worldflow

Business and company overview

Overview

• worldflow have provided consulting, software development and business incubation in the finance industry for nearly 10 years

• Our clients are industry leading investment banks, asset managers and hedge funds

• We provide solutions to problems … whether implementing a new platform, merging two firms, building a new hedge fund from the ground up, upgrading existing systems without impacting the business or developing links to ECNs

• Our differentiating factor is that all our staff are experts with 15-20 years experience working for banks, asset managers and hedge funds before joining worldflow

• We provide in depth experience with people who have “been there, done that, got the t-shirt”

• We will hit the ground running, no matter what the challenge

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Service offerings

• Implementation of new systems– we have worked with all the core vendors for 20+ years, in all front-office areas

• Upgrade of existing systems– in-situ, new build and cut-over, surround and remove, scalability, redesign for growth

• Merger process management– change and systems integration across all asset classes

• Market leading product expertise– Well-established and peer referenceable capability in FX, FI, Equities and Structured

Derivatives

• Review and Fix– involves review of existing process flows and systems functions for control issues,

scalability, resilience and upgrades

• Greenfield builds– for startups from core infrastructure, trade floor to key applications

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Service offerings

• Full office move management– for existing floors and businesses. Disaster recovery setup for any size of business

• Exchange and ECN connectivity– in both sell-side and buy-side firms from traditional connects through to DMA high-speed

trading, across all assets

• Research flows– from sell-side to buy-side and within buy-side including distribution to web, core vendors

and mobile devices

• Bespoke software developments– especially in the e-commerce /connectivity space where we have a number of demonstrable

frameworks in structured derivatives, FX and investment research

• Financial Services Platforms incubation– worldflow have developed, incubated and continue to support several new financial

businesses including Digital Vega, MiCuro and wRD/wMD

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Business model

• worldflow will work with a client on their terms and will ensure that we deliver what they need to solve the problems they have

• worldflow can work on a fixed price basis where we can readily define the issue, scope and provide a solution, whilst sharing the risk with the client

• We can work on a time and materials basis for implementation and upgrade programs, at market competitive rates that reflect our skill and expertise

• Combine fixed price and T&M in any one deal to best suit customer need and budget requirements

• worldflow have no minimum deal size. We will work with a client for a day, a week, a month or a year

• We will work on a global basis, in any location that the client needs including the USA, Asia, Eastern and Western European

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Philosophy

• Our philosophy is simple, worldflow’s role at the client is to get the job done with minimal disruption

• We work as part of a clients team, and we would want to be viewed as a part of the client organization from the time we are engaged

• worldflow work with any of the major software vendors, and have good relationships with many of them

• We have worked with the regulators in many locations globally

• worldflow work well alongside other consultancy vendors, and have jointly bid with a number of them to provide a level of specialist expertise to their bids at clients

• The key philosophy for us though is to be a part or your team from day one, and to engage as representatives of your business for the duration of the project

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Case studiesConsulting engagements

• Structured Derivatives:– Build out of a Structured Derivatives business from €70m to €1.2bn. Scaling all their

technology platforms across the functional areas to meet a growth from 1,500 listed products to 37,000. Massive growth of private placements from fully manual to STP from client desktop to settlement.

• FI / FX Merger:– Overall management of the selection of single solutions in a major European merger for

Fixed Income and Foreign Exchange, through to full position and process merger to a single platform. Implementation of changes to bring in missing functional elements, combined with management of the business and IT change process to achieve the merger.

• FX Dealing Upgrade:– worldflow worked with a pan-European client to implement a full upgrade to their Dealing

platforms globally to move to the latest vendor releases and to ensure continued integration to all upstream and downstream systems. worldflow acted as the overall project manager as well as supplementing the team, and worked as a part of the overall organization.

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Case studiesReview and fix engagements

• Direct Market Access:– Review a banks DMA platform for scalability and latency improvements with full

recommendations of improvements, and the implementation of changes. worldflow worked with the in-house teams to implement change that reduced latency by 30x, increased stability and removed single points of failure.

• Structured Products New Business: – Review existing business for a US organization to determine the capability of existing

systems. Fix was to provide a roadmap for the scaling of the SP business with full estimates of effort. Process to implement is ongoing.

• Hedge Fund Growth:– Emerging Markets Hedge Fund was being offered 2x current AUM in investments following

an investor roadshow. We reviewed booking flows, risk processes, operational procedures and made recommendations to cope with the increase flow. Then “fixed” by doing vendor reviews, implementation of systems and process changes.

• Fixed Income Growth:– An existing business had massive growth in customers, users and volumes due to a

merger. worldflow reviewed the front-office processes including systems, business practices, operational procedures and recommended a series of short/medium term fixes. worldflow are now remediating the issues and preparing for continued scalability.

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Case studiesBespoke software development

One of worldflow’s aims has been to diversify our revenue streams away from non-consultancy income. As such we have developed bespoke products for clients, on a fixed prices basis.

• B2B e-commerce:– A fixed price build of a full Business to Business e-commerce platform for the trading of

various asset classes directly for Institutional clients of a major bank. Provision of streaming tradable prices and booking of all trades into internal systems.

• Distribution Management:– Built a fees management platform for the collection and distribution of fees against margins

on a wide range of structured products, covering over €90m of fees across 110+ distributors. Put full payment controls and audit trails around the previously manual process.

• FX Connect:– Built a real-time link to FX Connect, to place orders and receive executions from the

service. Plugs into a couple of existing trading engines are available, and more are easy to produce. The product also allows spreadsheet upload of client orders into the receiving system, with the ability to execute or gross up.

All these bespoke products are licensed under terms that allow worldflow to sell them to other prospective clients, subject normally to a minimal exclusivity timeframe.

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Case studiesIncubation projects

In recent years as revenues have grown we have incubated our own products through investment. We have several more ideas in the pipeline, depending on success of these and other ventures.

• wRD : worldflow Research Distribution:– Replacement platform for ING’s global research distribution solution for external and internal

clients, full backward compatibility but with full Web 2.0 capability for future growth. All built on a monthly license model. Being marketed by worldflow to other clients, and will provide the basis for a number of web portals for research and other users, on an ASP licensed basis.

• wMD : worldflow Mobile Distribution:– An add-on service to wRD that provides secure and fully configurable research and content

distribution to mobile platforms. Clients deliver research material to wRD in any form, which manages the onwards distribution. Full control of access to restricted content. Available today for iPad and iPhone, with other mobile platforms in development.

• DigitalVega:– An FX Options ECN, designed and built from scratch by worldflow. A new and unique offering,

which allows market participants to trade a range of FX Option structures on prices from up to 5 relationship-based liquidity providers. With intuitive trading functionality via a simple GUI, which can operate in any browser or via an API. The platform delivers comprehensive, reporting tools to both buy- and sell-side participants, enabling them to identify best execution as well as detailed client and provider activity and service levels. DV is now live.

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Summary

• worldflow will make a difference to a finance organization

• Our teams will always hit the ground running

• worldflow can engage on any size or scale of project and make a difference

• We will deliver bespoke software solutions to clients at a fixed price

• We will share your delivery risk

• worldflow will operate as a part of the clients organization, and represent the client as a part of their business from engagement to completion

• worldflow provide solutions to Finance

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wRDworldflow research distribution

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• Internet service to distribute financial market research• Managed cloud hosted service for low cost ownership

• Track client activity with integrated Google Analytics• Detailed usage MIS and traffic analysis

• Branded white-label solution delivering a unique UX • Multi-provider implementation

• Extensive research tagging and meta data• Advanced search criteria and alerts

• Integration to research management systems• MiFID compliance with audit trail

• Browser, iPad, iPhone and Android UI• First client live June 2010

wMDworldflow mobile distribution

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• Powerful personalized research management tool• Delivers only relevant research, filters out the noise

• Choose from multiple research providers• Select preferred sector and company research• Track favorite analysts comments

• Institutional version for Asset and Fund Managers• Retail subscription fee based version

• integrated with 5 institutional research providers• In process of on-boarding 70 research analysts

• iPad launch Oct’10• iPhone launch Nov’10• Android launch Dec’10

• First client live Oct 2010

Worldflow mobileproduct map #1

• wMD - iOS Branded White-label– Single bank/provider version of app

– Target top investment banks with approx. 7-10,000 users each

– 1st bank live Oct/Nov 2010

• wMD – Investment Manager– Co-mingled research for institutional investors, fund and asset managers

– 5 investment banks & 70 independent research analysts providing specialist content

– Subscription based service with free and premium level content

– Target 5,000 investment firms in Europe and USA

– Price point – $20-100/month depending on content

– Live Q1 2011

• wMD – Advertiser– Targeted advertising to 20mm+ professional and institutional investors

– Detailed ‘traffic’ analysis based on content subscriptions

– Live Q3 2011

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Worldflow mobileproduct map #2

• wMD – Professional Investor– Co-mingled research for self-directed investors

– Subscription based with free and premium level content

– Target 20mm self directed investors in Europe

– Price point same as Wall Street Journal/Financial Times Online ($2/week)

– Live Q1 2011

• worldflow Corporate Treasurer– Real-time foreign exchange spot, forward and money market deposit rates from 12 banks

– Trade FX online with chosen banks

– Economic and currency market news and research from 10 leading banks

– Aimed at sub Thompson-Reuters and Bloomberg corporate market

– Target SMEs who don’t want to pay $2,000/month Reuters/Bloomberg fees

– 50,000 SMEs with 1-5 licenses each

– Price point – less than 10% of comparable Reuters/Bloomberg offering ($100/month)

– Live Q1 201115

FX Options SEF/ECN

Overview• Web based trading platform for FX Options for Corporate Treasurers, Asset Managers, Hedge Funds, Broker

Dealers and Regional Banks• Moving high volume OTC markets into a regulated online ECN/SEF platform• Live streaming aggregated volatilities, FX and deposit rates from provider banks• Live Options pricing using market standard models• Initially FX Options then Interest Rate Swaps and Options, Commodity and Bond Options

Committed liquidity from : • UBS, JPMorgan, HSBC, Citibank, Commerzbank, RBS, RBC, SocGen, Calyon,

Initial clients include:• 88 Corporations - Microsoft, Adobe, Agilent, Aventis, Bacardi, HP, Honeywell, Ericsson, Volvo, Cisco, Alcatel-

Lucent, GE, Royal Mail, Swisscom, Nokia, Nestle, Tate and Lyle, Thales• 17 Real Money Managers - Pareto Partners, Standard Life, Aegon, AP1, ADIA, Robeco, ABP.• 18 Macro Hedge Funds - Man Investment Products, George Weiss, Campbell, London Diversified, Bluecrest, C-

View, Tudor, Nektar, • 43 Private/Regional Banks - Julius Baer, UBP, Coutts AG, Banca Aletti, Bank Leu, Espirito Santo, EFG Private

Bank, Fin Edmond Rothschild

• Live Nov 2010• Target $8BN daily turnover end year 1

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FX Options SEF/ECN

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MiCuroWealth management platform

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High net worth individuals

Retail Market / “Main Street”

“The Wealth Pyramid”

29mn Mass Affluent investors in Europe with between €50k and €75k free investable assets.

43mn investors, including SDIs, in Europe with between €75k and €500k of free investable

assets.

• A partnership venture between worldflow and RBS• An internet-based platform offering investment

solutions for individual investors• MiCuro vision is to become the No.1 provider of

online structured retail products in Europe• Target 50mn clients in Europe

• Aimed at the mass-affluent savings and long term investments market as well as the active traders.

• Enabling investing at low entry levels.

• Easy to understand and simple to handle platform, guiding the client to the best solution.

• 24 / 7 trading and call centre.

• Low cost (zero transaction fees, zero account handling fees, zero intermediary fees), high interest rates.

• Simple onscreen overview of all accounts.

• Risk assessment and educational tool.

• To act as a wealth planner for individual investors through on-line planning tools.

MiCuroWealth management platform

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• Client defines investment goals & risk appetite• Client led to suitable investment solutions• Powerful product & performance search capability• Online transaction and portfolio management• Track successful investors via social networking• Top performing investment products• Top rated investments• Most actively traded investments

• Initial release 30,000 structured products• Single provider B2B (RBS) version live 2009• Target 6 countries 2011 (Europe and Asia)• Multi-provider investment product platform 2011

• Hosted cloud based service• Route to market via lead distributors in each country• Revenue share with product provider and distributor

Mobile money exchange

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Mobile Banking• 6.7BN people 67% of have a mobile phone• Est. 300 BN transactions, Est. value: $860 BN• 977 million mobile banking users

International Remittances• Official flows to top $280BN in 2010• Bank and MTO fees up to 35% per trans• Est. remittance transaction fees $27BN• Est. ‘hidden’ fx rate fees $13BN

Open to all• Any bank, service provider,

mobile operator• Open to anyone with a

mobile phone

Any Platform• Java and WAP Access• SMS transactions and alerts• Symbian, Linux, MS Mobile• iPhone, iPad, Android

worldflow Mobile Money Exchange• Access to bank/CR/DR card accts• Balances for all accounts• Mini statements for all accounts• Open accounts for family & friends• Send money to anyone• Move money between accounts• Pay merchants and bills• Buy or sell foreign currency• Mobile phone and internet access

Contacts

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Nick LukicDirectornick.lukic@worldflow.netOffice: 0207-489-2050Mobile: 07770-461-232

Web site: www.worldflow.net

Steve JarrettDirectorsteve.jarrett@worldflow.netOffice: 0207-489-2050Mobile: 07710-123-591