WH Expert Elite Direct access buy side trading platform Guarantees: - PowerPoint PPT Presentation

WH Expert Elite Direct access buy side trading platform Guarantees: significant cost savings, superior execution speed, execution breadth and anonymity Cost savings, speed and execution breadth are certainly three of the primary benefits buy-side firms are deriving from direct access. WST, Robert Sales www.whexpert.com

WH Expert Elite 1. The advantages of direct access 2. Main features + some particular features 3. Straight-through processing (STP) 4. Compare to Instinet 5. Free trial – rate indication … institutional clients are now clamoring for increased efficiency, price transparancy, and lower trade costs. And one of the ways they think they can achieve this is through direct access technology. Celent Comms, Fritz McCormick

Why use our direct access platform? Client Broker decides Broker - Execute in market Order - Trade against order flow Website/Tel/Instinet - Sell order to other broker - Wait for match - Trade only in broker’s book Route your own order to Order - Stock exchange platform Direct access or - ECN + manage the order yourself Direct access Direct access Extremely FAST Extremely FAST Get the BEST execution PRICE Get the BEST execution PRICE Manage your ORDERS very tightly – see them in level2 orderbook Manage your ORDERS very tightly – see them in level2 orderbook Order spread in the market guarantees ANONYMITY Order spread in the market guarantees ANONYMITY

Direct access to what? Smart direct A. Stock exchange platforms Smart direct A. Stock exchange platforms order routing order routing ISI (DOT & SuperDOT): NYSE & AMEX to : to : SNET (450 Market makers) + SOES: NASDAQ Options markets (5) B. Electronic Connectivity Networks (ECN) B. Electronic Connectivity Networks (ECN) Island (ISLD) Archipelago (ARCA) Globalnet (GNET) Bloomberg Etc. C. Automated order routing C. Automated order routing

WH Expert Elite 1. The advantages of direct access 2. Main features + some particular features 3. Straight-through processing (STP) 4. Compare to Instinet 5. Free trial – rate indication

Main product features • Windows based – design your own lay-out • Manage your own orders • Instant order confirmation • Quotes directly from NQDS • Market, limit & stop orders (incl. Trailing) • GTC orders • Island reserve orders • Extremely stable • Advanced technical analysis package Level2 – Order entry – Time & Sales Order Manager

Create your own stock baskets

Stock scanner

Options calculator and charting

Order entry can be done individually or in a batch • Enter orders individually Note: see also page ? for a detailed order entry screen • Enter orders and then • batch place orders or • place orders individually Note: as detailed in the chapter on STP, order entry can also be fully automated

WH Expert Elite 1. The advantages of direct access 2. Main features + some particular features 3. Straight-through processing (STP) 4. Compare to Instinet 5. Free trial – rate indication

Straight-through-processing is possible Order entry 1. Manual (traders can work the orders) Order entry and/or 2. Automated via FIX API link (e.g. computer generated trades) Trade confirms 1. ‘Live’ drop copy in FIX protocol via VPN Trade confirms or 2. Hourly/daily copy via VPN or e-mail Note: You can either use your own prime broker (DVP account) or use ours, Penson Financial Services Inc. Penson already serves large clients such as Charles Schwab and GNI. Using our prime broker is cheaper and easier but the choice is yours.

WH Expert Elite 1. The advantages of direct access 2. Main features + some particular features 3. Straight-through processing (STP) 4. Compare to Instinet 5. Free trial – rate indication

WH Expert Elite guarantees the best execution prices Trial : On 19.12.2001 between 20.10 & 21.10 hrs CET we compared at random time intervals the Instinet quote with the WH Expert Elite quote of two stocks DELL & MSFT. In both cases WH Expert Elite gave superior execution prices (and these are some of the most liquid stocks). Note: request a free real-time demo and you can do the same test on your most frequently traded stocks. WE SELL MICROSOFT WE BUY DELL HOUR DIRECT ACCESS INSTINET BETTER THAN INSTINET DIRECT ACCESS INSTINET BETTER THAN INSTINET 28,77 28,79 0,02 69,70 69,67 0,03 20.10 28,69 28,72 0,03 69,65 69,65 0 20.17 20.23 28,76 28,77 0,01 69,68 69,66 0,02 20.26 28,71 28,74 0,03 69,79 69,73 0,06 20.31 28,60 28,65 0,05 69,71 69,70 0,01 20.36 28,83 no quote 69,60 69,51 0,09 20.40 28,81 28,81 0 69,52 69,52 0,00 20.46 28,80 28,80 0 69,67 69,58 0,09 20.50 28,80 28,82 0,02 69,60 69,57 0,03 20.53 28,81 28,83 0,02 69,68 no quote 21.01 28,81 28,82 0,01 69,56 69,55 0,01 21.04 28,80 28,80 0 69,52 69,49 0,03 21.90 0,19 0,37 Total number of orders: 12 Total number of orders: 12 Assume: 1.000 shares/order Assume: 1.000 shares/order Total saving vs Instinet on these 12 orders: $190 Total saving vs Instinet on these 12 orders: $370 Assume: 20.000 orders/month. Average saving: $316.000/month Assume: 20.000 orders/month. Average saving: $616.666/

WH Expert Elite 1. The advantages of direct access 2. Main features + some particular features 3. Straight-through processing (STP) 4. Compare to Instinet 5. Free trial – rate indication

Would you like to do a free real-time trial? Our base rates are competitive: For a FREE real-time trial Our base rates are competitive: For a FREE real-time trial USD 0.015/share* + ECN fees if applicable Return by fax to: +352 422 575 25 USD 0.015/share* + ECN fees if applicable Return by fax to: +352 422 575 25 If you provide an answer, however, to these 6 If you provide an answer, however, to these 6 questions we will submit an aggressive quote questions we will submit an aggressive quote Full Name: …………………………………………. 1. On average, how many orders do you do every month? 2. On average, how many shares do you trade a month? Company: …………………………………………. 3. What is your average ticket size? E-mail: …………………………………………. 4. What % of your trades are Nasdaq vs. NYSE & Amex? Telephone: …………………………………………. 5. What is the total amount of assets associated with your U.S. trading? Language:…………………………………………... 6. What is your current method of routing orders? At what cost? * Plus a DVP charge if you prefer a DVP account If you do retail size orders, when can quote a fixed fee per order