On 16 December 2011 the special administrators of MF Global UK Limited ("MFG UK") published their proposals for achieving the purpose of the special administration.

Purpose of the proposals

The special administration of MFG has three statutory objectives:

1. to ensure the return of client assets as soon as is reasonably practicable;

2. to ensure timely engagement with market infrastructure bodies and the authorities; and

3. to rescue the business as a going concern, or to wind it up in the best interests of the creditors .

The special administrators are required to put forward proposals for how they intend to achieve the purpose of the special administration, which will be discussed and voted on at the meeting of clients and creditors which is scheduled for 9 January 2012 (the "Initial Meeting"). At the Initial Meeting the appointment and composition of a creditors committee will also be considered. We are accepting proxies for clients who wish for us to attend the Initial Meeting on their behalf.

Please see full Alert below for further information.