TRADE HUNTER A Trading Algo from Torion JVG Ltd

Torion Joint Venture Group UK Limited Company Set up to design and build currency trading algorithms to be sold under license to hedge funds Number 20 in the Top 100 IP companies for 2017 Founded and funded by Tony and Dr Julie Stephens

TONY STEPHENS IT professional Specialist in Bank trading networks FX Trader Member of CISI IMC candidate City Equities, FX and Options Front Office experience Designer of Trade Hunter

TORION TRADING ALGOS Hedge funds and proprietary trading firms use currency trading programmes (algos) to generate income Top 10 hedge funds in the world use algos with a z profile (consistency rating) of 0.7. The best z profile possible is 1 The first algo Torion deployed was an algo with a z profile of 0.76. It generated modest revenue and traded infrequently. It plateaued in 2016 TRADE HUNTER has a z profile of 0.9, Alphas of 150 and Sharpe Ratio 3. It trades frequently and has high returns with little to no losses

TRADE HUNTER PERFORMANCE SUMMARY Trade Hunter is under going evaluation by a fund in London. They have generated the following based on Eur/Jpy in 2013 Strategy Performance Summary All Trades Long Trades Short Trades Net Profit 10172 n/a Gross Profit 14582 Gross Loss -4410 Adjusted Net Profit 4939.153719 Adjusted Gross Profit 11321.36568 Adjusted Gross Loss -6382.211956 Select Net Profit 7380 Select Gross Profit 9642 Select Gross Loss -2262 Account Size Required 2148 Return on Account 473.556797 Return on Initial Capital 10.172 Max Strategy Drawdown -3331 Max Strategy Drawdown (%) -3.171384232 Max Close To Close Drawdown -2148 Max Close To Close Drawdown (%) -2.048230683 Return on Max Strategy Drawdown 3.053737616 Profit Factor 3.306575964 Adjusted Profit Factor 1.773893715 Select Profit Factor 4.262599469 Max # Contracts Held 1 Slippage Paid Commission Paid Open Position P/L -547 Annual Rate of Return 13.43461095 Monthly Rate of Return 1.119550913 Buy & Hold Return 20159.06441 Avg Monthly Return 962.5 Monthly Return StdDev 1579.31534 Total # of Trades 25 % Profitable 80

PERFORMANCE RATIOS AND TIME SUMMARY TRADE HUNTER PERFORMANCE RATIOS AND TIME SUMMARY Performance Ratios Upside Potential Ratio n/a Sharpe Ratio 0.502883195 Annualized Sharpe Ratio 1.742038486 Sortino Ratio 2.568246518 Fouse Ratio 0.009308028 Calmar Ratio 0.050848074 Sterling Ratio 0.001993466 Net Profit as % of Largest loss 473.556797 Net Profit as % of Max Trade Drawdown 320.9845377 Net Profit as % of Max Strategy Drawdown 305.3737616 Select Net Profit as % of Largest loss 343.575419 Select Net Profit as % of Max Trade Drawdown 232.881035 Select Net Profit as % of Max Strategy Drawdown 221.5550886 Adj Net Profit as % of Largest loss 229.9419795 Adj Net Profit as % of Max Trade Drawdown 155.8584323 Adj Net Profit as % of Max Strategy Drawdown 148.2784065 Time Analysis Trading Period 9 Mths, 6 Dys, 13 Hrs, 10 Mins Time in the Market 21 Dys, 1 Hr, 45 Mins Percent in the Market 7.61996836 Longest flat period 1 Mth, 27 Dys, 13 Hrs, 30 Mins Max Run-up Date 23/05/2013 Max Drawdown Date 11/06/2013 Max Strategy Drawdown Date 11/06/2013 14:20 Max Close To Close Drawdown Date 11/06/2013 19:20

TRADE HUNTER EQUITY CURVE

FEATURES Functional transparency. Should there be a technical problem (e.g price data disconnection or excessive volatility) – the reasons why Trade Hunter exits a trade are readily identifiable and explicable Consistency. Using databases of 6 years price history Trade Hunter has shown that is it is highly repetitive on 6 currency pairs on a daily basis Unchangeable. As Trade Hunter is so consistent it requires no updating or intervention to improve performance. There is no deterioration over time Expandable. Further currency pairs will be added in the short term. Research indicates that the Trade Hunter design model can be applied to commodities (e.g gold, US oil and UK oil) as well as equities

MARKET Trade Hunter will be available to a limited number of hedge funds in the UK and then globally Feedback from UK funds has identified the fact that an extensive market base is not attractive to them The proposal is to make available 5 licenses per territory 20 territories identified

SALES STRUCTURE Trade Hunter is to be made available under license for an annual fee Fee is also linked to a performance bonus based on improved profit figures Sales are to be done by team at partner fund

TRADE HUNTER MODULES ANALYTICAL ENGINE Analyses overnight trading data and passes it on to the Market Monitor MARKET MONITOR Market Monitor assesses market reaction to overnight trading and projects trading levels for the day TRADE PLACEMENT MODULE Places trades on the basis of instructions from the Market Monitor

PRODUCT DEVELOPMENT ANALYTICAL ENGINE Fully tested, operational and implemented. Requires technical upgrade. MARKET MONITOR Fifty man days to code and test. Profitable in discrete modular stages at present TRADE PLACEMENT MODULE Five man days to code test and implement TOTAL ELAPSED TIME Three months to complete

FUNDING For Torion JVG Ltd to acquire the Intellectual Property Rights to Trade Hunter Also needed for software development, marketing and sales support costs

INVESTMENT OPPORTUNITY Discussions on-going with a fund to pay for the Monitor software development and cover the costs of marketing and sales of Trade Hunter in return for shares in Torion JVG Ltd The cost of acquiring the IP rights to Trade Hunter is yet to be set The IP is valued at half a billion by Metis Partners on behalf of Yorkshire and Clydesdale Bank who have listed Torion JVG as number 20 in their top 100 IP companies in the UK Equity position is available for negotiation