Orc Software’s Offering –

How Trading Technology Can Develop The Market

Anders Henriksson, President Benelux, Central and Eastern Europe

ZSE 17th Annual Conference 12-13. October 2007

www.orcsoftware.com

Agenda

• Company Introduction & Global Offering

• Regional Offering

• Case Study 1

• Case Study 2

Orc Software Is The Leader in Advanced

Trading Systems & Connectivity

• More than 600 customer sites

• Global company with local presence in every major financial center

• Acquisition of Cameron Systems in 2006 - the no 1 provider of FIX Protocol connectivity solutions

• Publicly listed, 2006 revenue of approx US$60 million, 250+ employees

We Help Advanced Derivatives Traders

To Trade

4

• Advanced trading of listed futures and options –equities, FX, fixed income, commodities

• Automatic quoting, trading and hedging, Synthetic order types, Pre trading analysis, Risk Management, Volatility Management

• Algorithmic / Black Box Trading System – Orc Liquidator

• Customers are proprietary trading desks at investment banks, hedge funds, and trading firms

And We Provide Connectivity

5

• Connectivity to all FIX counterparties globally with the CameronFIX Universal Server FIX platform

• Largest FIX customer base – 500+ customers

• Advanced management and monitoring of FIX sessions

• Highly available infrastructure

• Market Gateways to connect to non-FIX exchanges

• Customers are exchanges, broker/dealers, asset managers, hedge funds across all asset classes

More Firms Use CameronFIX Than Any

Other FIX Platform

BROKERS INVESTMENT MANAGERS EXCHANGES & ISV's

Barclays Capital-Global Fidelity Investments-Global International Securities Exchange-

CIBC World Markets-Global Capital Group-USA Market Axess

Credit Suisse-Global Western Asset Mgt.-USA Singapore Stock Exchange

TD Securities-Canada State Street Global Advisors-USA Warsaw Exchange-Poland

Banc of America FX-USA/UK MFS Investment Mgt.-USA ICE-USA

LaBranche Financial Svcs.-USA BlackRock-Global Australian Stock Exchange

Citigroup Global Markets-AustraliaAXA Investment Mgt.-UK Bond Exchange South Africa

Nomura Securities-Global TD Asset Management -Canada EBS-Global

Goldman Sachs JB Were-Australia (CDP) Caisse Depot -Canada FXall

Macquarie Securities-Australia Legg Mason Asset Mgt. -USA Currenex

Knight Securities-USA/UK Barclays Global Investors-USA Hotspot FX

DBS Securities-Singapore Citadel-USA Charles River Development

Merrill Lynch International-Asia Pacific Ronin Capital-USA Latent Zero

Agora Senior-Brazil Born Capital-USA Portware

UBS-Global AQR-USA Financial Models Company

BBV Bancomer-Mexico Tribeca Management (Citigroup)-USA Omgeo

CLSA-Asia LaBranche Structured Products-USASWIFT

Connectivity Out Of One Platform

Global connectivity - Native Market Gateways, non FIX

North America

• AMEX• Archipelago• Boston Options Exchange• Bourse de Montréal• BRUT• CBOT• CBOE• CFE• CME• Eurex US• INET• ISE• Nasdaq• NQLX• NYMEX• NYSE• OneChicago• Toronto Stock Exchange• PCX• PHLX• TSX• TSX Vent

Asia Pacific

• Australian Stock Exchange• SEHK• HKFE• KSE• ITS• NZX• OSE• SGX• SFE• TAIFEX• TSEC• TFX• TSE• TIFFE

Global Connectivity- Native Market Gateways, non FIX

Europe

• Amsterdam Switch (Switch)- Budapest stock Exchange (BSE)• CATS (CATS-OS)• Copenhagen Stock Exchange (CSE)• Eurex (Eurex)• EuroMTS (MTS)• Euronext• Euronext.liffe (London, Paris, Brussels)• European Energy Exchange (EEX)• Euwax• FORTS• Iceland Stock Exchange (ICEX• Irish Stock Exchange (ISE XETRA)• Istanbul Stock Exchange (ISE)• Italian Stock Exchange (MTA)• Italian Stock Exchange (SeDeX)• Italian Derrivatives (IDEM)• London Stock Exchange

(SEAQ, SETS, SETS DTS, RSP)

• Luxemburg Stock Exchange (Luxx)• Madrid Derrivatives (MEFF)• Madrid Stock Exchange (SIBE)• MOT• Moscow Interbank Currency Exchange

(MICEX)• Nordic Growth Market (NGM)• OMX (Stockholm&Helsinki Stock

Exchanges) (SOM, HEX, SAXESS)• Oslo Stock Exchange (OSE)• OETOB• Quotrix• Riga Stock Exchange (RSE)• Swiss Exchange (SWX)• Talinn Stock Exchange (TSE)• TLX• Vienna Warrants• Virt-x• Warsaw Stock Exchange (WSE)• Xetra• Xetra Vienna

Our Global Customer Base Uses Orc For

• Cash equities

• Equity futures/forwards

• Single stock options

• Index options

• Exotic options

• Convertibles

• Bonds

• Bond futures

• Bond options

• Interest rate swaps

• Repos

• Forward Rate Agreements

• Equity swaps

• Currency spots

• Currency futures/forwards

• Currency options

• Currency swaps

• Deposits

• Baskets

• Certificates

• Warrants

• Structured products

• STIR futures

• STIR options

• Option spreads

• Commodity futures

• Commodity options

Regional Offering and Usage

Regional Connectivity

Central and South Eastern Europe• Vienna, Available• Budapest, Available• Warsaw, Available• Zagreb, Available in Q4 • Bucharest, Available in Q4• Prague, Available in Q4

Both cash and derivatives markets are available (where applicable)

In Planning:• Ljubljana• Belgrade• Athens

Regional Usage

Both Cash and Derivatives, Mainly Equities:

• Institutional Brokerage

• Retail Brokerage

• Electronic Execution

• Prop. Trading & Market Making:• Trading & Market Making Index and Single Stocks Options

• Futures Trading & Market Making

• ETF Market Making and Hedging

• Warrants and Certificates Pricing

• Risk Management

Case Study 1

Our Example Deployment (I)

• The investment-bank of a large European Mid-Tier Bank active in the Region

• Orc package deployed as a platform covering all group related equities trading

• Business covers Prop. Trading &Sales/Brokerage related activities

• > 10 Direct membership markets connected

• All of US and Europe (cash and some derivatives) connected through brokers

Our Example Deployment (II)

• Parts of Product Portfolio deployed:

– Orc Trader

– Orc Broker

– AQ

– OIM

– Orc2Orc Technology

– FIX Gateway

– FIX Out technology

– Model-builder, Financial Engineering Tool

– Market Gateways

Our Example Deployment (III)

• Desks covered:

– Market Making Domestic

– Market Making International

– Prop. Trading

– Sales Trading Domestic

– Sales Trading International

ORCORC

OnlineOnlineReutersReuters

XetraXetraBloombergBloomberg

StationStationThomsonThomson

AutexAutexGL GL

TradeTradeCATSOS

ECN TQS

Online Brokers

ORC Internal MarketORC Internal Market Cameron Universal ServerCameron Universal Server SWIFTSWIFT--GWGW

ORC PlatformORC Platform

EUREXXETRA FFMXETRA WIE

EUWAXCATSECN

OMXSWXVIRT-X

Italy LSE Budapest Warsaw Brokers

Euronext, USA,Scandinavia,...

SoftwareSoftware

ModulesModulesElectronicElectronic

ExchangesExchanges

Quote Requests & OrdersQuote Requests & Orders

OrdersOrders OrdersOrders OrdersOrders OrdersOrders OrdersOrdersFIXFIX--OrdersOrders SWIFTSWIFT--OrdersOrders

SWIFTnetInternet/Internet/

CitrixCitrix

SoftwareSoftware

ModulesModulesSoftwareSoftware

ModulesModules

Group Companies

Acting as

Internal Brokers

LocalMarkets

Case Study 2

Business Covered

• Electronic Execution for 400+ Branches

• Internet platform integrated

• Institutionals connected by Real-Time Order Entry and Information Terminal or FIX Engine

• Execution Point 50+ Markets

• Cash, Warrants and Exchange Traded Bonds

• In addition we cover Market Making, Prop. trading and Derivatives Brokerage

Settlement

BranchNetwork

LEGACY

HOST

SYSTEM

SWX WSEXETRAFFT

XETRAVIE EUREX

ConnectedBroker/s

ORC - Software

Broker

XNYSE

NASDAQSEAQ

EURONEXTSWXMIBFINL.SSE

VIRT-XFTSE

Middleware (MQ, TIB/RV etc.)

Risk-system

Order

entry

Robotic Trading

FIX

Internet

Settle-

ment

1.

Orderentry

2.

Market

3. Trades

Dokumentation

Order

entry

Electronic Execution