Financial Data Provider of Chinese State-Owned Enterprises Hong Kong, 2014 Mont Royal Capital, Inc. Financial Data Provider of Chinese State-Owned Enterprises

Mission Statement Business Model Mont Royal Capital (“the Company”) aims to reduce information asymmetry between the Chinese state owned enterprises (“the SOE”) and the private economy. The Company strives to produce financial data adjustments for our clients through analytic methods in hopes to eliminate market friction. The Company develops digital solutions to streamline data supply chain of authenticated financial filings for clients to assess investment opportunities within the SOE market domain. Business Model Cultivate and extend relationships with the state owned enterprises, public exchange, and regulators. Gather legal insider information from government and government-related agencies. Collect tax reports, utility usage, and other logistical data of interest. Employ modern analytical methods to improve financial data quality. Streamline data input and output through centralized big data cloud technology Implement statistical algorithms to capture characteristics and patterns of data fabrication Provide authenticated filings, insider data, economic sentiments, and liquidity pool assessments Develop real-time desktop terminal application for private and institutional investors

Credit Banking System – the Paternalistic Commander National Development and Reform Commission (NDARC) State agency to lead economic growth and reforms Directly report to the National People’s Congress Juristic overseer of the state owned enterprises (SOE) Influence the Central Bank thus commercial banks Receive SOE performance evaluations Big 4 Banks Endorse risk free capital credits to the SOEs Originate for-profit loans to private economy Execute monetary policies from the Central Bank State Owned Enterprises For-profit state owned economy participants Political consequences for bad performances Unlimited free liquidity access in theory SOE Economy Opaque to the Private Economy NDARC Instruct Loan Report Payment Banks Private Economy Endorse Payment State Owned Enterprise

Weak Legal Institutions – the Premature Market Unreliable Financial Data Accounting Manipulations Discreditable Reports High Costs of Auditing Unreasonable Regulations State Owned Enterprises Lack of Incentive to produce quality financial data to the public Soviet Commander-styled Board of Trustee from communist party senior political elites Principle-agent conflict of interest Low Financial Data Integrity from the SOEs ROE of Loss Making Firms (2014) Source: Wind Information

SOE Window Dressing Solutions Related Party Transactions (RPT) Internalized cash investment and capital gains Converting receivables to cash equivalents via Bank’s Acceptance Bill Outsourcing, capital rentals, and Merger & Acquisition Methodology Highlights Data from insider information and Related Party Transactions (RPT) Data published by related SOE companies and other industrial sectors Parcels delivered by logistic companies Data based on activities within the publically listed corporations Data collected by government or government-related agencies Local railway transportation and logistical data Healthcare expenses Tax Reports Electricity expenses Water expenses

Budgeting Startup Assets 3-Year Cash Flows $213K Start-up Investment $100K Bank Loans $53K Investors Equity 3-Year Cash Flows Positive net cash flow in Year 3

Implementation Road Map

General Partners Advisory Committe X. Edward Cai JP Morgan, UC Berkeley Statistics Shuo. L. Liu McGill University Biomedical Sciences Advisory Committe G. Stahl Former Secretary General of E.U. Committee of the Regions (2004-2014) B. Holmstrom Professor, Nobel Laureate in Economics, MIT G. Mankiw Former Chair of Federal Committee of Economy P. Pavilina President, Hamersley Partners, LLP X. F. Tu CEO Jointown Pharmaceuticals Co. Ltd (SSE 600998) Y. H. Cai Director, CTO, Cofounder. Routon Electronics Co. Ltd (SSE 600355) Q. Z. Hu Director of Equity Research, Changjiang Securities Z. Z. Liu VP Fixed Income, JP Morgan X. Wu PhD, MSc Statistics, Research Fellow, Harvard University Y. Huang Ministry Director, Ministry of Health, PRC 8

Appendix 1 Financial Analysis Year Sales COGS Net Profit 2017 $1,500 $5,000 ($3,500) 2018 $15,000 $10,000 2019 $150,000 $50,000 $100,000

Appendix 2 Simulation Early Results 3214 Time Sensitive Financial Series From SSE and SZSE 35245 Signals Generated 62.49% Successful Forecasts 99.9999999% Significance Level Robust in Each Sub-period of 6 Months, Regardless of Bull or Bear Market Performance Blue: Portfolio ($970K AUM) Green: SPX Purple: EFA Orange: VT Green line: Number of losing forecasts for the given month Red line: Number of winning forecasts for the given month