Flow Traders : AGM 2024 Presentation

1 3 J U N E 2 0 2 4

Flow Traders Ltd.

Annual General

Meeting

Disclaimer

This presentation is prepared by Flow Traders Ltd. and is for information purposes only and the material contained in this document is provided 'as is'. It is not a recommendation to engage in investment activities and you must not rely on the content of this document when making any investment decisions. The information in this document does not constitute legal, tax, or investment advice and is not to be regarded as investor marketing or marketing of any security or financial instrument, or as an offer to buy or sell, or as a solicitation of any offer to buy or sell, securities or financial instruments.

The information and materials contained in this presentation are provided 'as is' and Flow Traders Ltd. or any of its affiliates ("Flow Traders") do not warrant the accuracy, adequacy or completeness of the information and materials and expressly disclaim liability for any errors or omissions. This presentation is not intended to be, and shall not constitute in any way a binding or legal agreement, or impose any legal obligation on Flow Traders. All intellectual property rights, including trademarks, are those of their respective owners. All rights reserved. All proprietary rights and interest in or connected with this publication shall vest in Flow Traders. No part of it may be redistributed or reproduced without the prior written permission of Flow Traders.

This presentation may include forward-looking statements, which are based on Flow Traders' current expectations and projections about future events, and are not guarantees of future performance. Forward looking statements are statements that are not historical facts, including statements about our beliefs and expectations. Words such as "may", "will", "would", "should", "expect", "intend", "estimate", "anticipate", "project", "believe", "could", "hope", "seek", "plan", "foresee", "aim", "objective", "potential", "goal" "strategy", "target", "continue" and similar expressions or their negatives are used to identify these forward-looking statements. By their nature, forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors because they relate to events and depend on circumstances that will occur in the future whether or not outside the control of Flow Traders. Such factors may cause actual results, performance or developments to differ materially from those expressed or implied by such forward-looking statements. Accordingly, no undue reliance should be placed on any forward-looking statements.

Forward-looking statements speak only as at the date at which they are made. Flow Traders expressly disclaims any obligation or undertaking to update, review or revise any forward-looking statements contained in this presentation to reflect any change in its expectations or any change in events, conditions or circumstances on which such statements are based unless required to do so by applicable law.

Financial objectives are internal objectives of Flow Traders to measure its operational performance and should not be read as indicating that Flow Traders is targeting such metrics for any particular fiscal year.

Flow Traders' ability to achieve these financial objectives is inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond Flow Traders' control, and upon assumptions with respect to future business decisions that are subject to change. As a result, Flow Traders' actual results may vary from these financial objectives, and those variations may be material.

Efficiencies are net, before tax and on a run-rate basis, i.e. taking into account the full- year impact of any measure to be undertaken before the end of the period mentioned. The expected operating efficiencies and cost savings were prepared on the basis of a number of assumptions, projections and estimates, many of which depend on factors that are beyond Flow Traders' control. These assumptions, projections and estimates are inherently subject to significant uncertainties and actual results may differ, perhaps materially, from those projected. Flow Traders cannot provide any assurance that these assumptions are correct and that these projections and estimates will reflect Flow Traders' actual results of operations.

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All results published in this release are unaudited.

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AGM Agenda

• Item

• Opening and announcements
  2 Report of the Board
  2.a Report of the Board for the financial year 2023 (discussion item)
  2.b Annual accounts for the financial year 2023 (discussion item)
  2.c Dividend policy (discussion item)
  2.d Dividend (non-binding advisory voting item)
  2.e Remuneration Report for the financial year 2023 (non-binding advisory voting item) 3 Composition of the Board
  3.a Proposal to re-elect Mr Jan van Kuijk to the Board (voting item) 3.b Proposal to elect Mr Owain Lloyd to the Board (voting item)
  4 Authority to issue shares and exclude or limit pre-emptive rights 4.a Authority to issue shares (voting item)
  4.b Authority to exclude or limit pre-emptive rights (voting item) 5 Authority to purchase own shares (voting item)
  6 Auditor (voting item)
  7 Any other business and closing

3

1. Opening and announcements

• Item

• Opening and announcements

4

1. Opening and announcements

Rudolf Ferscha

Chairman & Non-

Executive Director

Karen Frank

Non-Executive Director

Jan van Kuijk Vice-Chairman& Non- Executive Director

Mike Kuehnel

Chief Executive Officer & Executive Director

Delfin Rueda Arroyo

Non-Executive Director

Hermien Smeets - Flier

Chief Financial Officer &

Executive Director

Linda Hovius

Non-Executive Director

Owain Lloyd

Chief Technology Officer

• Executive Director nominee

Paul Hilgers

Non-Executive Director

Other

Coen van Sevenhoven

Global Co-Head of Trading

Marc Jansen

Global Co-Head of Trading

Anke Snaak

Ernst & Young

Accounts LLP

Eric Pan

Head of Investors Relations

5

Test question

Will the AEX index be higher at the end of the year than it was on Jan. 1?

1. For
2. Against
3. Abstain

6

2.a Report of the Board

• Item

• Report of the Board
  2.a Report of the Board for the financial year 2023 (discussion item)
• 1. Report from the CEO and CFO
  2. Report from the Chairman
  3. Q&A

7

2.a.i - Report from the CEO and CFO

Discussion item

Mike Kuehnel	Hermien Smeets - Flier
Chief Executive Officer &	Chief Financial Officer &
Executive Director	Executive Director

8

2.a.i 2023 performance overview

ETP Value Traded (€bn)

Flow Traders

Market

51,811

43,081

1,7751,464

FY22FY23

Normalized EBITDA (€m) and margin

45%

208.2

31%

Normalized Total Income (€m)

NTI

Other income

460.6

1.1

299.8

459.5

300.3

-0.5

FY22FY23

Normalized Net Profit (€m)

150.2

Summary

	Market trading volumes and volatility
	across all major asset classes were
	subdued throughout 2023 and reached
	some of the lowest levels we have seen
	in the past decade.
	Market ETP Value Traded decreased by
	17% FY23 vs FY22.
	Flow Traders ETP Value Traded
	decreased by 18% in FY23 vs FY22.
	Flow Traders recorded a Normalized
	Total Income of €299.8m in FY23 vs
	€460.6m in FY22.
	Flow Traders recorded a Normalized
	EBITDA of €92.2m, with a margin of 31%,

92.2

59.5

FY22

FY23

FY22

FY23

down from €208.2m and with a margin

of 45% in FY22.

 The firm generated Normalized Net

Profit of €59.5m in FY23 vs €150.2 in

FY22.

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2.a.i 2023 regional performance overview

Market ETP Value Traded (€bn)

2,371

2,039

EMEA

FY22FY23

44,675

35,875

Americas

FY22FY23

Flow ETP Value Traded (€bn)		NTI (€m)
787		313
	617
					162
FY22	FY23			FY22	FY23
892		92	83
	753
FY22	FY23			FY22	FY23

Summary

	Flow Traders maintained strong positions
	throughout 2023 amidst subdued market
	trading volumes and low volatility which
	resulted in lower turnover and tighter
	bid/ask spreads.
	The firm continued to invest in the digital
	assets space with noticeable results in
	EMEA and the Americas given the
	increased institutional interest over the
	past year, which further increased due to
	the SEC's U.S. Spot Bitcoin approval and
	subsequent listings in the U.S. in Jan
	2024.
	We grew our international ETF equity
	offering by leveraging its existing

4,764

Asia

5,168

96

93

55

55

	capabilities, adding ADRs to our product
	coverage.
	Expanded our Americas footprint with
	the establishment of the Chicago office.
	Positive contribution from our China

FY22FY23FY22FY23FY22FY23

Note: Asia market ETP value traded excludes China

trading operations in the first year

following the approval of our QFII license

and opening of our Shanghai office.

10