Neonet demonstrates superior trading performance using Smart Order Routing and extended market access

Neonet demonstrates superior trading performance using Smart Order Routing and
extended market access

Independent benchmarking and analytics identifies significant price improvement
from employing SOR and MTFs.

Stockholm, Sweden, February 1, 2012 – Neonet, the independent equity execution
services provider, today announced findings from a series of benchmarks that
illustrate the benefits from implementing Smart Order Routing (SOR) and
extending market access from primary exchanges to Multilateral Trading
Facilities (MTFs).

Neonet recently entered a partnership with IFS LiquidMetrix to incorporate
independent analytics and quality assurance tools with its equity execution
services. Using these tools, Neonet can now analyze the performance of trade
flows on individual or multiple trading venues with millisecond precision – a
requirement for evaluating sophisticated Smart Order Routing (SOR) engines, such
as those provided by Neonet.

Applying the LiquidMetrix analytics toolset, a study was conducted by Neonet on
trading in Nordic stocks. It verifies that the Smart Order Routing operating
with access to multiple trading venues including MTFs, contributes to raising
the overall execution quality available to clients. This results in a
significant price improvement when compared to trading the primary exchange
only.

“We see a strong market focus on “cost only” when it comes to execution
analytics,” said Carl-Johan Wallin, Global Head of Sales, Neonet Securities.
“While cost certainly is important, we would like to shift the emphasis to
execution quality. Our study clearly shows the significant benefits you can
obtain by employing a good Smart Order Router and access to alternative trading
venues.”

The findings from the study include:

  · Having access to all MTFs corresponds to a price improvement by just over
0.65 basis points for Swedish stocks.
  · Neonet’s SOR execution technology executes at or better than the EBBO
(European Best Bid and Offer) price at a rate of 99.62%.

“We welcome Neonet’s efforts to inform the market about execution quality on the
MTFs, which regularly offer prices that improve upon those offered by the
listing markets,” said Paul O’Donnell, chief operating officer of BATS Chi-X
Europe. “Market participants should have access to readily available execution
quality data to avail themselves of the price improvement opportunities that
MTFs can provide, and Neonet’s approach to benchmarking and analytics is
consistent with BATS Chi-X Europe’s efforts to promote market transparency.”

“We highly appreciate Neonet’s transparency and flexibility,” said Bernhard
Lamark, Head of Trading, SpareBank 1 Markets AS. “For Best Execution to be a
meaningful concept, we need the ability to monitor trading performance, with
tools that fairly and accurately measure and compare quality and costs. Neonet
now provides all this in a very straightforward and accessible manner.”

On October 18, 2011, Neonet announced a partnership with IFS LiquidMetrix to
provide execution performance quality assurance. Neonet’s goal is to lead the
market in advising clients and investors about execution benchmarking, and to
provide the most in-depth, independently verified data to enable this.

“This execution performance study is an excellent example of how innovative
firms like Neonet could make use of our tools”, said Sabine Toulson, Managing
Director, IFS LiquidMetrix. “Our service enables the most technically advanced
brokers, including Neonet, to measure, quantify and optimize their execution
performance in today’s fragmented equity markets.”

For further information, and more details about the execution performance study
referred to above please contact sales@neonet.com

About Orc Group
Orc Group is a leading provider of technology and services for the global
financial industry. Orc delivers trading and market access solutions that are
used by proprietary trading and market making firms, investment banks, hedge
funds and brokerage houses.

The Orc Group serves customers through three business units, each with
distinctive offerings:

  · Orc develops and provides the tools needed to run profitable trading and
brokerage businesses.
  · Neonet offers professional market participants flexible, independent and
transparent execution services.
  · CameronTec is the financial industry leader in FIX infrastructure and
connectivity solutions.

With market presence in all major global financial centers, Orc provides sales
and support services from its offices across the EMEA, Americas and Asia-Pacific
regions.

Orc Group is publicly traded on NASDAQ OMX Stockholm (SSE: ORC).

For additional information, visit www.orc-group.com

Media contacts:
Neonet: Joacim Wiklander, CEO, Tel. +46 (0) 739 01 02 40
Orc Group: Christine Blinke, VP Marketing and Investor relations, Tel. +46 (0)
739 01 02 01