U.S. Bancorp Asset Management administers the securities lending program for U.S. Bank. Since 1990, we have offered institutional investors the potential to generate incremental portfolio returns by providing customized securities lending opportunities with an emphasis on risk management.

Once a client authorizes lending of portfolio securities, U.S. Bancorp Asset Management facilitates and oversees the entire securities lending process, including:

• Rigorous screening, selection and ongoing review of borrowers
• Monitoring availability of securities
• Negotiating rebates
• Daily marking-to-market
• Monitoring and maintaining cash collateral levels
• Processing securities movements
• Reinvesting cash collateral as directed by the client

Reinvestment of cash collateral is managed by the Investment Team at U.S. Bancorp Asset Management. Our disciplined investment process is supported by a team of credit research analysts who focus on the investment-grade short fixed income sector. Interest-rate risk and credit risk are actively managed in the reinvestment of cash collateral within established program guidelines.

Robust risk management policies govern borrower selection (participation) and collateral and loan terms to mitigate risk in our securities lending program.

For more information about our Securities Lending program, contact: