Flow Traders Ltd · EURONEXT:FLOW
Flow Traders — Non-Deal Roadshow (November 2021)
19 slides from Flow Traders's roadshow presentation, Nov 17, 2021
Slide 1: Flow Traders
FLOW ®W®TRAODERS AMSTERDAM = CLU) ® HONG KONG = LONDON = MILAN = NEWYORK ® PARIS = SINGAPORE
Slide 2: Disclaimer
Disclaimer This presentation is prepared by Flow Traders N.V. and is for information purposes only and the material contained in this document is provided ‘as is’. is not a recommendation to engage in investment activities and you must not rely on the content of this document when making any investm
Slide 3: #2 EUR IG dealer on Bloomberg
#2 EUR IG dealer on [TBC with FT] Bloomberg [TBC with FT] 40% market share in crypto ETPs 3
Slide 4: Diversification of trading into adjacent asset classes and products
Diversificati Fixed income | n of trading into adjacent asset classes and p cts FX and metals Digital assets Liquidity source Single bonds, axes and portfolio trading (D Instruments 9,000+ single bond ISINs, including EUR IG, EUR HY, EM HCY and EU GOV debt Venues ALLQ Dealer TradeWeb Dealer MarketAx
Slide 5: Q3 2021 snapshot
Q3 2021 snapshot Trading performance in Q3 reflected an overall Lower volatility environment ETP Value Traded (€bn) NTI (€m) Highlights Hl Flow Traders EM Market Q221 Q321 | YTD20. YTD21 Q221 Q321 803.1 46% 37% Q221 Q321 1 YTD20. YTD21 0.66 = Market ETP Value Traded increased 11% quarter-on-quarter
Slide 6: Market activity in Q321, volatility remained subdued
d market activity in Q321, volatility remained subdued ETP Value Traded (€bn) * VIX 10586 Quarterly average 2021 YTD daily average ows 938 GENERAL MARKET DEVELOPMENTS, “0 8454 1 coop * Flows dominated by equities and the shift 35 40 7,374 7.40. towards ESG investing 30 35 6,093 6,174 , 30 6.065 5,48
Slide 7: Q321 and 9m21 regional performance overview
Q321 D 9m21 regional performance overview Market ETP Value Traded (€bn) — Flow ETP Value Traded (€bn) NTI (€m) Q3 Highlights = Maintained position as the leading liquidity provider in ETPs, both on- and off- exchange - #1 position in fixed income, equity and commodity ETFs = Expansion into single bo
Slide 8: Continued strong cost discipline
Continued strong cost discipline Fixed operating expenses (€m)* Normalized EBITDA margin (%) FTEs Hl Employee expenses (fixed) Hl Technology expenses I other expenses MM Trading Ml Technology Ml Other 554 56657 513 502 189 149 Wwe 196 fa 221 235 157 154 153 Q221 Q321 31-Dec-19 30-Jun-20 31-Dec-20 31
Slide 9: Conservative capital position
Conservative capital positio Regulatory Own Funds Requirement (OFR) (€m) Prime broker solvency ratio 534 1,400 456 472 , 438 416 449 1,200 178 1,000 287 255 220 190 800 600 400 5 > 2 201 218 226 300 0 31-Dec-19 31-Mar-20 30-Jun-20 30-Sep-20 31-Dec-20 31-Mar-21 30-Jun-21 30-Sep-21 BDecI9 31-Mar-20 30
Slide 10: Key market themes
Key market ETP growth Electronification Rise of digital assets Regulation Continuously growing ETP Assets Under Management & ETP value traded Significant penetration potential across multiple dimensions, including markets, regions and client types Electronification of trading in fixed income instrum
Slide 11: Active participation in global financial ecosystem
Active participation in global financial ecosyste MEM \< Members Exchange OPYTH | | NETWORK & LEDGEREDGE Project overview | ‘strategic rationale May 2020 - Strategic investment in Members Exchange ™ New US fastest growing equities exchange founded in2019 ™ Wide user shareholder base, including leadi
Slide 12: Key strategic objectives
Key strategic objectives Our key objectives Recent achievements ™ More than 180 connected venues Continuously refine and deepen product coverage and geographic footprint to align with structural ETP industry growth ™c. 2,000 institutional counterparties "Corporate creditandEMbonds Expand and diversi
Slide 13: Thank you!
Thank you! F L 0] W T R A D) E R S AMSTERDAM ® CLUJ ®" HONG KONG ® LONDON ® MILAN ® NEW YORK ® PARIS ® SINGAPORE
Slide 14: nN
Flow Traders| November 2021 nN
Slide 15: ESG highlights
lights Flow Traders’ overall impact on the environmentis low - our ESG focus is on shared value and ensuring smooth functioning of markets ESG ambition Carbon footprint * Flow Traders’ carbon footprint was calculated for the first time + To ensurethe smooth functioning of markets which will assist i
Slide 16: ESG materiality analysis
ESG materiality analysis In late 2020, Flow Traders performed a materiality analysis to identify the ESG related issues that should be the main areas of focus ESG materiality matrix ESG materiality factors * On the basis of the materiality matrix, Flow Traders has identified 9 key ESG factors, (equa
Slide 17: Unrecognised variable expenses schedule
Unrecognised variable expenses schedule Share plan has a different accounting treatment to the previous FCIP which creates a unrecognised variable expenses schedule rge 1022 charge 2023 charge ff balance liability 2024 2024 -25% 10% FCIP 20177 co) FCIP 2018 03 FUP 2019 a2 2024 -25% 2020 variable rem
Slide 18: Income statement (unaudited)
Income statement (unaudited) Notes Emilion 0321 an ro m m 1. Fixed employee expenses: Q321 - €14.1m; Q221 - €13.1m; YTD 9m21 - €40.2m; YTD 9m20 - €34.5m Net trading income 67.1 94.4 303.7 803.1 2. Normalized EBITDA and margin is based on the standard 35% profit share of operating result across the >
Slide 19: Market value traded data
2021 2020 Sep Aug Jul Jun May Apr Mar Feb Jan Dec Nov Oct Sep Aug Jul Jun May Apr Mar Feb Jan On & Off Exchange* Value Traded - Global (€bn) 3,226 2,678 2,949 2,669 2,693 2,641 3,969 2,606 2,739 2,357 2,606 2,440 2,737 2,069 2,568 3,230 2,645 3,320 5,797 2,938 2,212 On & Off Exchange* Value Traded -