etfl industry hi lights ye11 ca

8/3/2019 Etfl Industry Hi Lights Ye11 CA

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ETP LandscapeIndustry Highlights

Year End 2011

FOR ACCREDITED INVESTORS IN CANADA ONLY.

This material has not been approved for Canadian resident investors or for distribution in Canada. The information and opinions herein are provided for informationalpurposes only, are subject to change and should not be relied upon as the basis for investment decisions. Past performance is not necessarily indicative of future

performance. This document is not and should not be construed as a solicitation or offering of units of any funds or other security in any jurisdiction. No part of thispublication may be reproduced in any manner without prior written permission of BlackRock Asset Management Canada Limited and/or its affiliates.


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Table of contents

I. Global 2

Global ETP overview 3

Top ETP providers 13Top ETPs 15

II. United States 18

III. Europe 25

IV. Asia Pacific (ex-Japan) 35

V. Japan 39

VI. Latin America 43

VII. Canada 47

VIII. Middle East and Africa 51

1. ETP = Exchange Traded Product. ETP is a catch-all term for any portfolio exposure product that trades on an exchange.

2. Global ETP flows are approximated by combining flows available for the United States, Europe, Canada and Latin America (excludes Asia, Middle East and Africa which are not available).Where updated data is not available, we utilise the most recent period available. Product level information is not available for Israel.

1

The ETP Landscape: Monthly Highlights provides a snapshot of ETP1 Assets Under Management (AUM) and asset flows2 at a combined global leveland various regional levels as of the most recent month-end period. All currency values are denominated in US dollars. Our terminology has changed fromprior reports in that ETP is now a catch-all term for any portfolio exposure product that trades on an exchange.


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FOR ACCREDITED INVESTORS IN CANADA ONLY. 2

Global


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Global ETP Asset Growth

2011 Asset Growth Highlights (US$):

Under the backdrop of various macro-economicchallenges in 2011, the global Exchange TradedProducts (ETPs) industry grew 2.9% on the year,ending with $1.53tn in Assets Under Management(AUM). While growth was lower than in recentyears, the difference was primarily driven byunfavorable market return which has historically

been a strong contributor to industry asset growth.

Fixed income ETPs expanded at the fastest ratewith 24% growth or $50.6bn over 2010 drivenentirely by strong cash inflows of $49.8bn, toppingthe $40 billion collected in 2010. This expansionwas largely driven by US-listed products.

Developed equity captured healthy net inflows of$93bn offset by negative market return of ($65.5bn)to deliver modest growth of $27.7bn or a 3.3%increase in assets on the year.

Emerging markets equity products surrendered18.7% of asset values due to negative marketreturns of ($43bn) and net redemptions of ($1.8bn)for the year.

Note: Global ETP flows are approximated by combining flows available for the United States, Europe, Canada and Latin America (excludes Asia, Middle East and Africa). Market return is derived

as the portion of change in assets that is not attributable to net ETP flows. Data as at year end 2011 or where updated data is not available, we utilise the most recent period available.Source: BlackRock Investment Institute, Bloomberg.

Global ETP 2011 Asset Growth by Asset Class

$50.6

-$44.8

$6.4

$1.9

$27.7

-75 -50 -25 0 25 50 75 100

Others

Commodities

Fixed Income

Emerging Markets

Equity

Developed Equity

Market Return Net New Assets

AUM Grow th Rate

3.3%

-18.7%

24.4%

3.8%

7.1%


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2011 monthly global NNA (US$bn)

Year End 2011 flow highlights (US$bn):

December 2011 month-end AUM of $1,525bn is up $44bn or 2.9% from year-end 2010 AUM of$1,482bn.

Global ETPs gathered inflows of $14.2bn in December in contrast to outflows in November 2011

of ($0.6bn). December inflows were primarily driven by equity $10.5bn and fixed income $6.3bn with

offsetting outflows in commodities ($2.5bn).

While flows into equity and commodity categories have been up and down throughout the year,fixed income ETPs have displayed resilience, garnering new flows for every month in 2011,showcasing the popularity of this asset class in a tumultuous year for global markets.

AUM of $1,525bn decreased by ($18bn) in the month of December 2011 as solid inflows of$14.2bn were offset by ($32bn) of negative market and exchange rate moves.

The one month return on ETP AUM is -1.2% which compares to a one month return of -0.3% forthe MSCI All Countries World Index.2

4

1. NNA = Net New Assets. AUM = Assets Under Management. Global ETP NNAs (or flows) are approximated by combining flows available for the United States, Europe, Canada and LatinAmerica (excludes Asia, Middle East and Africa).

2. The MSCI ACWI is a free float-adjusted market capitalisation weighted index that is designed to measure the equity market performance of developed and emerging markets.

Note: AUM = Assets Under Management. NNA = Net New Assets. Data as at year end 2011 or where updated data is not available, we utilise the most recent period available.Source: BlackRock Investment Institute, Bloomberg, National Stock Exchange (NSX).

Global results at a glance:

Global ETP overview

As at Year End 2011 (US$bn) YE-11 Nov-11 YE-10

Month-end AUM 1,525 1,543 1,482

Monthly NNA1 14.2 (0.6) --

YTD NNA1 151.9 137.6 169.9

# of ETPs 4,221 4,200 3,503

14

10

17

25

1

14

23

2

5

27

14.2

(0.6)

(20) (10) 0 10 20 30

Jan-11

Feb-11

Mar-11

Apr-11

May-11

Jun-11

Jul-11

Aug-11

Sep-11

Oct-11

Nov-11

Dec-11

Equity Fixed income Commodities and other


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Regional AUM % market share

5

Global ETP 2011 flows and market share

2011 flow highlights (US$bn):

Total 2011 net new assets (NNAs) of$151.9bn are down moderately from 2010scapture of $169.9bn in new flows.

Emerging markets equity ETPs lodged thelargest year-over-year difference in flowswith net outflows in 2011 of ($1.8bn) as

compared to inflows of $40.5bn in 2010. Developed markets experienced significant

macro-economic challenges in 2011 andparadoxically, ETP equity productsproviding exposure to North America andEurope captured more new money in 2011than 2010.

Global fixed income flows of $49.8bn in2011 outperformed 2010s total of $40.0bn.

Regional highlights (US$bn):

The global business remains concentrated in the United States with 69.6% of AUM marketshare.

Europe has market share of 19.6%, Asia Pacific (including Japan) has 6.1% and other regionshave market share in the range of 1% to 3%

During 2011, United States AUM has increased 5.0% to $1061.8bn and Europe AUM hasdecreased (5.3%) to $298.5bn.

Other regions have experienced modest 2011 growth including Japan which grew by 8.5% to$35.6bn AUM and Asia Pacific (ex-Japan) which grew by 3.7% to $57bn AUM.

2011 NNA: US$151.9bn

2010 versus 2011 NNA

Note: ADV = AUM = Assets Under Management. NNA = Net New Assets. Global ETP flows are approximated by combining flows available for the United States, Europe, Canada and LatinAmerica (excludes Asia, Middle East and Africa). Data as at year end 2011 or where updated data is not available, we utilise the most recent period available.Source: BlackRock Investment Institute, Bloomberg.

United States 69.6%

Europe 19.6%

Asia 6.1%

Canada 2.8%

Other 1.9%

-5

5

15

25

35

45

North America

equity

Europe

equity

Asia Pacific

equity

Emerging

markets

equity

Fixed

income

Commodities Global/

other

2010 NNA 2011 NNA

US$bn


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Regional ETP Asset Growth

2011 Regional Growth Highlights (US$): The United States remains the largest and

most mature market in the ETP industry,delivering asset growth of 5.0% in 2011.

European assets ended the year down(5.3%) from 2010 while Canada deliveredthe highest regional AUM growth rate of

44.6%, albeit on a smaller asset base thanother developed markets.

Growth in the number of product offeringscontinues in all regions. While the US is themost mature market with 1370 at year end2011, product offerings grew by a robust26.7% on the year with 308 new productslaunched and 37 de-listed.*

Canada led the field in growth in the numberof products with 227 at year end 2011 ascompared to 157 at year end 2010, or a45% growth rate. Although new products inCanada were not the key driver of AUMgrowth in 2011, the higher asset growth ratein this region has enabled proportionately

more new product development. The rate of product development in Europe

lagged most other regions in percentageterms, with 258 new products introducedand 47 de-listed or a growth rate of 13.3%over 2010.

Note: AUM = Assets Under Management. Data as at end of YE 2011 or where updated data is not available, we utilise the most recent period available. *We classified the restructuring of 6HOLDRS ETPs as de-listings. Source: BlackRock Investment Institute, Bloomberg.

Regional ETP Growth Rate in Products and Assets

0

10

20

30

40

50

(10) (5) 0 5 10 15

Regional # of Products

Growth Rate (%) in 2011

Regional AUM Growth Rate (%) in 2011

Europe

US

Asia Pacific

Latin America

Canada

Middle East & Africa

$1061.8bn

$298.5bn

$92.6bn

$42.3bn

$19bn

$10.3bn


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FOR ACCREDITED INVESTORS IN CANADA ONLY.7

Global ETP assets by type of exposure

Note: AUM = Assets Under Management. NNA = Net New Assets. Global ETP flows are approximated by combining flows available for the United States, Europe, Canada and Latin America(excludes Asia, Middle East and Africa). Data as at end of December 2011 or where updated data is not available, we utilise the most recent period available.Source: BlackRock Investment Institute, Bloomberg.

Exposure as at Year End 2011 (US$bn) AUM

%

marketshare

MonthlyNNA

2011NNA

2011 change

AUM%

AUM

% AUM

marketshare

Equity 1,063 69.8 10.5 91.5 (17.1) (1.6) (3.1)

North America equity 569 37.3 12.2 53.8 38.3 7.2 1.5

Emerging markets equity 194 12.7 (1.3) (1.8) (44.8) (18.8) (3.4)

Europe equity 111 7.3 (1.8) 15.0 (10.2) (8.4) (0.9)

Asia Pacific equity 78 5.1 (1.0) 1.0 (4.4) (5.4) (0.4)

Global (ex-US) equity 65 4.3 1.8 12.3 1.2 1.8 (0.0)

Global equity 46 3.0 0.6 11.1 2.9 6.7 0.1

Fixed income 258 16.9 6.3 49.8 50.6 24.4 2.9

Commodities 174 11.4 (2.5) 7.8 6.4 3.8 0.1

Alternative 4 0.3 (0.1) (0.0) (0.4) (8.8) (0.0)Currency 8 0.6 0.0 2.0 1.8 27.9 0.1

Mixed 2 0.1 0.1 0.8 0.7 62.9 0.05

ETPs listed in Israel 15 1.0 - - (0.3) (1.9) (0.05)

Total 1,524.5 100.0 14.2 151.9 43.7 2.9

AUM % market share

2011 flow highlights (US$bn):

Equity ETPs led the field in asset gathering with $91.5bn, but lost ETP AUM market share of (3.1%) largely driven by emerging markets equity results.

Fixed income ETPs closed out a successful year gathering $49.8bn, or 32.8% of total net new assets flowing into the ETP industry in 2011 while also gainingAUM market share of 2.9% to end the year with 16.9% of total ETP assets.

Within commodities, gold experienced ($1.7bn) in net outflows in December, reversing the positive trend of recent months.

Developed Equity 57.0%

Emerging markets equity 12.7%

Fixed Income 16.9%

Commodities 11.4%

Others 1.9%


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2011 monthly NNA (US$bn) 2011 flow highlights (US$bn): For US-listed ETPs, investors favored

fixed income and US equities inDecember.

For European-listed ETPs, investorsshifted funds out of all asset classesin December, with the exception of

very minor flows into commodities. European-listed ETPs offering

exposure to German equitiesdelivered exceptional asset gatheringresults in 2011 with $17.3bn, or 96%of all flows into equity products inEurope.

Within commodities, gold has been akey driver of cash inflows in 2011capturing $10.4bn for the year. inDecember, investors in US ETPspulled back a bit from gold, extracting($2.3bn) while investors in EuropeanETPs invested $0.6bn.

8

Note: NNA = Net New Assets. Data as at year end 2011 or where updated data is not available, we utilise the most recent period available.Source: BlackRock Investment Institute, Bloomberg, National Stock Exchange (NSX).

United States versus Europe net new assets (NNAs)

EuropeUnited States

10.4

7.5

11.2

22.4

8.3

13.2

2.0

4.4

16.1

0.3

24.2

(1.0)

(10) (5) 0 5 10 15 20 25

Jan-11

Feb-11

Mar-11

Apr-11

May-11

Jun-11

Jul-11

Aug-11

Sep-11

Oct-11

Nov-11

Dec-11

US equity All other equity

Fixed income Commodity and other

4.0

2.4

4.2

3.6

2.1

4.2

8.6

1.3

(1.3)

(2.9)

(1.8)

(0.7)

(8) (6) (4) (2) 0 2 4 6 8 10

Jan-11

Feb-11

Mar-11

Apr-11

May-11

Jun-11

Jul-11

Aug-11

Sep-11

Oct-11

Nov-11

Dec-11

German equity All other equity

Fixed income Commodity and other


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Per Strategic Insight Simfund - Through November 2011 YTD, the global ETP industry captured more net new assets than the mutual fund industry.

Global Net New Assets (through November, 2011) US$bn

Source: Strategic Insight Simfund. Note: Data as of end of November 2011. Global flows include the United States, Europe, and Asia (excludes Canada, Middle East and Africa, and LatinAmerica). Mutual fund flows exclude money market funds.

Global flows into ETPs versus mutual funds

7

717

625553

(802)

711

592

(29)

94

260

14265

173 171 175

(900)

(700)

(500)

(300)

(100)

100

300

500

700

2005 2006 2007 2008 2009 2010 Nov 2011 YTD

Mutual Fund ETP

US$bn


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Global flows into equity ETPs versus mutual funds

Per Strategic Insight Simfund YTD November 2011 Equity Flow Highlights(US$bn):

Products providing exposure to equitiesrepresent the largest category of divergencebetween ETP and mutual fund net new assetflows through November 2011 YTD.

Globally through November 2011 YTD, equityETPs attracted new investment of $88 billionwhile mutual funds experienced net redemptionsof ($130bn).

In 2009, mutual funds had gathered more assetsin equity products as compared to ETPs, but thattrend shifted in 2010 and amplified through

November 2011 YTD with ETPs capturing alarger market share of global net new assets.

Global Equity Net New Assets

Mutual Funds ETPs

Source: Strategic Insight Simfund. Note: Data as of end of November 2011. Global flows include the United States, Europe, and Asia (excludes Canada, Middle East and Africa, and LatinAmerica). Mutual fund flows exclude money market funds.

153

47

(130)

63

11088

(200)

(100)

0

100

200

2009 2010 Nov 2011 YTD

US$bn


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Assets (US$bn) 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

ETF total 74.3 104.8 141.6 212.0 309.8 412.1 565.6 796.7 711.1 1,036.0 1,311.3 1,350.9

ETF equity 74.3 104.7 137.5 205.9 286.3 389.6 526.5 729.9 596.4 841.6 1,053.8 1,057.4

ETF fixed income 0.1 0.1 4.0 5.8 23.1 21.3 35.8 59.9 104.0 167.0 207.3 257.7ETF commodity 0.0 0.1 0.3 0.5 1.2 3.4 6.3 10.0 25.6 45.7 31.1

Other ETPs total 5.1 3.9 4.1 6.3 9.3 15.9 32.5 54.6 61.2 119.7 171.3 173.5

# ETFs 92 202 280 282 336 461 713 1,170 1,595 1,944 2,460 3,011

# Other ETPs 14 17 17 18 21 63 170 371 625 750 1,083 1,210

Global ETP multi-year asset growth

The 10-year CAGR for ETP AUM is 30.2%. For ETFs, 78% of AUM is invested in equity products, 19% is invested in fixed income products and 2.3% is

invested in commodity products. Other ETPs (excluding ETFs) are primarily invested in commodities 82.3%.

Note: CAGR = Compound Annual Growth Rate. AUM = Assets Under Management. Global ETP flows are approximated by combining flows available for the United States, Europe, Canada

and Latin America (excludes Asia, Middle East and Africa). Data as at year end 2011 or where updated data is not available, we utilise the most recent period available.Source: BlackRock Investment Institute, Bloomberg.

0

200

400

600

800

1,000

1,200

1,400

Assets US$bn

0

500

1,000

1,500

2,000

2,500

3,000

3,500

# products


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Global ETP trading volume growth trends

December 2011 ADV highlights (US$bn):

ADVs in the month of December 2011 werefurther down from the August highs,returning to levels seen in first two monthsin 2011.

In December 2011, global ADV of $63bnwas down from August highs of $127bn.

Global ADV of $63bn in December 2011was 21.8% lower than the average ADV forJanuaryNovember 2011 of $80.3bn.

Note: ADV = Average Daily Volume. Data as at year end 2011 or where updated data is not available, we utilise the most recent period available.Source: BlackRock Investment Institute, Bloomberg, National Stock Exchange (NSX).

2011 monthly ADV

0

20

40

60

80

100

120

140

Jan-11 Feb-11 Mar-11 Apr-11 May-11 Jun-11 Jul-11 Aug-11 Sep-11 Oct-11 Nov-11 Dec-11

US$ bn (lhs)

0

2

4

6

8

10

12

14US$ bn (rhs)

United States (lhs) Total (lhs) Europe (rhs)


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Top 10 ETP providers worldwide ranked by AUM

Providers as at Year End 2011 (US$bn) AUM

%marketshare

1-monthADV

2011 change

AUM%

AUM

%marketshare

iShares 599.1 39.3 15.3 2.3 0.4 (1.0)

State Street Global Advisors 270.3 17.7 28.9 21.2 8.5 0.9

Vanguard 170.7 11.2 1.7 22.2 14.9 1.2

Powershares/Deutsche Bank 59.4 3.9 2.9 4.0 7.3 0.2

db x-tracker/db ETC 44.1 2.9 0.4 (6.1) (12.2) (0.5)

Lyxor Asset Management 34.9 2.3 0.6 (18.5) (34.6) (1.3)

ETF Securities 24.8 1.6 0.3 (1.4) (5.4) (0.1)Van Eck Associates Corp 23.5 1.5 1.0 3.5 17.8 0.2

ProShares 23.1 1.5 3.1 (0.5) (2.2) (0.1)

Nomura Asset Management 18.4 1.2 0.05 1.8 10.7 0.1

Others (183 providers) 256.4 16.8 8.4 13.3 5.5 0.4

Total 1524.5 100 62.8 43.7 2.9 -

In December 2011, iShares was the largestglobal provider with 39% of AUM marketshare followed by State Street with 18% andVanguard with 11%.

iShares, db x-trackers/db/ETC, and Lyxor

have lost modest market share on the yearwhile State Street and Vanguard have gainedmodestly.

Collectively, the top three providers accountfor 68% of global ETP AUM.

Van Eck Associates Group moved ahead of

ProShares to become worldwide numbereight this month.

The 183 other providers (non-top ten) accountfor 16.8% of total global ETP AUM marketshare.

Commentary (US$bn)

Note: ADV = Average Daily Volume. AUM = Assets Under Management. Data as at year end 2011 or where updated data is not available, we utilise the most recent period available.Source: BlackRock Investment Institute, Bloomberg.


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Top 10 ETPs worldwide ranked by 2011 Net New Assets (NNA)

ETPs as at Year End 2011 (US$mn)Bloomberg

ticker2011NNA

Rank2011NNA AUM

RankAUM

iShares DAX (DE) DAXEX GY 11,600 1 13,958 15

Vanguard MSCI Emerging Markets ETF VWO US 7,827 2 41,900 3

SPDR S&P 500 SPY US 6,570 3 95,277 1

db x-trackers DAX ETF XDAX GY 5,670 4 7,548 39

iShares MSCI EAFE Index Fund EFA US 5,388 5 36,613 4

Vanguard Total Bond Market ETF BND US 5,157 6 14,620 11

Vanguard Dividend Appreciation ETF VIG US 4,089 7 8,945 28

Market Vectors Agribusiness ETF MOO US 3,679 8 5,524 57

iShares iBoxx $ High Yield Corporate Bond Fund HYG US 3,516 9 10,884 19

iShares iBoxx $ Investment Grade Corp Bond LQD US 3,324 10 17,155 10

ETPs offering German equity exposurethrough the DAX index comprise two of thetop five as measured by 2011 annual inflows.

Only four of the top ten ETPs as measured byAUM were also leading asset gatherers in

2011.

iShares has the largest number of top assetgathering products with four of the top ten.Vanguard has three.

Thematically, the top ten asset-gatheringETPs span a number of asset classes

including two products offering German DAXequity exposure and four products offeringyield (bond and dividend appreciation).

Commentary

Note: AUM = Assets Under Management. NNA = Net New Assets. Global ETP flows are approximated by combining flows available for the United States, Europe, Canada and Latin America

(excludes Asia, Middle East and Africa). Data as at year end 2011.Source: BlackRock Investment Institute, Bloomberg.


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Top 10 ETPs worldwide ranked by AUM

ETPs as at Year End 2011 (US$mn)Country

listedBloomberg

ticker AUM1-month

ADV

SPDR S&P 500 US SPY US 95,277 21,261.9

SPDR Gold Trust US GLD US 63,030 2,021.8

Vanguard MSCI Emerging Markets ETF US VWO US 41,900 731.6

iShares MSCI EAFE Index Fund US EFA US 36,613 1,084.4

iShares MSCI Emerging Markets Index Fund US EEM US 32,575 1,897.2

iShares S&P 500 Index Fund US IVV US 26,181 401.8

PowerShares QQQ Trust US QQQ US 25,570 2,429.2

iShares Barclays TIPS Bond Fund US TIP US 22,229 87.7

Vanguard Total Stock Market ETF US VTI US 19,504 121.5

iShares iBoxx $ Investment Grade Corp Bond US LQD US 17,155 120.9

State Street has the top two global productsranked by AUM at end December 2011.

Combined together, SPDR S&P 500 (SPY)and Gold Trust (GLD) account for 59% ofState Streets total ETP AUM.

iShares has the largest number of topproducts with five of the top ten.

Thematically, the top ten AUM ETPsspan a number of asset classes with thelargest concentration in United States broadequity (four products), emerging markets (twoproducts), fixed income (two products) andone product each in gold and EAFE equity.

All of the top ten ETPs are listed in the UnitedStates.

Commentary

Note: ADV = Average Daily Volume. AUM = Assets Under Management. Data as at year end 2011 or where updated data is not available, we utilise the most recent period available.Source: BlackRock Investment Institute, Bloomberg.


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Top 10 ETPs worldwide ranked by ADV

ETPs as at Year End 2011 (US$mn)Country

listedBloomberg

ticker1-month

ADV AUM

SPDR S&P 500 US SPY US 21,262 89,915

iShares Russell 2000 Index Fund US IWM US 3,538 17,498

PowerShares QQQ Trust US QQQ US 2,429 22,070

SPDR Gold Trust US GLD US 2,022 58,498

iShares MSCI Emerging Markets Index Fund US EEM US 1,897 47,551

iShares MSCI EAFE Index Fund US EFA US 1,084 36,923

Direxion Daily Small Cap Bull 3x Shares US TNA US 980 565

Energy Select Sector SPDR Fund US XLE US 877 8,396

Financial Select Sector SPDR Fund US XLF US 861 7,473

iShares Barclays 20+ Year Treasury Bond US TLT US 833 2,466

SPDR S&P 500 remains the top productmeasured by ADV.

iShares and State Street both have the four oftop ten products ranked by ADV.

All of the top ten products are UnitedStates-listed.

Commentary

Note: ADV = Average Daily Volume. AUM = Assets Under Management. Data as at end of Year End 2011 or where updated data is not available, we utilise the most recent period available.Source: BlackRock Investment Institute, Bloomberg.


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ETP statistics by region

Metric

Global United States Europe Japan Asia (ex-Japan) Latin America Canada

Middle East

& Africa

YE-11

2011change (%) YE-11

2011change

(%) YE-11

2011change

(%) YE-11

2011change

(%) YE-11

2011change

(%) YE-11

2011change

(%) YE-11

2011change

(%) YE-11

2011change

(%)

Total ETPs

Assets (US$bn) 1,524.5 2.8% 1,061.8 4.9% 298.5 -5.3% 35.6 9.2% 57.0 4.1% 10.3 1.7% 42.3 10.2% 19.0 -3.4%

2011 NNA (US$bn) 151.9 N/A 119.1 N/A 23.8 N/A N/A N/A N/A N/A 1.6 N/A 7.4 NA N/A N/A

# ETPs 4,221 19.1% 1,370 24.7% 1,803 13.2% 99 11.2% 333 49.3% 31 19.2% 227 44.6% 358 0.6%# listings 8,468 17.6% 1,370 24.7% 5,392 14.7% 131 17.0% 444 33.3% 460 18.6% 304 45.5% 358 0.3%

# providers 193 12.9% 48 4.3% 45 2.3% 10 11.1% 91 40.0% 4 0.0% 8 100.0% 21 0.0%

Dec -11 ADV (US$bn) 62.9 21.9% 57.3 24.9% 3.2 -6.5% 0.1 -26.1% 1.1 29.0% 0.3 78.0% 0.8 -26.6% 0.1 -29.2%

ETFs

AUM (US$bn) 1,350.9 3.0% 940.4 5.5% 266.6 -6.2% 35.0 8.6% 54.2 1.9% 10.3 1.7% 42.3 10.2% 2.2 -6.0%

2011 NNA (US$bn) 148.2 N/A 117.8 N/A 21.4 N/A N/A N/A N/A N/A 1.6 N/A 7.4 NA N/A N/A

# ETFs 3,011 22.4% 1,098 22.5% 1,232 14.9% 90 12.5% 303 51.5% 31 19.2% 227 44.6% 30 3.4%

# listings 6,612 20.4% 1,098 22.5% 4,262 17.6% 94 13.3% 415 35.2% 431 18.1% 280 51.4% 30 3.4%

# providers 155 14.0% 30 7.1% 38 -2.6% 8 14.3% 75 27.1% 4 0.0% 8 100.0% 11 10.0%

Dec -11 ADV (US$bn) 57.7 24.4% 52.5 27.9% 3.0 -5.6% 0.1 -28.5% 1.0 27.3% 0.3 77.9% 0.8 -26.7% 0.01 -31.1%

Other ETPs

Assets (US$bn) 173.5 1.3% 121.4 0.4% 32.0 2.2% 0.6 56.2% 2.7 84.8% - - - - 16.8 -3.0%

2011 NNA (US$bn) 3.8 N/A 1.3 N/A 2.4 N/A N/A N/A N/A N/A - - - - N/A N/A# Other ETPs 1,210 11.7% 272 34.0% 571 9.6% 9 0.0% 30 30.4% - - - - 328 0.3%

# listings 1,856 8.7% 272 34.0% 1,130 5.1% 37 27.6% 29 11.5% 29 26.1% 24 0.0% 328 0.0%

# providers 61 8.9% 22 0.0% 11 22.2% 4 0.0% 20 33.3% - - - - 11 -8.3%

Dec -11 ADV (US$bn) 5.2 -0.8% 4.7 -1.3% 0.2 -16.5% 0.01 5.1% 0.03 120.0% 0.002 88.5% 0.003 15.2% 0.1 -29.1%

Note: ADV = Average Daily Volume. AUM = Assets Under Management. NNA = Net New Assets. Global ETP flows are approximated by combining flows available for the United States, Europe,

Canada and Latin America (excludes Asia, Middle East and Africa which are not available). Data as at end of Year End 2011 or where updated data is not available, we utilise the most recentperiod available. Source: BlackRock Investment Institute, Bloomberg.


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United States


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United States ETPs multi-year asset growth

Assets (US$bn) 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

ETF assets 65.6 84.6 102.3 150.7 227.7 299.4 406.8 580.7 497.1 705.5 891.0 940.4

Other ETP assets 5.0 3.8 4.0 6.1 8.9 14.4 25.9 40.5 45.3 88.1 120.8 121.4

# ETFs 81 101 113 117 152 201 343 601 698 772 896 1098

# Other ETPs 14 17 17 17 17 20 38 72 146 153 203 272

The 10-year CAGR for United States ETP AUM is 28.2%.

Note: CAGR = Compound Annual Growth Rate. AUM = Assets Under Management. Data as at year end 2011.Source: BlackRock Investment Institute, Bloomberg.

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United States ETP NNA by type of exposure: commodities and other

Commodities experienced($2.6bn) of outflows inDecember driven by goldoutflows of ($2.4bn) within theprecious metals category.

2011 inflows of $2.6bn forprecious metals are down(77%) from 2010scomparable figure of $11.4bn.

Flows for energy products arenet negative ($1.7bn) for theyear, consistent direction with

2010s net outflows of($1.2bn).

Note: AUM = Assets Under Management. NNA = Net New Assets. Data as at year end 2011.

Source: BlackRock Investment Institute, Bloomberg.

Commentary (US$bn) Exposure (US$mn) AUMCommodities 106,496 (2,615) 1,425 11,048

Broad 11,441 229 854 862

Alternative 1.1 - (1) 0

Agriculture 3,135 (260) (182) 74

Energy 4,341 (100) (1,747) (1,192)

Industrial metals 612 (30) (107) (31)

Livestock 108 (8) 40 (37)

Precious metals 86,857 (2,445) 2,569 11,372Currency 7,894 24 2,117 (2,179)

Alternative 2,315 (82) 505 3,355

Mixed 1,567 53 753 442

Total 1,061,802 16,090 119,128 119,190

Dec-11

2011 NNA 2010 NNANNA


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Top 10 ETP providers in the United States ranked by AUM

Note: ADV = Average Daily Volume. AUM = Assets Under Management. NNA = Net New Assets. Data as at year end 2011. PowerShares markets a suite of ETPs in the US managed by DeutscheBank. Source: BlackRock Investment Institute, Bloomberg, National Stock Exchange (NSX).

Providers as at Year End2011 (US$bn) AUM

%marketshare

1-monthADV NNA

2011NNA

2011 Change

AUM%

AUM

%marketshare

iShares 449.1 42.3 13.6 7.7 29.4 -0.4 -0.1 -2.1

State Street Global Advisors 257.1 24.2 28.8 9.0 20.8 21.8 9.3 1.0

Vanguard 170.3 16.1 1.7 -0.02 35.6 22.1 14.9 1.4

PowerShares/Deutsche Bank 57.7 5.4 2.8 1.8 5.7 3.6 6.6 0.1

Van Eck Associates Corp 23.5 2.2 1.0 2.0 9.9 3.5 17.8 0.2

ProShares 23.1 2.2 3.1 -0.8 6.8 -0.5 -2.2 -0.2

WisdomTree Investments 12.2 1.1 0.2 0.3 3.9 2.3 22.9 0.2

Bank of New York 8.9 0.8 0.5 -0.2 -3.0 -3.4 -27.5 -0.4

Rydex SGI 7.7 0.7 0.3 -0.4 0.5 0.2 3.3 0.0

Direxion Shares 6.7 0.6 3.7 -0.5 3.3 0.1 1.8 0.0

Others (38 providers) 45.6 4.2 1.5 -2.7 6.4 0.6 1.3 -0.2

Total 1061.8 100.0 57.3 16.1 119.1 49.9 4.9 -

In December 2011, iShares was the largestUS provider with 42% AUM market sharefollowed by State Street Global Advisors with24% and Vanguard with 16%.

iShares has lost market share of (2.1%)

in 2011 while State Street Global Advisorsand Vanguard have gained 1.0% and1.4% respectively.

Collectively, the top three providers accountfor 82.6% of US AUM.

iShares and State Street together accountfor 74% of total ADV for the entire US marketin December 2011.

The 38 other providers (non-top ten) accountfor 4.2% of US AUM market share.

Commentary (US$bn)


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United States ETPs ranked by 2011 net new assets (NNA) and outflows

Note: AUM = Assets Under Management. NNA = Net New Assets. Data as at year end 2011.

Source: BlackRock Investment Institute, Bloomberg, National Stock Exchange.

Ranked by NNAs for 2011

ETP (US$mn) as at December, 2011Bloomberg

ticker2011NNA AUM

Vanguard MSCI Emerging Markets ETF VWO US 7,827 41,900

SPDR S&P 500 SPY US 6,570 95,277

iShares MSCI EAFE Index Fund EFA US 5,388 36,613

Vanguard Total Bond Market ETF BND US 5,157 14,620

Vanguard Dividend Appreciation ETF VIG US 4,089 8,945

Market Vectors Agribusiness ETF MOO US 3,679 5,524

iShares iBoxx $ High Yield Corp Bond Fund HYG US 3,516 10,884

iShares iBoxx $ Investment Grade Corp Bond LQD US 3,324 17,155

PowerShares QQQ Trust QQQ US 3,191 25,570

Utilities Select Sector SPDR Fund XLU US 3,142 7,665

Ranked by outflows for 2011

ETP (US$mn) as at December, 2011Bloomberg

ticker2011NNA AUM

iShares MSCI Emerging Markets Index Fund EEM US (6,742) 32,575

S&P 400 MidCap SPDR MDY US (3,015) 8,852

iShares Russell 2000 Index Fund IWM US (2,175) 14,072

Energy Select Sector SPDR Fund XLE US (1,650) 6,718

iShares Silver Trust SLV US (1,579) 8,553

iShares Barclays Short Treasury Bond Fund SHV US (1,411) 2,590

iShares S&P Latin America 40 Index Fund ILF US (1,078) 1,735

Vanguard Small-Cap ETF VB US (1,074) 3,696

iShares FTSE China 25 Index Fund FXI US (919) 5,842

Industrial Select Sector SPDR Fund XLI US (874) 2,709

2011 highlights (US$bn):

Vanguard MSCI Emerging Markets ETF (VWO) had the highest 2011 NNA with $7.8bn and iShares MSCI Emerging Markets Index Fund (EEM) had thehighest 2011 outflow of (US$6.7bn) reflecting a shift in emerging market equity flows from iShares to Vanguard.

SPDR S&P 500 (SPY) captured $9.0 billion in December, shifting to the top 10 NNA gathering category after ranking number four on the largest outflows listlast month.

Other top asset-gathering ETPs represent a wide array of asset classes including international equity, agribusiness, bonds, utilities, and dividend funds.


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Europe

E ETP l i h


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European ETP multi-year asset growth

Assets (US$bn) 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

ETF total 0.7 5.7 10.7 20.4 34.0 54.9 89.7 128.5 142.7 226.9 284.0 266.6

ETF equity 0.7 5.7 10.7 19.4 31.0 49.3 75.7 103.5 96.6 159.8 198.5 179.2ETF fixed income 1.0 2.9 5.2 12.1 21.0 41.1 51.6 57.1 56.3

ETF commodity 0.4 2.0 3.3 4.9 15.2 26.4 29.4

Other ETP total 0.7 1.1 2.1 4.9 6.9 15.7 31.3 32.0

# ETFs 6 71 118 104 114 165 273 423 636 827 1,072 1,232

# Other ETPs 1 2 32 80 218 281 521 571

The 10-year CAGR for Europe ETP AUM is 48.6%. The growth is primarily driven by equity products.

Note: AUM = Assets Under Management. Data as at year end 2011.


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European ETP NNA by type of exposure: developed market equity

continued

Equity products experiencedoutflows of ($2.4bn) amid arelatively quiet month for flowsin European ETP markets.

Within the equity category,

German country fundssurrendered a modest $0.2bn,ending the year with inflows of$17.3bn which represents97% of the $18.0bn total 2011equity inflows for allEuropean-listed ETPs.

Commentary (US$bn)

Note: NNA = Net New Assets. Data as at year end 2011.


Exposure (US$mn) Assets

Equity 179,478 (2,403) 18,042 31,313

Europe 101,793 (1,729) 13,445 7,820

Broad 36,792 (703) (4,310) 1,925

Country 55,225 (765) 18,850 5,594

Germany 27,026 (183) 17,276 3,229

United Kingdom 10,632 (85) 1,124 950

Italy 1,208 (33) 451 178

Switzerland 7,064 47 49 609France 5,374 (418) (360) 430

Sweden 2,040 26 250 95

Other 1,882 (118) 59 103

Sectors 9,776 (261) (1,095) 301

North America 26,239 61 5,148 4,795

Broad 2,065 (21) 182 595

Canada 545 (33) 326 298

United States 23,630 114 4,640 3,901

Asia Pacific 10,720 (405) (442) 3,694

Global 12,717 88 883 2,698

Global (ex-US) - - - -

Dec-11



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European ETP NNA by type of exposure: commodities and other


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European ETP NNA by type of exposure: commodities and other

Precious metals ETPsgarnered $0.6bn inDecember while every othercommodity categoryexperienced outflows.

2011 inflows of $7.8bn forprecious metals are higherthan 2010s comparable figureof $7.1bn.

Commentary (US$bn)

Note: NNA = Net New Assets. Data as at year end 2011.


Exposure (US$mn) Assets

Commodities 60,598 80 6,713 9,253

Broad 6,744 (377) (816) 1,707

Alternative 1 - 1 (1)

Agriculture 3,623 (9) (282) (397)

Energy 3,531 (108) (15) 504

Industrial metals 1,725 (15) 14 328

Livestock 122 (4) (4) 15

Precious metals 44,851 594 7,815 7,097Currency 484 (7) (96) 345

Alternative 1,598 (21) (541) 1,044

Mixed 115 - 12 35

Total 298,537 -2,884 23,798 50,266

Dec-11


Top 10 ETP providers in Europe ranked by AUM


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Note: ADV = Average Daily Volume. NNA = Net New Assets. Data as at year end 2011.


In December 2011, iShares was the largestEuropean provider with 36% AUM marketshare followed by db x-trackers with 14% andLyxor Asset Management with 12%.

iShares has gained market share of 3.2% in

2011 while db x-trackers and Lyxor AssetManagement have lost market share of(1.1%) and (5.0%), respectively.

Collectively, the top three providers accountfor 61.5% of Europe AUM.

iShares leads in ADV with 33% of overallvolume. The top three providers represent

63% of the total ADV in Europe.

The 36 other providers (non-top-ten) accountfor 10% of Europe AUM market share.

Providers as at Year End 2011(US$bn)

AUM

%marketshare

1-monthADV

Dec-11NNA

2011NNA

2011 Change

AUM%

AUM

%marketshare

iShares 105.9 35.5 1.0 0.7 18.6 4.1 4.0 3.2

db x-trackers/db ETC 43.1 14.4 0.4 (1.0) 0.8 (5.9) (12.1) (1.1)

Lyxor Asset Management 34.5 11.6 0.6 (1.6) (10.0) (17.9) (34.1) (5.0)

ETF Securities 20.6 6.9 0.2 (0.3) (0.6) (1.3) (6.1) (0.1)

Credit Suisse Asset Management 15.5 5.2 0.1 (0.5) 1.8 (0.1) (0.7) 0.2

Zurich Cantonal Bank 14.0 4.7 0.1 0.5 2.2 2.2 18.7 1.0

UBS Global Asset Management/UBS AG

12.9 4.3 0.04 (0.2) 4.6 3.1 31.4 1.2

Amundi ETF 8.4 2.8 0.1 (0.2) 2.4 1.2 17.4 0.5

Source Markets 7.3 2.4 0.2 0.1 2.5 1.2 18.8 0.5

Commerzbank 7.1 2.4 0.1 (0.4) (0.6) (1.5) (17.9) (0.4)

Others (36 providers) 29.3 9.8 0.4 0.01 2.3 (1.8) (5.7) (0.04)

Total 298.5 100% 3.2 (2.9) 23.8 (16.8) (5.3%) -

Top 10 ETP providers in Europe ranked by AUM

Commentary (US$bn)

Top 10 ETPs in Europe ranked by AUM and ADV


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Top 10 ETPs in Europe ranked by AUM and ADV

Ranked by AUM as at Year End 2011

ETP (US$mn)Country

listedBloomberg

ticker AUM1-month

ADV

iShares DAX (DE) Germany DAXEX GY 13,958 147

ZKB Gold ETF (CHF) Switzerland ZGLD SW 9,274 41

iShares S&P 500

United

Kingdom IUSA LN 9,202 61

db x-trackers DAX ETF Germany XDAX GY 7,548 41

ETFS Physical GoldUnitedKingdom

PHAU LN 6,754 48

GBS Bullion SecuritiesUnitedKingdom

GBS LN 5,938 43

Lyxor ETF Euro STOXX 50 France MSE FP 5,179 63

iShares FTSE 100UnitedKingdom

ISF LN 5,136 71

iShares MSCI Emerging MarketsUnitedKingdom

IEEM LN 4,943 43

iShares EURO STOXX 50 Germany EUN2 GY 4,190 48

Note: ADV = Average Daily Volume. AUM = Assets Under Management. AUM reflects total fund AUM. ADV reflects total of all exchange listings, share classes and partial OTC volumes.Data as at year end 2011. Source: BlackRock Investment Institute, Bloomberg.

The iShares DAX (DE) product is the largest by AUM and ADV. The largest products by AUM fall into one of three categories: six large-cap products (on

DAX, S&P 500, STOXX 50 and FTSE 100 indexes), three gold products and one emerging markets product. Within the top ten products ranked by AUM, iShares has five products and five other providers each have one. Among the top ten ranked by ADV, iShares

has five products, Lyxor and ETF Securities each have two and db x-trackers has one.

Large-cap equity products (including leveraged) comprise seven of the ten top products ranked by ADV.

Ranked by ADV as at Year End 2011

ETP (US$mn)Country

listedBloomberg

ticker AUM1-month

ADV

iShares DAX (DE) Germany DAXEX GY 13,958 147

iShares FTSE 100UnitedKingdom

ISF LN 5,136 71

db x-trackers ShortDAX Daily ETF Germany XSDX GY 538 66

Lyxor ETF Euro STOXX 50 France MSE FP 5,179 63

iShares S&P 500UnitedKingdom

IUSA LN 9,202 61

Lyxor ETF CAC 40 France CAC FP 2,986 49

iShares EURO STOXX 50 Germany EUN2 GY 4,190 48

ETFS Physical GoldUnitedKingdom

PHAU LN 6,754 48

GBS Bullion SecuritiesUnitedKingdom

GBS LN 5,938 43

iShares MSCI Emerging MarketsUnitedKingdom

IEEM LN 4,943 43

Europe ETPs ranked by 2011 net new assets (NNAs) and outflows


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Europe ETPs ranked by 2011 net new assets (NNAs) and outflows

1. AUM and ADV on UBS ETF MSCI Emerging Markets includes both share class A and I. 2. AUM and ADV on ZKB Gold ETF (USD) reflects the both the USD and the CHF lines (not H class)Note: ADV = Average Daily Volume. AUM = Assets Under Management. NNA = Net New Assets. AUM reflects total fund AUM. ADV reflects total of all exchange listings, share classes andpartial OTC volumes. Data as at year end 2011.


Ranked by 2011 outflows as at Year End 2011

ETP (US$mn)Bloomberg

ticker2011NNA AUM

1-monthADV

Lyxor ETF Euro STOXX 50 MSE FP (2,031) 8,279 63

db x-trackers MSCI EmergingMarket TRN Index ETF

XMEM GY (1,530) 6,263 36

ETFlab EURO STOXX 50 ETFSX5E GY (1,400) 2,120 3

iShares Markit iBoxx EuroCorporate Bond IBCS GY (1,072) 4,783 28

Lyxor ETF EuroMTS 1-3Y MTA FP (1,064) 1,598 4

db x-trackers STOXX Europe 600 XSX6 GY (930) 1,238 4

Lyxor ETF EuroMTS 3-5Y MTB FP (865) 1,381 2

db x-trackers II Short IBOXX Sovereigns Eurozone Total Return XSGL GY (770) 1,096 2

Lyxor ETF MSCI Emerging Markets LEM FP (744) 2,286 7

ETFlab Dt. Boerse EUROGOVGermany Money Market

ETFGSMM GY (682) 878 1

Ranked by 2011 NNA as at Year End 2011


ticker2011NNA AUM

1-monthADV

iShares DAX (DE) DAXEX GY 11,600 13,958 147

db x-trackers DAX ETF XDAX GY 5,670 7,548 41

iShares S&P 500 IUSA LN 1,398 9,202 61

UBS ETF MSCI Emerging MarketsTRN INDEX SF A EGUSAS SW 1,263 1,219

1

21

Physical Gold Source P-ETC SGLD LN 1,217 2,133 25

iShares EURO STOXX 50 EUN2 GY 1,106 4,190 48

ZKB Gold ETF (USD) ZGLDUS SW 1,012 9,2742 422

ZKB Gold ETF (CHF) H ZGLDHC SW 903 1,221 8iShares Barclays Capital EuroCorporate Bond ex-Financials

IEXF LN 765 950 4

iShares Markit iBoxx Euro HighYield Bond

IHYG LN 739 1,093 13

Two DAX products offering single country equity exposures to Germany and three gold products are in the top ten ETPs as measured by inflows (or NNAs).

iShares has five of the top ten products ranked by NNAs; ZKB has two; while db x-trackers, UBS and Source each have one product.

Lyxor has four of the top ten products ranked by outflows, db x-trackers has three, ETFlab has two and iShares has one.

European ETF physical and synthetic AUM trends


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European ETF physical and synthetic AUM trends

Note: Synthetic replication refers to the use of derivatives to replicate the index performance such as swaps, futures, forwards, options etc. Physical replication refers to the use of physicalsecurities such as stocks, bonds and commodities to generate the index performance. Hybrid replication refers to a combination of both physical and synthetic products. Data as at year end 2011.


Assets (US$bn) 2005 2006 2007 2008 2009 2010 2011

Physical 41.3 64.1 80.6 76.4 125.0 155.1 162.0

Synthetic 13.6 25.6 48.0 66.4 101.9 128.6 104.3

Hybrid 0.3 0.2

ETF AUM total 54.9 89.7 128.5 142.7 226.9 284.0 266.6# physical 138 184 231 252 314 385 447

# synthetic 27 89 192 383 515 683 782

# hybrid 3 3

# ETFs total 165 273 423 635 829 1,072 1,232

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2011 monthly NNA (US$mn)

December 2011 monthly flow highlights (US$bn):

Derivative-backed (or synthetic) ETPs in Europe experienced outflows of ($3.9bn) in December while physically-backed ETPs attracted inflows of $1.0bn. Over the last five months, synthetic products have experienced combined outflows of ($13.5bn) against inflows of $8.2bn for physically-backed ETPs.

34

Note: NNA = Net New Assets. Data as at year end 2011. Source: BlackRock Investment Institute, Bloomberg.

Europe synthetic versus physically backed ETPs

Physical ETPs

Synthetic ETPs

2716

223

3114

1091 1049

(4548)

(902)

(1861)

(2363)

(3873)

(5,000)

(3,000)

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3,000

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US$mn


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Asia Pacific (ex-Japan)

Asia Pacific (ex-Japan) ETPs multi-year asset growth


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( p ) y g

Note: CAGR = Compound Annual Growth Rate. Shares outstanding on Chinas ETFs are as at end of October 2011. All other data as at year end 2011.


Assets (US$bn) 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

ETF assets 3.7 3.8 6.6 8.6 10.5 18.1 27.0 23.8 38.5 53.3 54.2

Other ETP assets 0.1 0.5 0.8 1.5 2.7

# ETFs 4 11 20 27 32 49 68 96 132 200 303

# Other ETPs 4 6 12 23 30

The 10-year CAGR for Asia Pacific ETP AUM is 31.5%. The number of ETPs have grown by 110 or 49% over the last year.

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p p ( p ) y

Note: ADV = Average Daily Volume. NNA = Net New Assets. Shares outstanding on Chinas ETFs are as at end of November 2011. All other data as at year end 2011.Source: BlackRock Investment Institute, Bloomberg.

Providers as at Year End 2011(US$bn) AUM

%marketshare

1-monthADV

2011 change

AUM%

AUM

%marketshare

State Street Global Advisors 11.8 21.7 0.04 (1.0) (7.7) (2.3)

iShares 7.4 13.6 0.1 (2.6) (26.1) (5.2)

HSBC/Hang Seng 6.1 11.3 0.02 (0.6) (9.3) (1.4)

Samsung Investment Trust Management 4.7 8.7 0.5 1.9 64.3 3.3

Polaris 4.2 7.7 0.03 1.7 70.2 3.1

China Asset Management 3.8 7.1 0.1 0.2 6.9 0.3

E Fund Management 2.9 5.3 0.1 (0.3) (8.1) (0.6)

Hua An Fund Management 1.5 2.7 0.04 0.6 63.4 1.0

Mirae Asset MAPS Global Investments 1.3 2.4 0.02 0.8 154.5 1.4

Woori Asset Management 0.9 1.7 0.02 (0.1) (6.2) (0.1)


Total 57.0 100.0 1.1 2.2 4.1 -

At year end 2011, State Street was the largestAsia Pacific (ex-Japan) provider with 22% ofAUM market share followed by iShares with14% and HSBC/Hang Seng with 11%.

The top three providers have all lost market

share this year, with iShares losing the mostat (5.2%). The largest market sharebeneficiaries are Samsung and Polaris.

Collectively, the top three providers accountfor 47% of ETP AUM, which represents lessconcentration among the top three versusother regions.

The 83 other providers (non-top ten) accountfor 18% of market share.

27 new product providers have entered themarket in 2011. This represents a 41%increase in the number of providers from 66 inDecember 2010 to 93 at year end 2011.

Commentary

Top 10 ETPs in Asia Pacific (ex-Japan) ranked by AUM and ADV


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ETP (US$mn)Country

listedBloomberg

ticker AUM1-month

ADV

Tracker Fund of Hong Kong(TraHK)

Hong Kong 2800 HK 6,242 25

iShares FTSE A50 China Index

ETF*Hong Kong 2823 HK 5,878 104

Polaris Taiwan Top 50 Tracker Taiwan 0050 TT 3,456 27

Hang Seng Index ETF Hong Kong 2833 HK 3,362 1

China AMC SSE 50 China 510050 CH 3,217 107

E Fund SZSE 100 China 159901 CH 2,634 65

ABF Pan Asia Bond IndexFund

Hong Kong 2821 HK 2,629 0.4

Samsung Kodex200 ETF South Korea 069500 KS 2,532 100

Hang Seng H-Share Index ETF Hong Kong 2828 HK 2,327 20

SPDR S&P/ASX 200 Fund Australia STW AU 2,007 10


ETP (US$mn)Country

listedBloomberg

ticker1-month

ADV AUM

Samsung KODEX LeverageETF

South Korea 122630 KS 227 882

Samsung KODEX Inverse ETF South Korea 114800 KS 157 484

China AMC SSE 50 China 510050 CH 107 3,217

iShares FTSE A50 ChinaIndex ETF*

Hong Kong 2823 HK 104 5,878

Samsung Kodex200 ETF South Korea 069500 KS 100 2,532

E Fund SZSE 100 China 159901 CH 65 2,634

SHANGHAI SSE180 ETF China 510180 CH 43 1,327

Polaris Taiwan Top 50 Tracker Taiwan 0050 TT 27 3,456

Tracker Fund of Hong Kong(TraHK)

Hong Kong 2800 HK 25 6,242

Hang Seng H-Share IndexETF

Hong Kong 2828 HK 20 2,327

* This is a synthetic ETF. The relevant annotation that the fund is a synthetic ETF is a Hong Kong regulatory requirement. As such, for funds that are not authorized in Hong Kong, they may notcarry the same annotation even though they may invest substantially in financial derivatives instruments.

Note: ADV = Average Daily Volume. AUM = Assets Under Management. Shares outstanding on Chinas ETFs are as of end of November 2011. All other data as at year end 2011.



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Japan

Japan ETP multi-year asset growth


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Note: CAGR = Compound Annual Growth Rate. Data as at end of November 2011.


Assets (US$bn) 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

ETF assets 6.6 21.0 27.6 30.3 31.8 34.6 34.2 27.4 24.6 32.2 35.0

Other ETP assets 0.0 0.3 0.3 0.4 0.6

# ETFs 8 18 18 15 13 13 15 61 68 80 90

# Other ETPs 1 4 5 9 9

The 10-year CAGR for Japan ETP AUM is 18.4%.

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ETP providers in Japan ranked by AUM


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Note: ADV = Average Daily Volume. AUM = Assets Under Management. Data as at year end 2011.



%marketshare

1-monthADV

2011 change

AUM%

AUM

%marketshare

Nomura Asset Management 18.4 51.8 0.048 1.8 10.7 0.7

Nikko Asset Management 7.9 22.2 0.046 1.3 20.5 2.1

Daiwa Asset Management 6.8 19.2 0.005 -0.04 -0.63 -1.9

Mitsubishi UFJ Asset Management 2.1 6.0 0.008 -0.2 -10.1 -1.3

Simplex Asset Management 0.11 0.3 0.001 0.03 36.9 0.1

iShares 0.09 0.3 0.0003 0.05 98.24 0.1

Kokusai Asset Management 0.06 0.2 0.003 0.1 711.3 0.2


Total 35.6 100 0.116 3.0 9.2 -

At Year End 2011, Nomura AssetManagement was the largest Japaneseprovider with 52% of AUM market sharefollowed by Nikko Asset Management with22% and Daiwa Asset Management with19%.

Nomura and Nikko have both gained marketshare of 0.7% and 2.1%, respectively fromthe next two largest providers.

Collectively, the top three providers accountfor 93% of ETP AUM.

Commentary

Top 10 ETPs in Japan ranked by AUM and ADV


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1. For ETFs cross listed into Japan from the United States, AUM reflects total fund AUM (which is not counted in previous totals). ADV reflects US dollar volume of the specific exchangelisting shown.Note: ADV = Average Daily Volume. AUM = Assets Under Management. Data as at year end 2011.




ticker AUM1-month

ADV

NIKKEI 225 ETF 1321 JP 8,541 30.6

TOPIX ETF 1306 JP 8,513 13.2

Listed Index Fund 225 1330 JP 4,052 43.1

Daiwa ETF TOPIX 1305 JP 3,386 1.1

Listed Index Fund TOPIX 1308 JP 3,354 1.9

Daiwa ETF NIKKEI 225 1320 JP 3,266 3.6

MAXIS NIKKEI225 ETF 1346 JP 1,187 0.9

MAXIS TOPIX ETF 1348 JP 373 1.5

TOPIX Banks Exchange Traded Fund 1615 JP 302 0.7

Japan Physical Gold ETF 1540 JP 291 3.8

Ranked by ADV1

as at Year End 2011


ticker1-month

ADV AUM

Listed Index Fund 225 1330 JP 43.1 4,052

NIKKEI 225 ETF 1321 JP 30.6 8,541

TOPIX ETF 1306 JP 13.2 8,513

SPDR Gold Trust 1326 JP 4.6 63,0301

Japan Physical Gold ETF 1540 JP 3.8 291

Daiwa ETF NIKKEI 225 1320 JP 3.6 3,266

Kokusai S&P500 VIX Short-TermFutures Index ETF

1552 JP 2.9 58

Listed Index Fund TOPIX 1308 JP 1.9 3,354

MAXIS TOPIX ETF 1348 JP 1.5 373

Gold-Price-Linked ETF 1328 JP 1.4 159


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Latin America

Latin America ETFs multi-year asset growth


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Note: CAGR = Compound Annual Growth Rate. Data as at end of November 2011.


Assets (US$bn) 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

ETF assets 0.1 0.4 0.4 1.3 2.7 6.3 5.5 9.8 10.1 10.3

# ETFs 1 1 2 2 2 6 10 17 26 31

The 9-year CAGR for Latin America ETF AUM is 58.9%.

0

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12

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# products


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Top 10 ETPs in Latin America ranked by AUM and ADV


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ETP (US$mn)Country

listedBloomberg

ticker AUM1-month

ADV

iShares NAFTRAC Mexico NAFTRAC MM 6,075 143

PIBB FUNDO INDICE BRASIL 50 Brazil PIBB11 BZ 866 1

iShares COLCAP Colombia ICOLCAP CB 733 1

BRTRAC 10 Mexico BRTRAC MM 674 9

iShares IPC Large Cap TotalReturn TRAC

Mexico ILCTRAC MM 479 2

iShares Ibovespa Fundo de ndice Brazil BOVA11 BZ 478 28

MEXTRAC Mexico MEXTRAC MM 329 0.3

iShares LATixx Mexico UDITRAC Mexico UDITRAC MM 121 0.02

iShares Mexico Corporate BondTRAC

Mexico CORPTRC MM 117 0.01

CHNTRAC 11 Mexico CHNTRAC MM 86 4

1. For ETFs cross listed into Latin America from the United States, AUM reflects total fund AUM (which is not counted in previous totals). ADV reflects US dollar volume of the specific exchangelisting shown.



Ranked by ADV1

as at Year End 2011

ETP (US$mn)Country

listedBloomberg

ticker AUM1-month

ADV

iShares NAFTRAC Mexico NAFTRAC MM 6,075 142.6

iShares Ibovespa Fundo de ndice Brazil BOVA11 BZ 478 28.0

BRTRAC 10 Mexico BRTRAC MM 674 8.9

PowerShares QQQ Trust Mexico QQQ* MM 25,5701 7.81

iShares MSCI Canada Index Fund Mexico EWC* MM 4,4711 5.61

iShares Barclays Short TreasuryBond Fund

Mexico SHV* MM 2,5901 5.51

iShares MSCI Brazil Index Fund Mexico EWZ* MM 9,3691 4.51

Direxion Daily Emerging Markets Bull3x Shares

Mexico EDC* MM 3701 4.51

Direxion Daily Emerging MarketsBear 3x Shares

Mexico EDZ* MM 1261 4.31

Direxion Daily Financial Bull 3xShares

Mexico FAS* MM 1,3921 3.91


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Canada

Canada ETFs multi-year asset growth


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Note: CAGR = Compound Annual Growth Rate. Data as at year end 2011. There are currently no primary listings of ETP products other than ETFs in Canada.


Assets (US$bn) 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

ETF assets 4.0 3.1 3.4 5.5 7.4 10.6 13.0 18.0 15.7 28.5 38.4 42.3

# ETFs 3 14 15 16 16 20 26 46 77 110 157 227

The 10 year CAGR for Canada ETF AUM is 26.6%.

0

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45

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ETF providers in Canada ranked by AUM


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Note: AUM = Assets Under Management. NNA = Net New Assets. Data as at end of November 2011.



%marketshare NNA

2011NNA

2011 change

AUM%

assets

%marketshare

iShares 28.4 67.2 0.9 2.5 0.1 0.3 (6.6)

Claymore Investments 6.6 15.5 0.1 1.5 1.1 19.5 1.2

BMO Asset Management 3.8 8.9 0.4 2.6 2.3 149.0 5.0

BetaPro Management 3.0 7.1 0.1 0.3 (0.02) (0.6) (0.8)

PowerShares 0.4 0.9 0.0 0.3 0.4 100.0 0.9

Vanguard 0.06 0.1 0.1 0.1 0.1 100.0 0.1

RBC Global Asset Management 0.06 0.1 0.0 0.1 0.1 100.0 0.1

First Asset Management 0.05 0.1 0.0 0.1 0.05 100.0 0.1

Total 42.3 100.0 1.6 7.4 3.9 10.2

At year end 2011, iShares was the largestCanadian provider with 67% of AUM marketshare followed by Claymore Investments with16% and BMO Asset Management with 9%.

iShares has lost market share of (6.6%) thisyear to BMO Asset Management, ClaymoreInvestments, and PowerShares.

Collectively, the top three providers accountfor 91.6% of ETP AUM.

Vanguard entered Canadian ETF market with6 products in December and became No.6 inCanadian provider rankings.

Commentary

Top 10 ETPs in Canada ranked by AUM and ADV


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ticker AUM1-month

ADV

iShares S&P/TSX 60 Index Fund XIU CN 11,033 237

iShares DEX Short Term Bond Index Fund XSB CN 2,085 8

iShares DEX Universe Bond Index Fund XBB CN 1,886 11

iShares S&P 500 Index Fund (CAD-Hedged) XSP CN 1,477 10

iShares DEX All Corporate Bond Index Fund XCB CN 1,457 5

iShares S&P/TSX Capped REIT Index Fund XRE CN 1,287 3

iShares S&P/TSX Capped Composite IndexFund

XIC CN 1,218 6

iShares S&P/TSX Global Gold Index Fund XGD CN 1,173 25

Claymore 1-5 Yr Laddered Corporate Bond ETF CBO CN 1,105 4

iShares Dow Jones Canada Select DividendIndex Fund

XDV CN 950 5



ticker1-month

ADV AUM

iShares S&P/TSX 60 Index Fund XIU CN 237 11,033

Horizons BetaPro NYMEX Natural Gas Bull Plus HNU CN 52 313

Horizons BetaPro NYMEX Natural Gas Bear Plus HND CN 44 28

Horizons BetaPro NYMEX Crude Oil Bear Plus HOD CN 31 154

Horizons BetaPro NYMEX Crude Oil Bull Plus HOU CN 31 163

iShares S&P/TSX Capped Energy Index Fund XEG CN 27 857

Horizons BetaPro S&P/TSX 60 Bull Plus Fund HXU CN 26 91

iShares S&P/TSX Global Gold Index Fund XGD CN 25 1,173

Horizons BetaPro S&P/TSX Global Gold BullPlus ETF

HGU CN 23 142

Horizons BetaPro S&P/TSX 60 Bear Plus Fund HXD CN 19 103


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Middle East and Africa

Middle East and Africa ETPs multi-year asset growth


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Note: Product level assets for ETPs listed in Israel are not currently available. An aggregate value has been included in the total assets. Latest data for Israel ETP assets sourced from Bank ofIsrael, as at end of November 2011. All other data as at year end 2011.Source: BlackRock Investment Institute, Bloomberg, Bank of Israel.

Assets (US$bn) 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

ETF assets 0.3 0.6 0.8 1.2 1.6 1.2 2.2 1.2 1.8 2.3 2.2

Other ETP assets 0.0 0.1 0.1 0.2 0.5 0.4 4.5 9.1 8.1 14.8 17.3 16.8

# ETFs 1 3 4 5 7 8 11 17 23 29 30

# Other ETPs 1 1 1 3 18 41 94 211 246 297 327 328

The 10 year CAGR for the Middle East and Africa ETP AUM is 47.1%.

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ETF providers in the Middle East and Africa ranked by AUM


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Note: AUM = Assets Under Management. Product level and manager level AUMs for ETPs listed in Israel are not currently available. Data as at year end 2011.Source: BlackRock Investment Institute, Bloomberg.

Providers as at Year End 2011 (US$bn) AUM

%marketshare

2011 change

AUM%

AUM

%marketshare

Satrix Managers 1.27 58.4 (0.3) (21.2) (11.3)

STANLIB 0.35 16.1 0.3 743.6 14.3

db x-trackers 0.23 10.6 0.04 20.0 2.3

Bips Investment Managers 0.18 8.1 0.01 4.5 0.8

Fortress Asset Managers 0.04 1.8 (0.01) (17.5) (0.3)

Absa Capital 0.03 1.6 (0.2) (81.8) (6.6)

Investec Fund Management 0.03 1.5 (0.003) (7.9) (0.0)

Falcom Financial Services 0.03 1.3 0.01 59.9 0.5

Nedgroup Beta Solutions 0.01 0.5 0.005 84.2 0.2

National Bank of Abu Dhabi 0.00 0.2 (0.001) (15.5) (0.02)

HSBC/Hang Seng 0.0001 0.002 0.0001 100.0 0.002

Total 2.2 100.0 (0.1) (6.0)

At year end 2011, Satrix Managers was thelargest Middle East and African ETF providerwith 58% of AUM market share.

During 2011, Satrix has lost market share(11.3%) whereas STANLIB has gained14.3%.

Collectively, the top three providers accountfor 85% of ETP AUM in this region.

Commentary

Top 10 ETPs in the Middle East and Africa ranked by AUM and ADV


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1. Product level AUMs for ETPs listed in Israel are not currently available.Note: ADV = Average Daily Volume. AUM = Assets Under Management. Data as at year end 2011.Source: BlackRock Investment Institute, Bloomberg.


ETF (US$mn)Country

listedBloomberg

ticker AUM1-month

ADV

NewGold ETF South Africa GLD SJ 2,045 3.9

SATRIX40 South Africa STX40 SJ 810 2.3

STANLIB SWIX 40 Fund South Africa STANSX SJ 272 0.002

Satrix Dividend Plus South Africa STXDIV SJ 150 0.2

Bips Government InflationLinked Bond Fund

South Africa BIPINF SJ 112 0.4

SATRIX Financials South Africa STXFIN SJ 86 0.2

db x-trackers MSCI World South Africa DBXWD SJ 82 0.4

STANLIB Top 40 Fund South Africa STAN40 SJ 78 0.01

SATRIX RAFI 40 Total Return South Africa STXRAF SJ 77 0.1

SATRIX Industrials South Africa STXIND SJ 73 0.1

Ranked by ADV1

as at Year End 2011

ETP (US$mn)Country

listedBloomberg

ticker1-month

ADV AUM

Tachlit 25 Israel TC25 IT 9.7 NA1

KSM25 Israel KSM25 IT 4.2 NA1

NewGold ETF South Africa GLD SJ 3.9 2,045

KSM Short TA 25 X3 daily expos Israel KSRT25X3 IT 3.1 NA1

KSM TA 100 Israel KSM100 IT 3.1 NA1

SATRIX40 South Africa STX40 SJ 2.3 810

Tachlit 100 Israel TC100 IT 2.1 NA1

Tachlit Short 25 (strike 1700) Israel TGTA255 IT 1.9 NA1

Psagot Sal Bond 20 Israel TLTLBD1 IT 1.8 NA1

KSM75 Israel KSM75 IT 1.6 NA1


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Disclaimer


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This document or any portion hereof may not be reprinted, sold or redistributed without authorization from BlackRock Asset Management Canada Limited or itsaffiliates (together, BlackRock).

This publication is being provided for informational and educational purposes only. This publication does not provide financial or investment advice orinformation relating to the securities of any particular fund or other issuer. The information and opinions included in this publication are based on publiclyavailable information, are subject to change and should not be relied upon for any purpose other than general information and education. This publication hasbeen prepared without regard to the individual financial circumstances and objectives of those who receive it and the types of securities discussed in thispublication may not be suitable for all investors. Financial, investment, tax and all other decisions should be made, as appropriate, only with guidance from a

registered broker, financial advisor other qualified professional. This publication is not and should not be construed as an advertisement, solicitation or offeringof the securities of any fund or other issuer in any jurisdiction.

Affiliated companies of BlackRock may make markets in the securities of ETFs and BlackRock may provide or manage ETFs. Further, BlackRock and/or itsaffiliated companies and/or their employees may from time to time hold shares or holdings in the underlying shares of, or options on, any security of ETFs andmay as principal or agent buy securities in ETFs.

Although the information contained herein is taken from sources believed to be reliable, BlackRock does not guarantee the accuracy or correctness of thisinformation. No representation is made that this information is complete and should not be relied upon as such. Neither BlackRock nor any of its directors,officers, employees or agents accept any liability whatsoever for any direct or consequential loss arising from any use of this publication or its contents.

The trademarks and service marks contained herein are the property of their respective owners. Third-party data providers make no warranties orrepresentations of any kind relating to the accuracy, completeness, or timeliness of the data they provide and shall not have liability for any damages of anykind relating to such data.

2011 BlackRock Asset Management Canada Limited. All rights reserved.


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Disclaimer (continued)


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