PASHA_BANK ANNUAL REPORT 2021

(Amounts are expressed in thousands of Turkish Lira (“TL”) unless otherwise stated.) (Convenience Translation of Publicly Announced Financial Statements Originally Issued in Turkish, See Note I of Section Three) PASHA Yatırım Bank A.Ş. Notes to Unconsolidated Financial Statements At 31 December 2021 General Information Remarks on Financial Information and Risk Management Information on Management and Corporate Governance Practices INFORMATION RELATED TO UNCONSOLIDATED FINANCIAL POSITION AND RISK MANAGEMENT (Continued) Fair value hierarchy: TFRS 7 sets a hierarchy of valuation techniques according to the observability of data used in valuation techniques which establish basis for fair value calculations. Aforesaid fair value hierarchy is determined as follows: a) Identical assets and quoted market prices (non-adjusted) (1 st level); b) Directly (by way of prices) or indirectly (derived from prices) data for the assets or liabilities, other than quoted prices in the 1 st level (2 nd level); c) Data not based on observable market data regarding assets or liabilities (3 rd level). Fair value hierarchy of the financial assets and liabilities of the Bank carried at fair value according to the foregoing principles is given in the table below: Current Period Level 1 Level 2 Level 3 Total Derivative financial assets - 13,604 - 13,604 Financial assets at fair value through profit or loss 2,679 18,277 - 20,956 Financial assets at fair value through other comprehensive income 43,026 7,659 - 50,685 Total Assets 45,705 39,540 - 85,245 Derivative financial liabilities - 114 - 114 Total liabilities - 114 - 114 Prior Period Level 1 Level 2 Level 3 Total Derivative financial assets - 493 - 493 Financial assets at fair value through profit or loss 1,472 5,933 - 7,405 Financial assets at fair value through other comprehensive income 23,191 7,659 - 30,850 Total Assets 24,663 14,085 - 38,748 Derivative financial liabilities - 1,430 - 1,430 Total liabilities - 1,430 - 1,430 There are no transfers between the levels. X. EXPLANATIONS ON THE ACTIVITIES CARRIED OUT ON BEHALF AND ACCOUNT OF OTHER PERSONS The Bank, has been authorized to provide trading brokerage activity, portfolio brokerage activity, best-effort copy public offering brokerage activity and limited custody services. The Bank does not deal with fiduciary transactions.