RMB LAUNCH UNIQUE CAPITAL PROTECTION WARRANTS

MEDIA RELEASE
JANUARY 2001

RAND MERCHANT BANK TREASURY HAS LAUNCHED AN INNOVATIVE LISTED PRODUCT THAT IS
UNIQUE TO SOUTH AFRICA WHEREBY INVESTORS WILL BE GIVEN EXPOSURE TO THE GROWTH
POTENTIAL OF THE ALSI 40.

WHAT DIFFERENTIATES THIS PRODUCT FROM ANY OTHER IS THE FACT THAT IT IS A
WARRANT TRADED ON THE JSE SECURITIES EXCHANGE (JSE) AND A MINIMUM CAPITAL VALUE
IS GUARANTEED UPON MATURITY.

THE RMB CAPITAL PROTECTION WARRANTS WILL ALLOW INVESTORS TO SHARE IN THE
BENEFITS OF INVESTING IN THE ALSI 40 - WITHOUT MAKING A HUGE INVESTMENT - AND
WITHOUT THE NORMAL RISK.

"DUE TO INCREASED VOLATILITY IN THE SOUTH AFRICAN EQUITY MARKETS, THERE HAS
BEEN INCREASING DEMAND FOR GUARANTEED INVESTMENT PRODUCTS," SAID LOUIS VAN DER
MERWE OF RMB. "TYPICALLY THESE GUARANTEED PRODUCTS HAVE BEEN BEYOND THE REACH
OF MANY INVESTORS BECAUSE OF HIGH COSTS, LOW FLEXIBILITY AND HIGH RISK.
"THE RMB CAPITAL PROTECTION WARRANTS PROVIDE THESE BENEFITS THROUGH RETURNS
BASED ON A WELL DIVERSIFIED EQUITY PORTFOLIO WITH MINIMUM GUARANTEED EXPIRY
VALUES AND THEY ARE FLEXIBLE AND EASILY ACCESSIBLE TO INVESTORS AT LOW COST".
"THE WARRANTS WILL BE LISTED IN THE "WARRANTS" SECTOR OF THE JSE SECURITIES
EXCHANGE SOUTH AFRICA".
THIS PRODUCT SUITS INVESTORS WHO:

* WISH TO EARN A RETURN BASED ON A WELL-DIVERSIFIED EQUITY PORTFOLIO.

* ARE NOT WILLING TO TOLERATE HIGH LEVELS OF INVESTMENT RISK.
* NEED INVESTMENT FLEXIBILITY.

* WISH TO REDUCE EXPOSURE TO UNFAVOURABLE MARKET MOVEMENTS.

* WISH TO LIMIT THE NUMBER OF TRANSACTIONS ENTERED INTO IN ORDER TO INVEST IN A
WELL-BALANCED EQUITY PORTFOLIO.
* WISH TO LIMIT TRANSACTION COSTS.

THE MINIMUM CAPITAL VALUE OF THE INVESTOR IS GUARANTEED AT MATURITY AT THE END
OF 18 TO 60 MONTHS. INVESTORS CAN THEREFORE BENEFIT FROM THE GROWTH OF THE ALSI
40 WITHOUT THE ASSOCIATED RISK. "WE BELIEVE THESE PRODUCTS ARE EXCEPTIONAL AND
UNIQUE" SAID LOUIS VAN DER MERWE.
"THEIR PARTICULAR FEATURES ARE

* INNOVATIVE PRODUCT - THE FIRST WARRANT TO TRACK THE PERFORMANCE OF THE ALSI
40 WITH GUARANTEED MINIMUM MATURITY VALUES
* CAPITAL PROTECTION
* LOW / NO RISK BECAUSE OF THE GUARANTEE
* VERY FLEXIBLE - CAN BUY AND SELL EASILY

* TRADES ON THE STOCK MARKET LIKE A SHARE - INVESTORS CAN PURCHASE THEM THROUGH
A BROKER

* LOW COST - A FRACTION OF THE PRICE OF BUYING THE ACTUAL STOCKS
* EXPIRY VALUES GUARANTEED BY FIRSTRAND BANK
DETAILS OF THE RMB CAPITAL PROTECTION WARRANTS

THE RMB CAPITAL PROTECTION WARRANTS CAN BE BOUGHT AND SOLD THROUGH ANY
STOCKBROKER, IN THE SAME MANNER AS OTHER EQUITIES AND WARRANTS TRADED ON THE
JSE. THE SEPARATELY LISTED WARRANTS HAVE STANDARD TERMS, INCLUDING GUARANTEE
AND PARTICIPATION LEVELS AND SPECIFIED EXPIRY DATES.

RMB CAPITAL PROTECTION WARRANTS OFFER INVESTMENT EXPOSURE TO THE JSE ALL SHARE
TOP 40 INDEX IN SOUTH AFRICA ("ALSI 40") OR ANY OTHER INDEX OR INSTRUMENT, AS
SPECIFIED, COMBINED WITH A PRE-DETERMINED, MINIMUM GUARANTEED VALUE THAT WILL
BE PAID OUT ON EXPIRY OF THE WARRANT. INVESTORS WILL THEREFORE BENEFIT FROM
MARKET GROWTH AT A SPECIFIED RATE, WHILST BEING ASSURED OF A GUARANTEED MINIMUM
VALUE AT EXPIRY.

THE RMB CAPITAL PROTECTION WARRANTS, IN COMMON WITH OTHER WARRANTS TRADED ON
THE JSE, ARE OPTION-BASED INSTRUMENTS THAT PROVIDE POSITIVE RETURNS ON THE
INDEX. THE RMB CAPITAL PROTECTION WARRANTS, HOWEVER, DIFFER FROM OTHER WARRANTS
TRADED ON THE JSE IN THAT A MINIMUM GUARANTEED AMOUNT WILL BE PAID OUT ON
EXPIRY OF THE RMB CAPITAL PROTECTION WARRANT, WHEREAS OTHER WARRANTS LISTED ON
THE JSE MAY EXPIRE WITHOUT VALUE. THE INVESTOR IN AN RMB CAPITAL PROTECTION
WARRANT WILL THEREFORE ALWAYS BE ASSURED OF A GUARANTEED MINIMUM EXPIRY VALUE
WHILE ALSO HAVING EXPOSURE TO THE GROWTH OF THE UNDERLYING INDEX.

SINCE THE UNDERLYING INDEX (THE ALSI 40) IS A BASKET THAT COMPRISES OF THE 40
LARGEST AND MOST ACTIVELY TRADED EQUITIES TRADED IN SOUTH AFRICA, INVESTMENT IN
THESE WARRANTS GIVES THE HOLDER THE OPPORTUNITY TO INVEST IN A WELL DIVERSIFIED
EQUITY PORTFOLIO WITH REDUCED LEVELS OF RISK.

THE HOLDER WILL BE ENTITLED TO RECEIVE THE VALUE OF THE WARRANT FROM RAND
MERCHANT BANK ("RMB") WITHIN THREE BUSINESS DAYS OF EXPIRY. THE VALUE OF THE
WARRANT COMPRISES OF THE GUARANTEED EXPIRY VALUE PLUS ANY MARKET PARTICIPATION
RETURN, AND THIS MATURITY VALUE WILL BE SETTLED IN CASH.

THE ISSUER OF THE WARRANT IS RMB, A DIVISION OF FIRSTRAND BANK LIMITED, WHICH
IN TURN IS A SUBSIDIARY OF FIRSTRAND LIMITED. THE ISSUER OF THE WARRANT IS
THEREFORE ONE OF THE LARGEST FINANCIAL INSTITUTIONS IN SOUTH AFRICA.
ENDS
ISSUED ON BEHALF OF:

RMB INVESTMENT SERVICES        CONTACT:  LOUIS VAN DER MERWE/ WESSEL HAMMAN
4 MERCHANT PLACE               TEL: (011) 269-9020
1 FREDMAN DRIVE                FAX: (011) 269-9598
SANDTON                        CELL:
ISSUED BY:                     CONTACT:

FASEDEMI NEWMAN LEO BURNETT    JENNI NEWMAN        JO FORSHAW

LEO BURNETT HOUSE              TEL: 011 235 4323   TEL: 011 235 4246

3 SIMBA ROAD                   FAX: 011 235 4301   FAX: 011 235 4301

SUNNINGHILL                    CELL: 082 882 8888  CELL: 083 225 6206