Now, I would like to hand over to Dennis Dijkstra for the market developments.

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1 Mr. Enneman: Good morning ladies and gentlemen. On behalf of the Flow Traders team I would like to thank you for joining us today. Our co-ceos Dennis Dijkstra and Sjoerd Rietberg and our CFO Marcel Jongmans will share our third quarter 2016 results. Then we have some time dedicated to answer your questions. As it is our duty to draw your attention to the disclaimer, please see the disclaimer mentioned here. Please be advised that if you continue to listen to this presentation you are bound to the disclaimer. Q results analyst meeting 1

2 Now, I would like to hand over to Dennis Dijkstra for the market developments. Mr. Dijkstra: Thanks Serge. Good morning everybody and thank you for joining us today in this call. As we will show in the coming slides, Flow Traders gained market share in the third quarter where market conditions were slow. While the VIX trade closed to an all-time low, we managed to grow our ETP value traded. At the same time, we had to accept that our net trading income and revenue capture came down this quarter versus the second quarter. The decline in market activity led to a tightening of spreads, affecting our margins. This does not distract us from our growth strategy. We continue to see a lot of growth opportunities in all regions, especially in the United States and Asia. We will continue to grow organically, as we have always done, by investing in our people and technology. This gives us confidence that we will remain on track to deliver the second best year since inception. The overall ETP-market was growing as expected, with global ETP assets under management rising to a record EUR 3 trillion by the end of the third quarter. Market inflows were skewed to both equity and fixed income products. Q results analyst meeting 2

3 The number of ETP-listings continued to grow as well, especially in Asia and the US, as you see on this slide. This is despite a rather slow quarter trading wise caused by an ongoing decline in velocity and volatility, affecting both spreads and volumes. By velocity we mean the market ETP-value traded divided by the market ETP assets under management. Market ETP value traded year-to-date declined for the second consecutive quarter, as the VIX also continued to decline and reach levels close to all-time lows with velocity declining to the lowest point since the beginning of So summarising: in the third quarter, the ETP assets under management grew, but as there was less trading taking place, ETP value traded declined and spreads were tight. In light of these developments, how did we perform? Flow Traders significantly outperformed the market on ETP value traded in the third quarter, as we further increased our overall market share. This reconfirmed Flow Traders position as a leading global ETP liquidity provider. Our ETP value reached EUR 149 billion, which is 5% increase quarter on quarter, where the market decreased 7% quarter on quarter. Market activity declined further as macro-economic topics kept investors side lined. Our NTI reached EUR 49 million and our revenue capture was 3.3 basis points. Especially in Europe, overall trading activities slowed down further this quarter. The low-market activity caused spreads to tighten and investors to remain focused on more liquid products with typically tighter spreads. Due to our ongoing technological improvements, Flow Traders managed to increase exposure in these more competitive and straight forward products, enabling us to grow our overall market share. So, despite market developments, Flow Traders continued to grow while keeping a tight cost control, ensuring an efficient operational set up. Our headcount grew to 325 employees, as graduates started their jobs in September after finishing university. We grew our teams across all regions and especially in the US and Asia. With regard to our capital position, this remained stable quarter on quarter after the payment of our interim dividend of EUR 0.55 over 2016 in September and remained comfortably Q results analyst meeting 3

4 above all regulatory and prime broker requirements. All the developments led to earnings per share of EUR 0.32 for the third quarter. Again, we are proud to report that we had no loss day in the third quarter, making it now 28 months in a row. Our global on-screen market share improved the third quarter, as our market share rose, especially in Europe and the US and kept pace in Asia. Here we present an overview of the regional performances. As is shown on the right hand side here on slide 6, and later on in slide 17, our year-to-date NTI already surpassed the level we reached in total in This confirms we are realising the second-best annual performance since inception. Sjoerd will now take a look at the individual dynamics across each of the three regions. Q results analyst meeting 4

5 Mr. Rietberg: Thank you, Dennis. As you can see on slide 8, in Europe the ETP assets under management continued to grow, confirming the long-term growth trajectory. But as pointed out before, market ETP value traded came down. The sentiment in Europe remained cautious after Brexit and ahead of the US elections. Flow traders ETP value traded grew 4% in the third quarter versus the second quarter, supported by the technological developments and an increase in a number of institutional counterparties. This means that our market share in Europe improved in the third quarter, which is now at the 20% level on-exchange and is growing. More importantly, we remain the leading liquidity provider in ETPs in Europe both on and off exchange, according to external market data sources like Tradeweb and Bloomberg. Although overall traded volumes in Europe declined further in the third quarter, year-to-date the European ETP value traded is at about the same level as in The decline in trading activity, volatility and velocity, as described previously, impacted our revenue capture and NTI in Europe in the third quarter. Besides that, the product mix we traded impacts our revenue capture and NTI. Q results analyst meeting 5

6 As is shown on this slide, our NTI decreased by 24% year on year, while EPT value traded was down by 1% for that same period. That shows the impact of the product mix we traded. Going forward, we will continue to grow as an organisation as we connect to more institutional counterparties, expand our technology in trading teams and increase our product coverage and the number of counterparties we are connected to. Now, let s turn to the Americas, slide 10. In the Americas we continue to grow, as we increased the number of traders and number of products we provide liquidity in. The institutional trading department became operational in the third quarter and is expected to contribute going forward. Overall, the US markets were also impacted by their lower trading activity after the Brexit-outcome and ahead of the elections. The ETP assets under management continued to grow but in market ETP value traded declined. However, our ETP value traded rose as we, just like in Europe, implemented some technological improvements that increased our presence in highly liquid products. Q results analyst meeting 6

7 Besides, we expanded the number of products traded and the numbers of venues we are connected to. For example, Flow Traders has now become a member of IEX. Our NTI and revenue capture declined, following the decline in volatility, the consequential tightening of spreads and the ongoing focus on highly liquid products by investors in the US markets. Our market share in the region increased to slightly above 1.5% on exchange. We now look forward to further expanding our institutional trading department and our product coverage in the region. With the fiduciary ruling announced in the US becoming effective 1 st April 2017, we believe there is another driver for the ETP business and as such, we will continue to focus on further executing on our organic growth strategy in the US. Now, we turn to the Asian region Q results analyst meeting 7

8 In Asia, market conditions remained challenging. Overall, volumes were at relatively low levels. There was again a further decline in trading activity and investors were side lined, given the global macro-economic themes discussed earlier. These dynamics impacted our ETP value traded, which decreased in line with the market. Our NTI and revenue capture however improved quarter on quarter, as we grew the organisation by increasing the number of traders and institutional traders, by increasing the number of products traded and by strengthening the different teams. The NTI grew 3% to EUR 4.6 million and our revenue capture improved quarter on quarter to 7.5 basis points. We have also implemented some technological improvements in the third quarter and further improvements are underway. All these changes are expected to support results as of the first half 2017 going forward. Now, I would like to hand over to our new CFO, Marcel Jongmans, who will provide a financial update. Q results analyst meeting 8

9 Mr. Jongmans: Good morning all. Before I start, I would like to say that I am very proud to have joined Flow Traders as their new CFO. I am looking forward to help growing this business further, as we see plenty of opportunities to take this firm to yet another level. As you have heard from Dennis and Sjoerd, in the third quarter we continued to deliver on our growth strategy. Our costs remained under control and our balance sheet remained very strong and well capitalised. We continued to deliver a strong free cash flow. The straight-forward P&L, as shown on this slide, showed the impact of the variable expenses, as the decline in Net Trading Income of EUR 49 million resulted in an EBITDA of EUR 20.5 million. This underlined the reason why we have set up our remuneration policy the way we have: to keep maximal flexibility. Our fixed expenses developed in line with expectations. As always, more hires started in September, as this is the time when graduates come on board. So, we saw an increase in our employee expenses. We continued to invest in technology, mainly in solutions aimed at improving performance and efficiency of our trading and risk management systems. Technological developments had especially a focus on further optimizing our trading infrastructure in our US and Asian region. Other expenses rose as certain cost, like recruitment fees for the current recruitment season, were paid up front. The EBITDA margin was 42% in this quarter, compared to 48% in the second quarter, where more trading was taking place, helped by the Brexit-event. We are still at a comfortable EBITDA-margin of 47% year-to-date. The tax level this quarter was in line with the budget of 20% and the comparison base with the second quarter was influenced by the one-off tax benefit in the second quarter of EUR 4.5 million. Q results analyst meeting 9

10 This all led to a bottom line earnings per share of EUR 0.32, bringing the year-to-date earnings per share to EUR Looking at our year-to-date results, Flow Traders is on its way to realise its second best year in existence, despite the slow markets. Now, we turn to the consolidated financial position and an overview of the development of our trading capital. In the third quarter we continued to be comfortably above all regulatory- and prime broker requirements, as you can see on slide 15. Regulatory capital requirements and our regulatory capital available moved along similar historic levels. Our third quarter total trading capital remained about flat quarter on quarter at EUR 300 million, following the payment of the 2016 interim dividend of EUR 0.55 per share in September. As always, we continued to mitigate our risk as much as possible. As such, we also expanded a number of prime brokers we use going forward. Furthermore, as stated earlier regarding our dividend policy we remain committed to maximising profitability and returns to shareholders and continued to pay at least 50% of our net profit in dividends. Please note that we have no operation of debt and have no financial leverage in our business model. Summarising, we see this as a solid set of results despite the slow market conditions. With this, I would like to hand back to Dennis, to put Flow Traders performance in the light of the long-term market developments. Q results analyst meeting 10

11 Mr. Dijkstra: Thanks Marcel. When looking at the market developments since 2010, it is clear that the ETP assets under management continued to grow at a very steady pace, as is shown on this slide. When Q results analyst meeting 11

12 looking at Flow Traders NTI historic path, it shows that at times of heightened volatility the performance of Flow Traders substantially exceeds its NTI growth trend lines. In times of lower volatility we continue to grow our NTI along our long-term growth trend line. So, as I said in the beginning, we are on track to deliver the second best year since we started in 2004, in a market that throughout 2016 has been characterised as slow. We will continue to focus on growing the business, as we have constantly done so far; organically, cost conscious, focused on maximising our NTI growth and with the ambition to eventually trade every ETP out there. With this, we would like to open the floor for any questions you may have. Martin Price Credit Suisse Good morning, just three questions from me. First in APAC, it looks like your revenue capture has improved pretty materially sequentially, despite the low volume and low volatility environment. I think you have attributed that to the improvement in trading strategies, but could you elaborate on exactly what you changed to lift revenue capture so significantly? What do you hope for that can increase revenue capture further in Q4, looking out into forthcoming periods, assuming similar trading conditions? The second question was just on the US institutional trading roll-out. You mentioned there has been no revenue contribution in the third quarter results, but I am wondering if you could comment on what demand has been like for institutional counterparties so far. Should we expect revenue capture to be similar to the rest of the business in the US? Q results analyst meeting 12

13 Finally, just on the dividend: your guidance is for a pay-out of at least 50% of earnings, but I guess to maintain the dividend flat year on year would imply a pay-out ratio much higher than that on consensus forecasts, perhaps over 75%. I was wondering if you would be comfortable going as high as that on a temporary basis. Mr. Rietberg: Let me answer the first question and then Dennis will take the second question. On your remark with regards with the revenue capture in Asia: it has not so much to do with the trading strategies that improved our revenue capture but, as mentioned also during the presentation, it really has to do with the expansion of product coverage. So effectively, the product mix has changed a bit and also some technological improvements already made it possible to improve revenue capture. Looking forward, we really need to further expand our teams there and to implement new technological improvements, as we also mentioned during the presentation. We expect this to contribute to the results in Mr. Dijkstra: Let me come back to your question about the institution of the trading department in the US. As said, we had FINRA-approval a couple of months ago. We hired a dedicated sales team of two and more people are coming on board as we speak. We have on boarded already more than a handful of institutional counterparties. We are in fact finalising it and we have almost everything in place. We did our first transactions and the feedback we get from the market is very positive. We are very hopeful that it will significantly contribute to our NTI in the US going forward. Your question about revenue capture on our OTC-trading in the US: we do not have much visibility on this yet but if I take the European markets as a reference, we tend to see that institutional counterparties tend to trade more liquid products, so the actual contribution to the revenue capture will depend on the kind of products the investors want to trade. I hope that will answer your question. Regarding your question on the dividend: the business model has not changed. We are almost 100% free cash flow generative. Historically, we have paid out more than 50% of our net earnings, as you are aware. We want to be a bit cautious and prudent with stating that we want to pay out at least 50% of our net earnings as dividend to shareholders but, as said, we will not change our dividend policy. Last year, when you take the IPO-cost into account, we paid out 75%. I think we will just leave it there. Martin Price Credit Suisse: That is very helpful, thank you. Anil Sharma Morgan Stanley Good morning. Could you give us a sense as to how the product mix has changed between equity ETP products and fixed-income ETPs over the last 12 to 18 months? Also, could you provide perhaps a bit of colour as to what the revenue capture differential is between the two? Q results analyst meeting 13

14 In Europe, it looks like the market share has gone up pretty significantly and obviously the offsetting factors in the revenue capture have come down. Could you give a bit more colour as to what the dynamics are there and how we should be thinking about it into next year? Mr. Rietberg: First, some details on the fixed income versus equity ETPs. In the last few quarters or even in the last few years the fixed income-etps have become more and more attractive. If you take a look at the asset management pie, the asset management industry as a whole, we see that in fact that the fixed income ETPs are more or less underrepresented, so it was to be expected that we would see some growth there. Growth in the assets under management in these ETPs also means that more products are available and more trading is taking place. In terms of revenue capture we see a lot of different products of course. It is the same as in the equity-space. We see that revenue capture eventually depends upon the complexity of the product itself. As you know, the S&P 500 Spyder ETF is being the most traded ETF in the world; it trades with a spread of half a basis point. It is very liquid and relatively simple to trade. You trade it with the lower spreads, so also a lower revenue capture for us than some kind of emerging market ETF with more exotic exposures. In fact, the same is true for fixed income products. So, we do see quite a difference in complexity of products there, varying of course from ETPs with underlying Treasury note and ETPs with underlying emerging market local bonds. There are quite some different sets of products available in the fixed income space and that also has an impact on the revenue capture we can have there as an ETP liquidity provider with the target as mentioned already to also provide liquidity in all these different ETPs. Anil Sharma Morgan Stanley: Can I follow up on this? Roughly, what percentage of the volumes would you say, are the equity products versus fixed-income products? Mr. Rietberg: Sorry, what percentage of what? Anil Sharma Morgan Stanley: What percentage of Flow Traders' value traded would you say is equity versus fixed-income? Mr. Rietberg: That is always hard to answer that question. First of all, we do not want to go into too much detail there. At the time it also really varies on the market circumstances. We see of course that the product mix is depending on investor demand, so we can safely assume of course that if more trading is taking place in the fixed income space, we as a liquidity provider provide liquidity in all these different asset classes and we will be more also exposed to more trading in the fixed income for example. But it really depends of course on market demand and investor appetite. Anil Sharma Morgan Stanley: Thanks. Mr. Rietberg: With regards to your remark on the European market shares, indeed, we have invested a lot in our technological infrastructure. At the same time, we increased and expanded the team, improved knowledge and of course added experience to the team. This has indeed resulted in the higher market share that we see in the European markets. Does this answer your questions? Q results analyst meeting 14

15 Anil Sharma Morgan Stanley: Yes, that is helpful. Thank you. Ron Heijdenrijk ABN AMRO Good morning gentlemen, only one question left from my side. In your press release as well as in your presentation you talk about two different drivers of the deterioration in revenue capture, one being the product/mix change and two being the volatility down. With your systems, can you give us a steer on how much each factor is actually influencing it? Mr. Rietberg: It is always interesting to discuss how revenue capture is in fact impacted. It is important to realise that revenue capture in itself is not a target for us to optimise or to maximise. What we want to optimise and maximise is our Net Trading Income and revenue capture multiplied by the volume eventually creates our Net Trading Income. What we see is that volatility can impact of course spreads in markets. It is what we always realise. At the same time, it is not necessarily the impact. As we have discussed here, markets are relatively uncertain in the sense that people are really at the side line, so they are awaiting the outcome of the Brexit and they are awaiting the outcome of the elections as we see today. So, there is a difference between volatility and uncertainty, also in terms of the eventual impact on revenue capture. Ron Heijdenrijk ABN AMRO: Let me put this question differently, because the product mix is probably easier to measure for yourselves versus the volatility. You speak about a change in product mix, hence the higher volumes. Could you then give an indication of how your revenue capture has shifted because of that product mix change? Mr. Rietberg: In general, how we see it, we want to provide liquidity of all different kinds of names, all different kinds of ETPs in all asset classes and of course the moment we are providing more liquidity in the top liquid names as we have spread out right now due to the technological improvements we made to our infrastructure the natural consequence is that the average revenue capture will go down a bit for the product mix that we trade. At the same time, we also have to deal with what kind of product mix that is traded in the markets as a whole. What we see there is that roughly the top ten names are more or less stable in the different regions in terms of how much volume is taking place there and what the impact of these top ten names is on the average revenue capture in the markets. But in the markets as a whole, we see that spreads came down a bit in the third quarter in all regions. Ron Heijdenrijk ABN AMRO: Thank you. Joost de Rijk Kempen & Co Good morning. My first question is in the line of the previous question. You have always said you only care about the market share and you only care about optimising your NTI. Can you maybe explain what changed this quarter? I think it has to do with technological improvements that meant that you could now go after this more liquid ETP share, and having a positive impact on NTI where you previously could not. Q results analyst meeting 15

16 More on the technological improvement, I understand that you cannot go into detail on what the improvements are, but could you give us any sort of colour on if they are maybe software improvements or hardware improvements, and why you were able to implement them in Europe and America, but have not yet in Asia? Mr. Rietberg: That is a good question. We have indeed invested in our teams and in technology, as we always have to make sure that we can further optimise the revenue capture and indeed increase the volume we trade and by that of course increasing our NTI. So, as I already said before, we have invested a lot in our technological infrastructure in general. This means that we do not just focus on one part of it. We will always invest in every element that eventually defines our success as a global liquidity provider in all these ETPs. This is something that we can and of course do leverage, where possible. We will always aim to further use of course any improvements in our software and our global software infrastructure. At the same time, we have to dedicate our resources as any company in the right order, so we have to for different exchanges implement different solutions with small additions and small changes. We spend a lot of time on this and we have to make sure that we do this in the right priority. What determines this priority has of course to do with how much volume and how much opportunity we see in the different regions and on the different exchanges. Joost de Rijk Kempen & Co: Maybe to follow up on that, now that you have shifted your product mix a bit to tap into this more liquid end of the market, should we expect that in the future your revenue capture will be structurally lower because of this, or is it something that you are doing now temporarily to play into the current market conditions? Mr. Rietberg: It has always been our strategy to provide liquidity for all different kinds of ETPs, whether they are liquid or less liquid and in whatever kind of asset classes. We will of course continue to invest in both technology and our teams and also make sure that we are completely in control of what we do. So, we have always provided liquidity in all these names and we will continue to provide liquidity. Of course under different market circumstances it can vary a bit in trading between liquid or less liquid names in different market circumstances, depending on investor appetite and attention. Joost de Rijk Kempen & Co: Alright. I would like to come back to the question I have asked. You said that there is technological improvement now in Europe and in the US but not yet in Asia. Is that flipping the switch, or is it a more technical story? Mr. Dijkstra: We wish it was only flipping a switch. This means dedicated project management and setting the right priorities. As we said, we are working on technological improvements and on improving our infrastructure globally in every region. But we have to prioritise. We have made a lot of investments in technology in the past and we will continue to do so in the US and in Europe. We probably have under-invested a bit in the Asian region but as said also in the previous call, we have reprioritised some projects and we will continue to focus on Asia going forward, although the majority of the technology improvements that are in the pipeline have not materialised for the Asian office yet. Joost de Rijk Kempen & Co: Thank you. That is very helpful. Q results analyst meeting 16

17 Michael Roeg Bank Degroof Petercam Good morning, I have three questions. The first is on the technological improvements, which allowed you to gain some nice market share. Did you already reap the full benefits in Q3, or was the switch flipped somewhere in the course of the quarter so that there could be more to come? The second question is on the net inflow in ETP assets under management. Year-to-date there is a lot more fixed-income inflow as a percentage of the total inflow than in the past. Based on the feedback that you get from your counterparties, do you see this as a new trend, or is this just a one-time only event? It could be important for the future mix. Thirdly, Q3 was a bit of a strange quarter in terms of global value traded, with a very soft July and August and then all of a sudden a strong rebound in September. Could you reveal a little bit of what is already happening in October so far? I know that there will be a press release soon but it is quite interesting to learn whether September continued. Mr. Rietberg: With regards to the technological improvements in the third quarter, if you imagine that indeed what Dennis already mentioned, it is not about flipping a switch. It is really about rolling it out diligently and piece by piece. In fact, we are also obliged to test things rigorously and make sure that things operate or that any technical changes are done and rolled out in a diligent way. So, it is not about flipping a switch; it is really about doing this in a controlled way. In fact, we are doing this continuously. We are continuously and always looking for improvements in the technological infrastructure, so also for the future we do see there are still possibilities to roll it out. In fact, as mentioned already, we have had a lot of technological improvements in the European and the US region. There are still some technological improvements planned in Asia for the near future. So, to answer your question, in that sense we are never done. We will always continue to improve and we will continue to hopefully see the benefits from these technological improvements in the different regions. Mr. Dijkstra: Can I just add something. We made a comment about having graduates joining us after the summer. We have also been investing a lot in our technology department from a headcount perspective. If we say that we keep on investing and hiring talented and very skilled people and not all on trading, the investments we are making in headcount, in the quality and in the people of the technology departments are paying off. Also going forward, we anticipate to further grow these departments further in every region, because there are still a lot of opportunities and things where we feel we can grow going forward. Mr. Rietberg: So, it is not just about technology. It is about growing the team and growing every aspect that defines our success as a liquidity provider. Michael Roeg Bank Degroof Petercam: But if I compare the global value traded and Flow Traders' own value traded, the gap is suddenly particularly strong in Q3. Again, the company doing much better, so that makes me wonder whether this technological improvement was perhaps a bit stronger than usual within the quarter. That is why I am wondering whether we already had the full impact I Q3 or is there potentially more to come. Q results analyst meeting 17

18 Mr. Rietberg: I think the answer is that there is always potential for us to further benefit from technological improvements, just as we see benefits from improving other parts of our organisation. Michael Roeg Bank Degroof Petercam: Thank you. Mr. Rietberg: Then your question on fixed income and the inflow: is it a one-time big inflow or is it a trend? The answer lies partially in how the ETP-space has developed. It has of course developed from an equity perspective, providing people the means to invest easily, passively in equity index products. In the past few years, as mentioned before, we have seen more and more interest in the fixed-income ETPs to be able to also invest easily in this fixedincome space and in fact getting all the benefits from ETP trading in terms of low cost, flexibility, accessibility and transparency. So, the assets under management in this fixedincome space are growing really rapidly. It has already done so over the last few years and a bigger part of the assets under management globally, which are invested in fixed income in general, is now directed towards the ETP-space. Mr. Dijkstra: Just to add that we made some statements about the percentage of equity that the percentage invested in ETPs of the global pie is around 4%. If you look at the fixed income assets invested via ETPs the best estimate is less than 1%. So, coming back to your comment about the inflows, we have been investing in our fixed-income ETP trading globally because we were anticipating the inflows and the changes in the market we are seeing. But also going forward, we anticipate that fixed-income ETPs will continue to grow. But also the brother ETP AuM we anticipated to grow, both equity and fixed income but historically in the last couple of quarters we have seen significant inflows at fixed income, which we would expect as well. Mr. Rietberg: Your third question was on the current trading. As you already mentioned yourself, we will release the numbers on the market activity in October next week and then you will get more colour on what trading actually brought in this month. Michael Roeg Bank Degroof Petercam: Thank you. Gregory Simpson Exane BNP Paribas Good morning, three quick questions if I may. First, just to follow up on Flow Traders improving their technology to grow into some of the more top liquid products. Can you just give a sense of what the average revenue capture on these products that you are trading now that you did not before, might typically be, versus your 3.3 basis point group revenue capture? Is it 1 basis point, 2 basis points? Secondly, your technology expenses fell sequentially in the quarter and I am just wondering if there is anything specific driving this, given most of the exchanges and index dividers have been talking about increasing data prices and you have also talked about improving your technology. Q results analyst meeting 18

19 Thirdly, maybe just a quick broader question. In your opening remarks you have talked about the velocity of ETP AuM trading falling. Do you think that is reflective of just lower volatility or is there maybe an effect from retail adoption of ETPs maybe increasing the proportion of investors who will just buy and hold? Or is it just volatility? Mr. Rietberg: So, let me give an indication about the revenue capture in the top ten products because it is really hard to give exact numbers there, especially if you are talking about revenue capture. Of course, it all depends on our own set-up. If you take a look at the average spread, you have to think in terms of basis points per US product probably, for a top ten product. I just give a rough estimate. In the Asian and the European region this will be a bit higher but you have to think in just a low single-digit basis point spread. And then we are talking about spreads and not revenue capture. I lost track of the second question. I am sorry. Gregory Simpson Exane BNP Paribas: I was just saying that I think your technology expenses in your P&L fell quarter on quarter and am I just wondering if there is something specific driving that, because you have talked about improving your technology. I am just wondering about the dynamics there. Mr. Dijkstra: That is a good question. As you might recall, we wrote down part of our microwave network in the first quarter of this year. We also mentioned that this would have a positive impact on our Opex. So, we would expect it to reduce. I think this is the first quarter we see the impact on the operational expenses. Gregory Simpson Exane BNP Paribas: That is helpful. Thank you. Mr. Rietberg: And what was your third question? Gregory Simpson Exane BNP Paribas: In your opening remarks you talked about the velocity of ETPs falling to the lowest since Do you think that is just volatility being lower? Is it people investing in ETPs now being maybe more buy-and-hold retail investors who maybe turn over their AuM less often? Mr. Dijkstra: As we also mentioned during the presentation, there is still appetite for investing in ETPs, so we still see assets under management grow. At the same time, investors are more at the side line and awaiting the big macro-economic events we have seen this year, including the Brexit and of course yesterday's elections in the United States. It is not that we expect this to be the new normal or the new standard or anything; it is reflecting the market circumstances and reflecting also the fact that we have seen some specific macro-economic themes that are on the minds of the investors. Gregory Simpson Exane BNP Paribas: Thank you for answering my questions. Adedapo Oguntade Morgan Stanley Thank you, just one quick question. Given that your technological improvement leads to you having access to more liquid products and I assume this liquid product may have a lower revenue capture and as you increase your share it should have an impact on the group Q results analyst meeting 19

20 revenue capture. Could you give us an idea of what the impact could be? What do you see as a sustainable level of revenue capture for the group? We are going back to normalised volatility levels, so what is the impact from the technological improvements there? Mr. Rietberg: I think it is important to realise that eventually we always try to maximise our Net Trading Income. Eventually, Revenue Capture is just part of that product in the sense that we want to trade as much volume as possible with the best revenue capture as possible. It is also hard to give exact numbers there, to give exact insight because it also depends on the product mix that is traded in the market: what is the appetite from the investors? It also depends on what product mix we actually trade and of course that follows how we improve our organisation, both in terms of product coverage, in terms of technology and all different kinds of elements that eventually define the average revenue capture we trade. As already mentioned in answering one of the previous questions, we do see that most liquid products tend to have a lower margin, a lower spread, so trading more there will be on average a lower revenue capture. As we explained in the presentation as well, we see in Europe that this is partially impacting in fact our revenue capture negatively. Of course, we expect to eventually offset this by trading more volumes. Adedapo Oguntade Morgan Stanley: Thank you. Mr. Dijkstra: Thank you all who dialled in today. We of course look forward to speaking with you again in the near future. We wish you all a very pleasant day! End of call Q results analyst meeting 20

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