Flow Traders Ltd · EURONEXT:FLOW
Flow Traders — Q3 2016 Earnings Presentation
14 slides from Flow Traders's earnings presentation, 2016
Slide 1: Investor Presentation 3Q 2016 results
Flow Traders Investor Presentation 3Q 2016 results Flow Traders |
Slide 2: Disclaimer
Disclaimer This presentation is prepared by Flow Traders N.V. and is for information purposes only and the Forward-looking statements speak only as at the date at which they are made. Flow Traders material contained in this document is provided ‘as is’. It is not a recommendation to engage in expres
Slide 3: An introduction
An introduction Founded in January 2004 with offices in Amsterdam, New York and Singapore Flow Traders trades in all time zones Our core business is providing liquidity for ETPs1 Around 100 traders providing continuous ETP liquidity on 97 trading venues worldwide We are listed on Euronext in Amsterd
Slide 4: Flow Traders at a glance
Flow Traders at a glance AMERICAS EUROPE ASIA (since 2009) (since 2004) (since 2007) ETP AuM(€bn) ETP AuM(€bn) ETP AuM(€bn) 2,228 511 278 FLOW ETP FLOW ETP Value Value Traded FLOW ETP Value Traded (€bn)* FTE FTE Traded (€bn) * FTE (€bn) * 129 49 289 226 23 50 ETP AUM as at 30 September 2016, ETP Val
Slide 5: Our corporate culture supports our leading market position
Our corporate culture supports our leading market position High-growth underlying market driven by secular shifts in the asset management industry ETP Critical component of the ETP Ecosystem Pricing Excellence Leading global technology-enabled ETP-focused liquidity provider Strong Team-Driven Cultur
Slide 6: Critical component of the ETP Ecosystem
Critical component of the ETP Ecosystem ETP creation / redemption >25 ETP issuers Providing liquidity to the global ETP market, Primary Market fostering primary issuance and secondary trading ETPs vs basket of assets / cash Facilitating primary Ability to create and redeem daily issuance through Aut
Slide 7: 3Q results overview
3Q results overview Flow Traders | Investor Presentation 7
Slide 8: Executive summary 3Q performance
Executive summary 3Q performance We have increased our market share in the third quarter as we grew in ETP Value Traded, confirming our position as leading global ETP liquidity provider Slow market trading activity, with VIX close to all time lows, impacted our Net Trading Income (NTI) and Revenue C
Slide 9: ETP market continued to grow in 3Q16
ETP market continued to grow in 3Q16 ETP Assets under Management grew by 5.8% Net inflows trend remains skewed towards Quarterly increase in ETP listings driven by quarter-on-quarter Fixed Income & Equity products the Americas and APAC regions € bn € bn number 3,500 130 3,016 109 111 12,000 107 2,85
Slide 10: Resilient performance in a challenging environment
Resilient performance in a challenging environment KPIs Flow Traders Flow Traders NTI (in €m) YTD YTD In €bn unless otherwise stated 3Q16 2Q16 ∆ Sept16 Sept15 ∆ 350.0 Market ETP Value Traded 4,708 5,053 (7%) 15,826 15,984 (1%) 304.7 Europe 216 241 (10%) 723 735 (2%) 300.0 Americas 4,103 4,333 (5%) 1
Slide 11: Maintaining cost discipline to preserve operating margins
Maintaining cost discipline to preserve operating margins Impact of decline in Net Trading Income compensated by reduction in variable component of operating expenses 3Q 2Q 3Q16 vs YTD YTD Adj. YTD YTD16 vs Consolidated (in €m) 2016 2016 2Q16 Sep 16 Sep 15 Sep 15 adj. YTD-15 Net Trading Income 48.8
Slide 12: Preserved balance sheet strength
Preserved balance sheet strength Capital management resulted in stable trading capital, despite payment of interim dividend Condensed consolidated Financial Position Development of regulatory capital Condensed Balance Sheet (In €m) ∆ 30 Sept 16 400 Assets 30 Sep 16 31 Dec 15 vs. 31 Dec 15 340.0 350
Slide 13: Long term historic growth trend continuous
Long term historic growth trend continuous Despite varying levels of volatility through the years, Flow Traders NTI growth trend has consistently outperformed the market AuM growth trend Flow Traders’ NTI (in €m), Market’s AUM ($Bn) and VIX annual average (%) since 2010 NTI (€m) AUM ($bn) NTI 350 AU
Slide 14: Recognition of our expertise and market leading position
Recognition of our expertise and market leading position Nine consecutive Four times winner years running ETF MARKET ETF MARKET MAKER MAKER Europe Asia-Pacific 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013 | 2015 2011 | 2012 | 2013 | 2014 | 2015 Four consecutive Three times winner years running ETF