Flow Traders Ltd · EURONEXT:FLOW
Flow Traders — Investor Presentation (May 2020)
17 slides from Flow Traders's investor presentation, May 8, 2020
Slide 1: Flow Traders
FLOW ®TRADERS AMSTERDAM ® CLUJ = HONG KONG = LONDON = NEW YORK = 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’. Itis not a recommendation to engage in investment activities and you must not rely on the content of this document when making any inves
Slide 3: Flow Traders' response to COVID
Flow Traders’ response to COVID Flow Traders has been able to continuously provide liquidity and pricing to the ETP markets on a global basis during the pandemic People Issuers, Investors & Counterparties Communities Successful implementation of our business continuity plan - primary focus throughou
Slide 4: ETP market landscape
* Source: Blackrock ETP Landscape
Slide 5: ETP market trends and Flow Traders position
• • • • • • * Source: Bloomberg, iShares, Tradeweb, Bloomberg RfQ, Flow Traders. See appendix ** Source: BlackRock ETP Landscape
Slide 6: Regional performance overview
Americas EMEA APAC Regional performance overview Market ETP Value Traded (€bn) —_- FT ETP Value Traded (€bn) NTI (€m) 679 233 305 355 388 129 132 38 33 ang Q4i9 20 ang Q4i9 20 ang Q4i9 q20 189 9,421 149 121 108 5,281 4,573 w 6 ang Q4i9 20 ang Q4i9 20 ang Q4i9 Q20 476 20 41 1 217 201 9 8 7 ang aig ai
Slide 7: Strong cost discipline in Q1 2020
Strong cost discipline in Fixed operating expenses (€m) FTEs Hl Employee expenses (fixed) lj Other expenses Hl Technologyexpenses _fll] One-off expenses Mi Tracing Ml Technology ill Other I 52% 1 f =2% 1 1 276 28.2 513 503 0419 Q120 31-Dec-19 31-Mar-20 Employee expenses (variable) (€m) = Strong cost
Slide 8: Capital position remains strong and conservative
Capital position remains strong and conservative Regulatory Own Funds Requirement (OFR) (€m) 534 278 294 287 146 133 148 154 31-Dec-18 30-Jun-19 31-Dec-19 31-Mar-20 HM Excess Capital [lJ Required CET Annual dividend (€) 25 20 0.57 05 0.36' 0.17, 7 0.0 235 150 15 125 10 0.90 0.93 090 / 0.65 v 2010 20
Slide 9: May 2020 Flow Traders
May 2020 Flow Traders
Slide 10: Leveraging our global ETP trading footprint to drive further growth
Leveraging our global ETP trading footprint to drive fur Focus remains on enlarging the ETP footprint Venues 240 160 1500 80 750 0 2019 Q120 2015 «20% = 2017 2015 2016 2017 2018 Counterparties 2250 yy Flow Traders ETP value traded (€bn) 603 205 ©6201) 2017) 2018~—2019 ~ fp 399 fm 1009 640 686 7B ai2
Slide 11: Three near term key growth drivers
Three near term key growth drivers — fixed income and currencies alongside ETP core stren Technology and regulatory developments are catalysts for these key growth drivers Asset classes a GROWTH DRIVER v v v v g v v 3 & x x x v x n/a n/a x GROWTH GROWTH DRIVER DRIVER Y Coverage 3€ Nocomplete coverag
Slide 12: Strategic priorities
strategic priorities Expand leading ETP liquidity provider position and continue to grow ETP ecosystem through more venues, products and counterparties Expand currency trading capabilities Expand fixed income trading capabilities — will strengthen fixed income ETP trading Drive efficiency improvemen
Slide 13: Flow Traders 4Q19/FY19 Results
Flow Traders| 4Q19/FY19 Results 13
Slide 14: Summary income statement
Summary income state: € millions Q120 Q419 Q120 Q1i9 Net Trading Income 495.0 46.1 495.0 63.1 Employee expenses* 154.9 18.4 154.9 23.3 Technology expenses 14 10.9 m4 95 Other expenses 41 3.9 Al 35 One-off expenses 0.9 12 0.9 - Total operational expenses 171.2 34.4 71.2 36.3 EBITDA 323.7 11.7 323.7 2
Slide 15: Flow Cash Incentive Plan (FCIP) mechanics overview
Flow Cash Incentive Plan (FCIP) mechanics overview Payment schedule FCIP Accounting considerations = AlL5 future cash incentives are funded out of this year’s bonus pool = Cash incentive will only be paid to employees who remain employed at the company and still hold shares = This results in a servi
Slide 16: On & Off Exchange Value Traded - Global
2020 2019 Mar Feb Jan Dec Nov Oct Sep Aug Jul Jun May Apr Mar On & Off Exchange* Value Traded - Global (€bn) 5,797 2,938 2,212 1,786 1,654 2,041 1,973 2,462 1,739 1,853 2,228 1,761 2,116 On & Off Exchange* Value Traded - EMEA (€bn) 331 199 149 128 124 136 130 135 129 119 124 111 118 On & Off Exchang
Slide 17: Thank you!
Thank you! i TRADERS AMSTERDAM ® CLUJ = HONG KONG = LONDON = NEW YORK = SINGAPORE