Abc Arbitrage Sa · EURONEXT:ABCA
Abc Arbitrage Sa — H1 2017 Earnings Presentation
25 slides from Abc Arbitrage Sa's earnings presentation, September 2017
Slide 1: Présentation groupe ABC arbitrage - Revue de graphiques
Présentation groupe ABC arbitrage Revue de graphiques Présentation - comptes 30 juin 2017 Avertissement à l’attention du lecteur Ce slideshow est un support de communication remis aux participants de la présentation de septembre 2017. commentée oralement par Dominique Ceolin, président-directeur gén
Slide 2: Paramètres de marché
Paramètres de marché Groupe ABC arbitrage 3 From 1982 22 days with intraday volat. < 4% 21 days in 2017 (95%) 1 day in 2016 0 day in the other 34 years Lowest on 07/26/2017 at 3.36% Groupe ABC arbitrage
Slide 3: Index Performances (S&P 500 vs. CAC 40)
Index Performances (S&P 500 vs. CAC 40) ABC arbitrage 2015/2017 YTD S&P VIX ABC arbitrage
Slide 4: VIX from 01/2012
VIX from 01/2012 “NO LIFE” Zone ABC arbitrage Indicateur de volatilité EVP 5 From 30-June-2008 ABC arbitrage
Slide 5: VVIX - Volatility of Volatility
VVIX - Volatility of Volatility deeper and shorter ABC arbitrage US Volatility / Asian Volatility Asia markets have their own life ! ABC arbitrage
Slide 6: Euronext - Markets Volume - From 2005
Euronext - Markets Volume - From 2005 2017 ABC arbitrage Numbers of “friendly” M&A Stability Groupe ABC arbitrage 12
Slide 7: M&A (in billions € - Monthly total)
M&A (in billions € - Monthly total) Q3 ABC arbitrage ABC arbitrage Groupe ABC arbitrage 14
Slide 8: Key Financial Parameters for ABC
In EUR million June. 30. 2017 June. 30. 2017 Dec. 31. 2016 IFRS Change % IFRS IFRS 6 month 6 month 12 month Investment Services Fees1 9.5 5.5% 9.0 17.5 Net gains at fair value through profit or loss 13.5 -29.3% 19.1 35.9 Net revenues 23.0 -18.2% 28.2 53.3 Payroll costs - 7.3 -11.8% - 8.2 - 16.2 Occu
Slide 9: Group Structure - september 2017
Group Structure - september 2017 Groupe ABC arbitrage 17 Group Structure - september 2017 Net revenues 23.0 -18.2% 28.2 53.4 QUARTYS Taxes & Expenses are included in Net Revenues (IFRS 10) Groupe ABC arbitrage 18
Slide 10: ABCA Funds
Group Structure - september 2017 Investment Services Fees 9.5 +5.5% 9.0 17.5 Investment Services Fees relate to the services that the Group’s management companies bill to Quartys Limited and ABCA Funds Ireland Plc. Groupe ABC arbitrage 19 ABCA Funds ABCA Funds Ireland 347M€ (01/09/2017) ABCA Reversi
Slide 11: Asset Under Management / Funds Performances
Asset Under Management +12% 439 391 Dec. 31. 2016 Sept. 1. 2017 Groupe ABC arbitrage 21 Funds Performances Groupe ABC arbitrage 22
Slide 12: Average number of arbitrage in ABC's portfolio
Average number of arbitrage in ABC’s portfolio Groupe ABC arbitrage Geographic distribution of ABC portfolio HY17 Groupe ABC arbitrage
Slide 13: Key indicators for ABC's Net Revenue
ABC arbitrage AM Asia - Traded volume (HY) Groupe ABC arbitrage Key indicators for ABC’s Net Revenue (RA) IOP RA -18% < 0.8% of RA No specific VaR 99% 1j month or special 2M€ (vs 4.6M€ 31/12/2016) trades Groupe ABC arbitrage 26
Slide 14: 2014/2017 - Intensive recruiting process
Costs Groupe ABC arbitrage 27 2014/2017 - Intensive recruiting process ≅ +35 people R&D 85 employees (15/09/2017) Groupe ABC arbitrage 28
Slide 15: "Added Value" Target
“Added Value” Target Groupe ABC arbitrage 29 Creating Added Value = Our People PnL correlation Variables S1 3.4M€ (-23%) 47% AiFM Fixes S1 53% 3.8M€ (+0%) CRD4 Groupe ABC arbitrage 30
Slide 16: IT investments "Step Up 2019" - Projections
IT investments “Step Up 2019” - Projections EXCHANGES HARD/SOFTWARE +10% each year of SU2019 * *Estimations - To Be Confirmed Groupe ABC arbitrage 31 Rising Costs Groupe ABC arbitrage
Slide 17: Rising Costs - We Confirm !
Rising Costs - We Confirm ! “And costs have increased 20% a year for the last five years. according to some estimates” Matt Turner - 3 Nov 2016. 12:34 - Business Insider Groupe ABC arbitrage Shareholders Groupe ABC arbitrage 34
Slide 18: Actionnariat / Distribution 0.20€ per share
Actionnariat Situation au 31/12/2016 - Capital composé de 58.051.067 actions ordinaires * Holding détenue à 50.01% par Dominique Ceolin ** Dirigeants opérationnels et responsables de département du groupe ABC arbitrage Distribution from “Share Premium Account” 0.20€/action EPS 0.21€* Ex Date = Novem
Slide 19: To Remember
To Remember IOP < 0.8% Projected RoE Process Quality S1 2017 15% EPS S1 Client Assets 0.21€ 439M€ Groupe ABC arbitrage 37 Perspectives Groupe ABC arbitrage 38
Slide 20: Low Volatility modern world record
And other competitors ?? ABC arbitrage Low Volatility modern world record ABC arbitrage
Slide 21: PER - Price to Book Value ratio
PER 2008 23/09/2016 25.1 (+5pts/2015) Mean 15.67 Min 5.31 (déc 1917) 2001 Max 123.73 (mai 2009) http://www.multpl.com/ ABC arbitrage 2017 - Price to Book Value ratio 22/09/2017 3.19 Mean:2.76 Min:1.78 (Mar 2009) Max:5.06 (Mar 2000) ABC arbitrage
Slide 22: M&A (in billions € - Monthly total)
M&A (in billions € - Monthly total) Q3 ABC arbitrage ABC arbitrage
Slide 23: Business Models are changing...
Business Models are changing... Volatilité Activity Level M&A “+” OST down sous influence BCE ABC arbitrage 45 ABC Shareholders Equity ratio ABC arbitrage
Slide 24: ABC arbitrage Group - Q3 2017
ABC arbitrage Group - Q3 2017 Q3 2016 Same situation for Q3 2017 HY and Q3 N.B.: The scale of each histogram do not represent a real level of revenue - It is used only for illustration purposes. Groupe ABC arbitrage 47 Beating the “lowest”volatility ! Groupe ABC arbitrage 48
Slide 25: "Step up 2019"
“Step up 2019” Extract of March 2017 communication “The "Step Up 2019" plan has been launched [...] with the primary objective of preparing for the next decade. This new plan focuses on the continued development of low-volatility strategies and [...]the Group's historic strategies, in order to conti