MMA Capital Management Investor Presentation June 30, 2016 NASDAQ: - PowerPoint PPT Presentation

MMA Capital Management Investor Presentation June 30, 2016 NASDAQ: MMAC www.MMACapitalManagement.com 3600 O’Donnell Street, Suite 600, Baltimore, MD 21224 (443) 263-2900

Disclaimer This presentation contains forward-looking statements intended to qualify for the safe harbor • contained in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements often include words such as “may,” “will,” “should,” “anticipate,” “estimate,” “expect,” “project,” “intend,” “plan,” “believe,” “seek,” “would,” “could,” and similar words or expressions and are made in connection with discussions of future operating or financial performance. Forward-looking statements reflect our management’s expectations at the date of this • presentation regarding future conditions, events or results. They are not guarantees of future performance. By their nature, forward-looking statements are subject to risks and uncertainties. Our actual results and financial condition may differ materially from what is anticipated by the forward-looking statements. There are many factors that could cause actual conditions, events or results to differ from those anticipated by the forward-looking statements contained in this presentation. They include the factors discussed in “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2015, which was filed with the Securities and Exchange Commission (“SEC”) on March 15, 2016. Readers are cautioned not to place undue reliance on forward-looking statements in this • presentation. We do not undertake to update any forward-looking statements included in this presentation. The statements in this presentation are for the convenience of our shareholders, capital partners and other stakeholders and are qualified in their entirety by reports that we file with the SEC. 2 MMA Capital Management, LLC

Table of Contents • Company Overview • Mission, Values and Performance • Our Business • Future Growth 3 MMA Capital Management, LLC

Company Overview MMAC makes and manages investments in affordable housing and • renewable energy. Leveraging our extensive knowledge in these fields, we invest for our own account and co-invest with our institutional capital partners to generate attractive, risk-adjusted returns. We have four business lines: • Leveraged Bonds • Low-Income Housing Tax Credits (“LIHTC”) • Energy Capital and Other Investments • International Housing Solutions • We derive revenue from returns on our investments as well as asset • management, performance and other fees from the funds and ventures we manage. 4 MMA Capital Management, LLC

Mission, Values and Performance Mission Statement – We partner with institutional capital to create and manage • investments in affordable housing and renewable energy. Value Statement – The key to our long-term success is our commitment to • performance built on our core values of integrity, innovation and service. Performance – We measure our financial performance based on our ability to grow • equity value per share on a GAAP and economic basis over the long-term. From a GAAP perspective, we focus on diluted shareholders’ common equity per share as • our key performance metric. From an economic perspective, we focus on the realizable value of our net assets on a per • share basis. However, because this is a secondary, non-GAAP measure, we do not report it publicly. Diluted Common Shareholders' Equity Per Share (split adjusted) $25.00 $19.62 $18.62 $20.00 $17.43 $15.00 $12.51 $10.00 $7.95 $5.25 $5.00 $0.57 $0.00 12/31/2011 12/31/2012 12/31/2013 12/31/2014 12/31/2015 3/31/2016 6/30/2016 5 MMA Capital Management, LLC

Our Business – Recent History Since 2012, MMAC has focused on growing shareholder equity by • executing transactions to grow its business lines, deleveraging its balance sheet and returning cash to shareholders through share buybacks. MMAC Balance Sheet Evolution: 2011 to 2016 $2,000,000 $1,800,000 $1,600,000 Balance Sheet Data (in thousands) $1,400,000 $1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 $0 Assets Liabilities Assets Liabilities Assets Liabilities Assets Liabilities Assets Liabilities Assets Liabilities Assets Liabilities & Equity & Equity & Equity & Equity & Equity & Equity & Equity 12/31/2011 12/31/2012 12/31/2013 12/31/2014 12/31/2015 3/31/2016 6/30/2016 Assets Common Equity Preferred Equity in a Subsidiary Noncontrolling Interests Liabilities 6 MMA Capital Management, LLC

Our Business – Market Capitalization Since the inception of our share buyback program in 2013, MMAC shares • outstanding have decreased by nearly 25%.  Shares outstanding decreased from 8.1 million at December 31, 2012 to 6.1 million at June 30, 2016. Over the same period, MMAC shares have increased in price by over 800%. •  The MMAC share price increased from $2.00 on December 31, 2012 to $18.15 on June 30, 2016. As a result, our market capitalization has grown by over 575% since the end • of 2012. MMAC Market Capitalization $120,000,000 $100,000,000 $80,000,000 $60,000,000 $40,000,000 $20,000,000 $- 12/31/2012 12/31/2013 12/31/2014 12/31/2015 3/31/2016 6/30/2016 7 MMA Capital Management, LLC

Our Business – Leadership & Staff MMAC is led by a team of seasoned real estate, renewable energy and • investment professionals, primarily based in the US and South Africa. Our Senior Management Team averages 21 years in the real estate, renewable • energy and investment businesses and 11 years with MMA. We have approximately 25 employees in the US and 30 employees in • South Africa. In both the US and South Africa, we employ investment officers, asset managers, • accountants and administrative staff who are dedicated to our long-term success. In addition, there are approximately 120 employees in our property management • venture in South Africa. 8 MMA Capital Management, LLC

Our Business –Business Lines MMAC has four business lines: • Leveraged Bonds • Low-Income Housing Tax Credits • Energy Capital and Other Investments • International Housing Solutions • Across these business lines, our earnings are primarily derived from investing for our • own account and co-investing in the funds and ventures we manage. We invest for our own account in leveraged bonds, LIHTC properties and renewable energy • projects. For these investments, we earn interest income, fees, realized and unrealized gains and residuals from asset sales. We co-invest alongside our capital partners in the renewable energy and affordable housing • funds and ventures we asset manage in the US and Africa. The earnings on these co- investments depend upon the structure of the fund or venture and the returns on its underlying investments. In addition to these own account and co-investment returns, we also earn: • Asset management and other fees. We earn management and other fees in connection with the • affordable housing, LIHTC and renewable energy funds and ventures we asset manage in the US and Africa. Performance fees. We have the opportunity to earn performance fees (a.k.a., carried interest or • promote) on the affordable housing and LIHTC funds and ventures we asset manage in the US and Africa. 9 MMA Capital Management, LLC

Leveraged Bonds Through its Leveraged Bonds business line, MMAC invests in tax-exempt bonds that are • leveraged to generate attractive risk adjusted returns. Our bonds are primarily collateralized by affordable multifamily rental properties. • We execute total return swaps (“TRS”) in this portfolio to achieve a target return in the mid-teens. • As of June 30, 2016, our bond portfolio consisted of 35 bonds that were owned directly or • through TRS positions. The fair value of these bonds was $273 million, or 102.4% of their unpaid principal balance (“UPB”) • of $267 million. The weighted average rate we collected on the bond portfolio was 6.0%. • On a fair value basis, 79% of the bond portfolio was secured by multifamily rental properties, 10% • by community development district bonds, and 11% by other municipal bond investments. The underlying multifamily bonds had a weighted average debt service coverage ratio of 1.07x. • As of June 30, 2016, the notional balance of our TRS positions was $157 million. • The weighted average rate we paid on our TRS positions was SIFMA (the Securities Industry and • Financial Markets Association 7-day municipal swap index ) plus 1.6%. The pay rate is variable and is based on SIFMA and resets on a weekly basis. • We partially hedged the variable interest rate risk with a SIFMA interest rates swap with a notional • balance of $8 million and a 2.50% SIFMA cap with a notional balance of $45 million. 10 MMA Capital Management, LLC