Baron Traders Limited

Don House, 30 38 Main Street, Gibraltar. Registered Number: 105368. Tel: +44 (0) 203 137 4400 www.barontraders.com enquiry@barontraders.com

CER Carbon Credit Turnkey Product

The most competitive CER spot prices in the market Excellent inbuilt price flexibility Fluid professional service Government registry holding Prompt payment Client exit facilities

Carbon Offsetting Services

Registry Custodianship Services Need somewhere to place your client holding Excellent service at very low cost Registry log-in provided to view client holding

Baron Traders are now able to offer a new package whereby clients will have the opportunity to purchase Certified Emissions Reductions (CERs) that will also be held by an FSA regulated custodian in the same regulated structure currently in place in a UK National Carbon Credit registry. This gives clients the ability to become involved in a market which has previously only been available at an institutional level such as banks and other large wholesale operators. There is no VAT because the provider are VAT registered and they have the main nominee account on the DEFRA UK Government registry. After June 20th it will be the European Union Commission registry. CERs can be passed between entities that are VAT registered free of VAT. The entity that takes delivery which is not VAT registered or retires the credit will then pay the VAT. These CERs are accredited to internationally recognised and rigorous emission reduction standards and are an integral part of the United Nations Clean Development Mechanism (CDM). They are a standardised commodity and can be bought and sold on global carbon credit exchanges or banked for future use. Individuals and private or public organisations can participate in the CER market. Projects that generate CERs Baron Traders Limited

are designed to encourage investment in clean, renewable technologies to reduce and prevent harmful greenhouse gas emissions (GHGs). These same CERs are traded by the major international banks and institutions such as the World Bank, who themselves are trustees of 12 carbon funds and facilities capitalized at $2.7 billion. This demonstrates the significant commitment of global institutions to support market based instruments like CERs to fight climate change. The success of cap and trade so far in the European Emissions Trading Scheme (EU ETS) means that it is now being introduced across the world. Japan, South Korea, China and Australia have all presented plans to implement similar national or regional systems. Discussions are also underway in Brazil, Canada, India, Mexico, South Africa, Russia and Ukraine, all of whom will take their lead from the Kyoto Protocol. Chile, Turkey, Mexico and China could launch carbon market schemes by the end of this year under the guidance of a World Bank programme. All of this will result in a significant increase in the global trading of CERs in the future. So, these credits are already traded daily on the global markets rendering it an established and liquid marketplace and very transparent for clients at all times. The prices are set to increase considerably over the coming years so this would make an excellent medium to long term investment as part of a balanced portfolio but with the facility to exit reasonably quickly if required due to the liquidity of the market.

Market volumes and prices for CERs are forecast to grow significantly between 2012 and 2020. Volumes for the global carbon market reached $142bln in 2011 and are expected to reach $23trillion by 2020. The price of carbon credits could rise as high as 90 per tonne if Europe is to meet its carbon targets, according to a Bloomberg report in 2011. Certified Carbon Credits are a SIPP approved investment and are traded daily on international exchanges.

Safe Custody Account with an FSA regulated company.

Baron Traders Limited