early 1995. Members during 1995. report declined by 22% from $325,000 in 1994 to $250,000 in EMTA’s most important 1995 pro- Other revenue increased by 1995 because of tighter manage- jects included: (a) the formal launch $118,000 because of $100,000 ment controls; and (d) other less sig- of Match-EM, an electronic post- derived from a consulting project nificant developments. trade matching and confirmation for the Debt Traders Association, system. The System came on-line in another financial trade association Office and communications expens- May 1995 and by year end a daily that requested EMTA’s assistance in es rose 40% to $650,000 in 1995, average of 1,200 trade inputs were connection with its organization. from $460,000 in 1994, primarily being entered into the System, with As a result of the above offsetting because (a) supplies and administra- an average matching ratio of factors and the expenses described tion costs rose 124% to $110,000 in approximately 92%; (b) the 1995 from $50,000 in 1994 because below, EMTA was able to reduce its Multilateral Netting Facility contin- Board of Director assessments by of funding completely independent ued operating throughout the year, approximately $140,000 (11%) office operations in 1995 and the in which a total of 1,377 outstand- from $1.3 million in 1994 to less fact that more photocopying was ing trades of primarily Russian than $1.2 million in 1995. done in-house in 1995 rather than loans were netted and settled sending it out to outside vendors; (aggregating almost U.S.$ 4 billion (b) telecommunications rose to EMTA in face amount); (c) contin- Expenses $180,000 in 1995 from $80,000 in ued to distribute average prices for 1994 because of a new fax broad- the most active Brady Bonds and Total expenses increased 24% to cast method of communicating with Loan Assets to Members at each $4.8 million in 1995, from $3.9 Members; (c) depreciation rose to month-end throughout the year; (d) million in 1994, basically, as a $50,000 from $10,000 because of the settlement time for trades of result of the increase in scope of the 1994 and 1995 purchase of many Loan Assets was shortened activities. Other underlying factors office equipment; (d) shipping and from 21 calendar days with the (further described below) were the delivery and printing costs declined adoption of the revised Standard trend for EMTA to rely less on out- by about $25,000 despite increased Terms for Assignments of Loan side consultants as its staff per- activities because of increased use Assets (effective January 1, 1996); formed more work, and the move of in-house photocopying and (e) the first substantial local market to independent office space in the reliance on fax broadcast; and (e) project was undertaken, as EMTA first quarter of 1995. other less significant factors. Working Groups were formed to Staff costs increased to $1.8 million Conferences, receptions and travel help improve liquidity in the in 1995 from $1.3 million in 1994 expenses rose 20% to $235,000 in Argentine debt and equity markets; (39% rise). This was due to an 1995 from $195,000 in 1994. This and (f) the feasibility of an EMTA- increase in staff from 13 at the was due to increases in travel, sponsored Emerging Markets clear- beginning of 1995 to 16 at the end, lodging and meals of $50,000 due ing corporation to reduce risks as amplified by the fact that the to increased activities, offset some- and costs in clearing brokered average hire in 1995 occurred earli- what by a decline of $10,000 in Brady Bond trades was studied er in the year than in 1994, and the cost of conferences, receptions throughout 1995, resulting in a for- average staff salaries and and meetings. mal recommendation of approval benefits increased slightly. on March 20, 1996 to EMTA’s Board of Directors. 13 FINANCIAL STATEMENTS
Statements of Financial Position
December 31,
1995 1994
Assets
Current assets: Cash and cash equivalents $ 912,181 $ 1,236,346 Dues and fees receivable from Members 975,435 24,331 Prepaid expenses and other assets 13,112 —
Total current assets 1,900,728 1,260,677
Property and equipment Leasehold improvements 89,112 18,612 Computer equipment and network 74,832 32,097 Furniture and fixtures 77,761 — Telecommunication equipment 30,654 —
272,359 50,709 Less accumulated depreciation (61,853) (10,699)
210,506 40,010
Total Assets $2,111,234 $ 1,300,687
Liabilities and Net Assets
Current liabilities: Accounts payable and accrued expenses $ 572,407 $ 687,112 Payable to Director — 257,274 Unearned Membership dues 1,060,500 —
Total current liabilities 1,632,907 944,386 Deferred rent expense 52,469 —
Total liabilities 1,685,376 944,386
Net assets 425,858 356,301
Total Liabilities and Net Assets $2,111,234 $ 1,300,687
The accompanying notes are an integral part of these financial statements.
14 FINANCIAL STATEMENTS
Statements of Activities
For the Year Ended December 31,
1995 1994
Revenue
Membership dues $1,337,250 $1,364,250 Fees for program services 2,212,351 1,434,922 Directors' assessments 1,170,000 1,312,500 Investment income 46,830 25,735 Other 101,790 4,940
Total revenue 4,868,221 4,142,347
Expenses
Compensation, benefits and related taxes 1,763,810 1,269,064 Occupancy 147,210 141,600 Office supplies and administration 111,411 49,688 Depreciation 51,154 10,699 Telecommunications 183,750 84,709 Shipping and delivery 78,722 83,119 Printing of documents for Member services 73,181 92,605 Legal 648,818 800,335 Program consultants 1,206,572 792,620 Public relations and annual report 254,934 327,971 Audit, tax and computer consultants 43,553 24,654 Conferences, receptions and meetings 112,045 118,508 Travel, lodging and meals 123,504 77,907
Total expenses 4,798,664 3,873,479
Increase in net assets 69,557 268,868
Net assets, beginning of year 356,301 87,433
Net assets, end of year $ 425,858 $ 356,301
The accompanying notes are an integral part of these financial statements.
15 FINANCIAL STATEMENTS
Statements of Cash Flows
For the Year Ended December 31,
1995 1994
Cash flows from operating activities
Increase in net assets $ 69,557 $ 268,868 Adjustments to reconcile increase in net assets to net cash provided by (used for) operating activities: Depreciation 51,154 10,699 (Increase) decrease in Directors' assessments receivable — 277,753 (Increase) decrease in dues and fees receivable from Members (951,104) 18,669 (Increase) decrease in prepaid expenses and other assets (13,112) — Increase (decrease) in accounts payable and accrued expenses (114,705) 399,241 Increase (decrease) in payable to Director (257,274) 257,274 Increase (decrease) in unearned Membership dues 1,060,500 — Increase (decrease) in deferred rent expense 52,469 —
Net cash provided by (used for) operating activities (102,515) 1,232,504
Cash flows from investing activities
Capital expenditures (221,650) (50,709)
Net cash used for investing activities (221,650) (50,709)
Increase (decrease) in cash and cash equivalents (324,165) 1,181,795
Cash and cash equivalents, beginning of year 1,236,346 54,551
Cash and cash equivalents, end of year $ 912,181 $1,236,346
NOTES TO FINANCIAL STATEMENTS
1. Organization 2. Summary of Significant Associate Members – institu- tions which trade or are broker- The Emerging Markets Traders Accounting Policies dealers of Emerging Markets Association (“EMTA”) is a non- General instruments, but which are profit service organization, smaller and less active than Full formed in 1990, with the prin- The financial statements of Members; and cipal objective of enhancing the EMTA are prepared on the efficiency, transparency and accrual basis of accounting. Affiliate Members – institutions integrity of the trading markets Certain 1994 amounts have that are not eligible as Full or for Emerging Markets instru- been reclassified to conform to Associate Members, but have ments. EMTA’s primary sources 1995 presentation. an interest in or affiliation with of income are membership the Emerging Markets. dues, directors’ assessments and Membership Dues and Directors’ fees for program services. Assessments During 1994, the membership contained two categories, EMTA is exempt from federal EMTA’s membership contained Primary and Associate, which income tax under the provisions three categories during 1995: were essentially separated by of Section 501(c)(6) of the whether the institution traded Internal Revenue Code. Full Members – institutions in Emerging Markets instru- However, EMTA is subject to that, directly or through affili- ments. An additional category tax on any unrelated business ates, act as traders or broker- was added in 1995 to allow dif- taxable income. Similar provi- dealers of Emerging Markets ferentiation according to the sions of tax codes of state and instruments; magnitude of trading, brokering local jurisdictions also apply.
16 FINANCIAL STATEMENTS
or dealing activity in Emerging Fees for Program Services Fixed Assets Markets instruments. EMTA provides certain services Depreciation of computer and to participating Members, for telecommunications equipment EMTA’s membership and which it charges a fee. Such ser- is provided on a straight-line fiscal years are the same. vices include a Multilateral basis over estimated useful lives Dues are billed in advance Netting Facility, through which of three years. Amortization of and are recorded as unearned market participants net and set- leasehold improvements is pro- dues in the Statement of tle trades of loans (primarily vided on a straight-line basis Financial Position at the time Russian), and Match-EM, an over the shorter of the estimat- of billing. The unearned dues automated trade confirmation ed lives of the improvements or are then amortized to income and matching system. the related lease, beginning at throughout the year as earned. the lease inception date. Members who do not pay Depreciation of furniture and their annual dues within 60 Cash and Cash Equivalents fixtures is provided on a days of billing may be Excess funds are maintained in straight-line basis over estimat- suspended from membership either: (a) an interest-bearing ed useful lives of five years. in EMTA. The Board of money market account with a Directors may levy special bank that is also an EMTA assessments on Members to Software Development Costs Member, or (b) an income-pro- defray certain expenses. Such ducing mutual fund managed Costs associated with the devel- special assessments are to be by the same bank. This mutual opment of the computer pro- equal for all Members of the fund invests in high quality gram for the Multilateral same class. Additionally, the short-term obligations of corpo- Netting Facility are expensed as Board may agree to levy assess- rations, governments and banks incurred and are recorded as ments on Directors (payable and is carried at fair value. program consultants expense in by the Members that employ Balances in these two accounts the Statement of Activity. Such them) to meet working are included in cash and cash costs amounted to approxi- capital deficiencies. equivalents in the Statement mately $289,000 and $622,000 Financial of Position. in 1995 and 1994, respectively.
3. Summary of Expenses Following is a summary of program and non-program expenses: Year ended December 31,
1995 1994
Program expenses
Direct: Multilateral Netting Facility $ 394,309 $ 690,650 Match-EM 820,469 202,620 Documentation and Market Practices 239,023 384,161 Publications, including Trading Volume Survey and asset price quotes 59,083 40,000 Conferences, receptions and meetings 112,045 118,508 Other 253,853 163,477 Indirect (primarily staff and facilities costs) 1,721,375 1,240,596
Total program expenses 3,600,157 2,840,012
Non-Program expenses
Direct: Public relations and membership development 254,934 327,971 General administration 132,204 136,701 Indirect (primarily staff and facilities costs) 811,369 568,795
Total non-program expenses 1,198,507 1,033,467
Total expenses $4,798,664 $3,873,479
17 FINANCIAL STATEMENTS
4. Summary of Revenue
The individual components of the primary revenue categories are set forth below:
Year ended December 31,
1995 1994
Membership dues: Full $ 912,000 $ — Primary — 1,167,750 Associate 302,250 — Associate — 196,500 Affiliate 123,000 —
$1,337,250 $1,364,250
Fees for program services: Multilateral Netting Facility $1,518,858 $1,334,596 Match-EM 693,493 100,326
$2,212,351 $1,434,922
During 1994 and through January 31, 2003, with an Employees who have at least March 31, 1995, EMTA occu- option to renew for five addi- 1,000 hours of service in a cal- pied office space in a building tional years at a rate of 95% of endar year are eligible to partic- owned by an EMTA Member the fair market rental at July ipate. Balances in participants’ and purchased much of its com- 31, 2002. The annual rent is accounts are fully vested at all puter equipment and office sup- $124,614 plus EMTA’s propor- times. Employer contributions plies from that Member. In tionate share of increases in may range from 0% to 15% of 1995, these expenditures con- property taxes and other build- eligible compensation, at the sisted of rent expense of ing expenses after the first year. election of EMTA each year. The $28,200 and various office ser- In addition, EMTA will pay no 1995 and 1994 contributions vices of $18,913. In 1994, these rent for six months in 1995 and were 9% and 7% of eligible expenditures consisted of rent for three months in 1996. An compensation, which amounted expense of $141,600, purchases EMTA Member employing a to $83,775 and $28,493, of computer equipment of Director has provided a letter respectively. These amounts are $30,720 and various office ser- of credit (subject to partial included in compensation, ben- vices of $149,454. reimbursement by three other efits and related taxes in the Members that also employ Statement of Activity. 5. Office Space Lease Directors) to provide additional security to the landlord of In January 1995, EMTA entered EMTA’s performance under into an agreement to lease inde- the lease. pendent office space in a new location for a period commenc- 6. Employee Benefit Plan ing March 1, 1995 and expiring Effective January 1, 1994, EMTA adopted a non-contributory, defined contribution employee benefit plan for its employees.
18 REPORT OF INDEPENDENT ACCOUNTANTS
To the Board of Directors of the
Emerging Markets Traders Association
In our opinion, the accompanying statements of financial position and the related statements of activities and of cash flows present fairly, in all material respects, the financial position of the Emerging Markets
Traders Association (the "Association") at December 31, 1995 and
1994, and the results of its activities and its cash flows for the years then ended in conformity with generally accepted accounting princi- ples. These financial statements are the responsibility of the
Association's management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these statements in accordance with generally accepted audit- ing standards which require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and sig- nificant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for the opinion expressed above.
New York, New York March 1, 1996
19 BOARD OF DIRECTORS
William R.Araskog Wayne D. Lyski Felix E.A. Robyns Lazard Frères Alliance Capital CS First Boston
Daniel J. Canel (Co-Chair) Alexandra P. McLeod Alexis O. Rodzianko Chase Manhattan Bank of America MC Securities/UCB
Mark L. Coombs Guido A. Mosca (Vice Chair) Charles B. Seelig, Jr. ANZ Grindlays J.P. Morgan Goldman Sachs
Peter R. Geraghty (Co-Chair) Jorge V. Jasson (Co-Chair) Ignacio E. Sosa ING Barings Chase Manhattan Bank of Boston
Alexis F. Habib M. Farooq Maroof Bruce A.Wolfson Indosuez Capital Citibank Bear Stearns
Frederic Z. Haller (Vice Chair) Paul A. Masco (Vice Chair) Deutsche Morgan Grenfell Salomon Brothers
Jose Pedreira Merrill Lynch
Joining Executive Director Michael M. Chamberlin at EMTA’s 1995 Annual Meeting in New York City were EMTA Directors:
(Seated, left to right, first row) 1995 Director Alberto Garcia Roche (Banco Santander), Vice Chair Paul A. Masco (Salomon Brothers), Co-Chair Peter R. Geraghty (ING Barings), 1995 Co-Chair Nicolas S. Rohatyn (J.P. Morgan), Michael M. Chamberlin (EMTA).
(Seated, left to right, middle row) 1995 Director Vicente S. Perez (Lazard Frères), Alexis F. Habib (Indosuez Capital), 1995 Director Abelardo S. Curdumi (First National Bank of Chicago), Alexandra P. McLeod (Bank of America).
(Seated, left to right, back row) Felix E.A. Robyns (CS First Boston), Jose Pedreira (Merrill Lynch), 1995 Director Daniel M. McEvoy (Goldman Sachs).
20 1995 ANNUAL MEETING
EMTA’s 1995 Annual Meeting
featured keynote speakers
Pedro Malan, Brazil’s Finance
Minister, and Guillermo Ortiz,
Mexico’s Finance Minister, who
described the current economic
situation in their respective
countries. Mr. Malan commented
on the progress that EMTA has
made since its inception, saying: Pedro Malan Minister of Finance, Brazil
“I’m convinced that...the next
five years of the Association
will be as productive and con- Guillermo Ortiz Minister of Finance, Mexico structive as the last five ones,
and listening to Nicolas
[Rohatyn] and Peter [Geraghty],
I’m confident that this will
be the case.”
EMTA MARKS ITS FIFTH ANNIVERSARY
1990/91 1993 1995
Standard Volume Survey Match-EM System Documentation Eastern Europe Month-End Pricing Working Group 1992 1994 Standard Terms for Loan Assignments Code of Conduct Multilateral and Market Practices Netting Facility New Brady Bond Market Practices Master Options Agreement Local Markets Initiative
21 EMERGING MARKETS TRADERS ASSOCIATION
FULL MEMBERS*
ABN Amro Hoare Govett Deutsche Morgan Grenfell Most-Bank Amsterdam London Moscow
Alliance Capital Management Dresdner Bank Paribas Capital Markets New York City Frankfurt Paris
ANZ Grindlays Bank E.D.F. & Man Global Markets Refco Securities London New York City New York City
Arab International Bank EuroBrokers Maxcor Republic National Bank Cairo, Egypt New York City of New York New York City Banamex Exprinter International Bank Mexico City Curacao, Netherlands Antilles RMJ Securities New York City Banco Icatu Fidelity Investments Rio de Janeiro Boston Salomon Brothers New York City Banco Mercantil Venezolano Finely – CCF Group Caracas Paris Samuel Montagu London Banco Santander Garantia Banking Limited Madrid Sao Paulo Société Générale Paris Banesco Casa de Bolsa Goldman Sachs Caracas New York City Standard Bank London London Bank of America Henry Ansbacher & Co. London London Standard Chartered Bank London Bank of Boston Indosuez Capital Boston Paris/London Swiss Bank Corporation Basel Bankers Trust ING Barings New York London Tradition (North America) New York City Banque Nationale de Paris Inverworld Securities Paris San Antonio, Texas Trigone Capital Finance Geneva Bear Stearns & Co. J.P. Morgan New York City New York City Tullet & Tokyo International Securities Bozano, Simonsen Securities Kleinwort Benson London/New York City New York City London UBS Securities Cantor Fitzgerald Lazard Frères New York City London New York City Unibanco Cargill Financial Services Lehman Brothers Sao Paulo Minnetonka, Minnesota New York City Valores Finamex Internacional Chase Manhattan Lloyds Bank Mexico City New York City London Vnesheconombank Citicorp Securities MC Securities/UCB Moscow New York City Moscow West Merchant Bank CS First Boston Corporation Merrill Lynch London New York City New York City *Full Members are institutions Daiwa Securities America Moscow Narodny Bank that trade Emerging Markets New York City London instruments.
22 EMERGING MARKETS TRADERS ASSOCIATION
Associate Members**
ARFINT – Credit Lyonnais Del Plata Investment Corporation Lopez Leon Brokers Paris Montevideo Buenos Aires Atlantic Security Bank Deltec Asset Management LTCB Latin America Panama Corporation New York City New York City Banco BMG MG Finance Grand Cayman Donaldson, Lufkin & Jenrette Washington, DC New York City Banco Internacional Morgan Stanley and Co. New York City European Inter American New York City Finance Corp. Nafinsa Securities Banco Inverlat New York City Mexico City New York City Excel Banco NationsBank Capital Markets Banco Real Sao Paulo New York City Charlotte, North Carolina Exis Corporation NatWest Securities Banco Rio de la Plata New York City Buenos Aires London Finacor New Alliance Corporation Banco Sul America Paris Sao Paulo Stamford, Connecticut Financial Portfolio Consulting Nomura Securities Bancomer Paris Mexico City New York City Financiera Rigton Pactual Overseas Corp. Banque Commerciale pour Buenos Aires L’Europe Du Nord – Eurobank Rio de Janeiro Garban International Paris Sanvest New York City Banque Worms Sao Paulo Hungarian International Bank Paris Smith Barney Europe London BOT (Latin America) London IBS, Inc. Tokyo UBAF Asset Trading Boston Chapdelaine Corporate Securities Paris International Business Investment New York City Union Bancaire Privee Corp. (IBI) Compagnies d’Escomptes Vienna, Virginia London Financiers Wasserstein Perella Basel International Mexican Bank London New York City Creditanstalt Bankverein Vienna LAFISE **Associate Members are institutions that Miami trade Emerging Market instruments but which are smaller and less active than Full Members.
Affiliate Members†
Allen & Overy Davis Polk & Wardwell Montpelier Asset Management New York City New York City Limited London Arnhold & S. Bleichroeder Dewey Ballantine New York City New York City Moody’s Investors Service New York City Ashurst Morris Crisp Diffusion Finance S.A.R.L. London Luxembourg Paul, Hastings, Janofsky & Walker New York City Baker & McKenzie Dow Jones Telerate New York City New York City PIMCO Newport Beach, California Banco Inter-Atlantico Eurasco Zurich AG Sao Paulo Zurich Price Waterhouse LLP New York City Bank of Montreal Euroclear Toronto London Reuters Information Technology New York City BfG Bank European Bank and Trust Frankfurt Hamilton, Bermuda SEI Global Capital Investments Wayne, Pennsylvania Buteler & Peralta Ramos ICFI – Moscow Partners Buenos Aires Moscow Shearman & Sterling New York City Carlsmith, Ball,Wichman, Murray, International Asset Transactions Case & Ichiki New York City Simpson Thacher & Bartlett New York City Washington, DC The International Bank of Miami Cedel Bank Miami Slaughter and May London New York City King & Spalding Cleary Gottlieb Steen & Hamilton New York City TCW Americas Capital New York City New York City Linklaters & Paines Clifford Chance New York City Whitman, Breed,Abbott & Morgan Washington, DC London Longo & Bell Commerzbank AG New York City † Frankfurt Affiliate Members are persons or Millburn Ridgefield entities not eligible for membership New York City as Full or Associate Members. 23 EMTA STAFF
In implementing EMTA’s EMTA Professional Staff
policies and activities, EMTA’s Michael M. Chamberlin Executive Director staff are regularly advised by Kate Campana Deputy Director John Kramer (Shearman &
Starla Cohen Sterling), Christopher F.I. Saul Special Projects & Legal Counsel (Slaughter and May), E.Wilson Katarina Dimich Davis (Price Waterhouse) and Associate & Legal Counsel
Donald Goecks James A. Marren (Ogilvy, Adams Finance & Administration
& Rinehart). In addition, in Brian J. Morrisroe Analyst
connection with its Argentine Jonathan Murno Analyst activities, EMTA is advised by Moraima Pares Analyst Javier Errecondo (Bruchou, Sophie Pompea Fernandez Madero & Lombardi). Membership & Joining Deputy Director Project Development, EMTA is very grateful to these Russia/Eastern Europe Kate Campana at EMTA Jacqualine Rushing headquarters in downtown individuals and their firms for Information Systems Manhattan are: their professionalism and Mandy Sleigh (from left to right) European Coordinator ongoing commitment to serving Cristina von Bargen Cristina von Bargen Jonathan Murno Public Affairs its Members. Kate Campana Aviva Werner Brian J. Morrisroe Senior Legal Counsel Katarina Dimich Aviva Werner Starla Cohen Jacqualine Rushing Moraima Pares
24 Design Shari Finger Design
Photographic Illustration Ralph Mercer Photography
Executive Photography Ed Eckstein Photography
Printing Daniels Printing Company EMERGING MARKETS TRADERS ASSOCIATION
63 Wall Street, 20th Floor New York, New York 10005 Tel (212) 908-5000 Fax (212) 908-5039