1. Eric M. Karpman, PhD Bear, Stearns & Co. Inc. 212-272-3875 ekarpman@bear.com General Information on FIX Prepared For: FIX Seminar

2. FIX Protocol WHAT ? WHY ? HOW?

3. Timeline 1993 Fidelity/Salomon Initiative 1994 FIX Committee 1995 FIX Version 2.7 (Equities) 1998 FIX Version 4.1 (Equities, Derivatives) 2000 FIX Version 4.2 (Equities, Derivatives, Forex) 2001 FIX Version 4.3 (Equities, Derivatives, Forex, Fixed Income) 2003 FIX Version 4.4 (Equities, Derivatives, Forex, Fixed Income)

4. Protocol Model OSI: TCP/IP:FIX: Connection and Delivery Business Content

5. FIX Message Header Body Trailer Data Field: Tag_ID=Value

6. Message Example ----------------------------------------------------------------- 8=FIX.4.4^9=150^35=D^34=1^49=SENDER_FIRM^50= CUSTOMER_on_behalf_of^56=RECEPIENT_FIRM^52= 20050522-09:02:30^ 11=1^21=1^55=IBM^54=1^38=1000^40=1^44=73.42^ 10=76^

7. If You Speak XML … FIX Message -> XML Conversion Same Session Layer, New App Layer Representation... IBM 1000...

8. Normal Flow of Events Initial Connect Login Check MsgType, SenderCompID, MsgSeqNum Reverse of Login Acts as the Acknowledgement

9. FIX Connectivity - F.I.R.S.T.

10. Fixed Income Support (FIX 4.4) Products:Messages: Treasury bonds Corporate bonds Muni securities Agency secs MBS European bonds CPs Repos Indication of Interest (Offer) Quote Request (BW) Quote New Order Execution Report Allocation Confirmation 3 rd Party

11. New Initiatives 1.eSyndicate 2.Prime Brokerage 3.Market Data 4.International Swaps and Derivatives Association (ISDA) 5.Market Exposure