BROKER-DEALER

FIS' Fox River

2 FIS' Fox River: Broker-dealer Followed by Trade Execution

FIS’ Fox River Execution Solutions (Fox River) provides trading technology that helps improve execution quality, minimize information leakage and decrease overall execution costs. As a provider of high-performing algorithms, Fox River has no bias toward execution venues and offers Trader Logic technology, algorithms that blend the human logic of a professional trader with precise mathematical formulas.

Algorithms that think like a traderFIS' Fox River algorithms are designed to pick the right price and time to trade. Instead of focusing on benchmarks, our algorithms are built to help seek and secure the best possible price. We do this with embedded Trader Logic short-term alpha signals that are designed to locate profitable trading opportunities within the context of the algorithm’s strategy.

FIS' Fox River Suite of Algorithms

How it works: leverages alpha for the execution regardless of the algorithm

15.73

15.71

15.69

15.67

15.65

15.63

15.61

15.59

15.57

15.55

15.53

15.51

0.15

0.13

0.11

0.09

0.07

0.05

0.01

-0.01

-0.03

-0.05

-0.07

-0.09

-0.11

-0.13

Ask Bid Alpha Signal Fill-Sell

Pric

e Alpha

14:36:00 14:37:00 14:38:00 14:39:00 14:40:00 14:41:00 14:42:00 14:43:00 14:44:00

Stock higherSignal gone

Execute sales

Sell receipt

Positivealpha signalsdelay sales

Detects mean reversion

delay sales

These short-term signals are based on the insights human traders add to the trading process. Fox River offers the following algorithms.

● POV: Percent of volume (POV) strategy designed to control execution pace by targeting a percentage of market volume.

● Fox Alpha: Participation rate algorithm that uses Fox River alpha signals with the goal of achieving best execution.

● Fox VWAP: A volume-specific strategy designed to execute an order targeting best execution over a specified time frame. Allows the user flexibility to control how much the strategy has to be ahead or behind the expected volume.

● VWAP: A passive volume-specific strategy designed to execute an order targeting best execution over a specified time frame.

● Fox TWAP: A time-weighted algorithm that aims to evenly distribute an order over user-specified duration using Fox River alpha signals. Allows the user flexibility to control how much leeway the model has to be off the expected fill rate.

● TWAP: A passive time-weighted algorithm that aims to evenly distribute an order over the user-defined time period.

● Fox Pyramid: A dynamic single order ticket strategy that changes behavior and aggressiveness based on user-defined pricing tiers.

● Fox Blaster: Aggressive arrival price strategy for traders who “pick their spots” based on their own market signals.

● Fox Dark Attack: Liquidity seeking dark strategy with the ability to dynamically slide between targeted levels with a single numeric input in an effort to minimize market impact.

FIS' Fox River: Broker-dealer Followed by Trade Execution 3

Fox Blaster

Stealth strategies for maximized liquidity absorptionUsing a combination of our short-term alpha signals and your instinct, Fox BlasterTM is a stealth strategy that is tailored to your needs and trading style. The Blaster strategy creates a dynamic blast zone that allows it to absorb liquidity within reasonable price movements.

● Designed for traders who like to pick their spots

● Trades aggressively with a focus on trades with short-term alpha

● Dual logic to work orders when short-term alpha is realized

● Customizable to each trader’s needs and market conditions

Fox Blaster: dynamic blast zone

16.25

16.15

16.05

15.95

15.85

15.75

15.65

Price Moving average MA +/– 1SD

No alpha

Partial alpha

Full alpha

Partial alpha

No alpha

Time

FOR ILLUSTRATIVE PURPOSES ONLY

Fox Dark AttackFox Dark Attack provides access to dark venues with a single input that allows traders to pick their spot within the spread to grab hidden liquidity.

● Single-digit input controls dark tactics

● Access to all the major dark pools and hidden liquidity at lit venues.

● Venue selection may be customized down to the trader

Dark Attack Setting 1 2 3 4 5 6 7 8 9 10

PING Join Join Between Join & Mid

Between Join & Mid

Mid Mid Between Mid & Cross

Between Mid & Cross

Cross Cross

REST No Join Join Between Join & Mid

Between Join & Mid

Mid Mid Between Mid & Cross

Between Mid & Cross

Cross

Most aggressive

● Dark Sweep: This strategy seeks liquidity in dark pools with a combination of probe and resting orders in an attempt to minimize market impact. Works child orders at better of limit price or current market price.

● Fox Spotlight: An ETF-only strategy designed to minimize market impact. This algorithm is designed to assess market impact and if orders are a large percentage of ADV (average daily volume), the strategy will attempt to minimize impact while completing the order.

● Reverse IS: Smart MOC (market on close) strategy that places a portion of the trade on the close and works the balance prior to the close using Fox Alpha.

● Fox Smart Order Router: A strategy designed to provide intelligent liquidity-taking logic that adapts to a variety of real-time factors such as order attributes, market conditions and venue analysis.

4 FIS' Fox River: Broker-dealer Followed by Trade Execution

Fox SOR vs. Standard SOR

Fox River SOR Standard SOR

Parallel sweeping Sequential sweeping

Multi-factor, real-time and historic venue ranking Periodically updated static scoring

Symbol- and index-driven dark pool heat mapping Static order-level dark pool routing/rebalancing

Responds to market maker Indications of Interest Blind pings market makers

Unbiased venue routing and order matching Optimize internal ATS or market making book

Dynamic sweep logic varies according to order attributes, market conditions and venue analysis

One-size-fits-all sweep logic

Full venue and liquidity transparency in FIX messages and daily reports Non-displayed venues reported as simply “dark”

Venues excluded at client request Venue selection controlled exclusively by vendor

Configurable end-time behavior Basic cancel or post end-time behavior

Fox SOR sweep types and corresponding behavior

Sweep type Behavior

Flashlight Sweep hidden and displayed liquidity based on order attributes and market conditions and then cancels balance if the order is not completed

Flashlight-Post Sweep hidden and displayed liquidity based on order attributes and market conditions and then post balance

Fox Smart Order Router with Flashlight parameters

Configureable, dynamic and low latencyThe Fox Smart Order Router (SOR) is designed to provide liquidity taking logic that adapts to a variety of real-time factors, including order attributes, market conditions and venue analysis.

Pyramid strategy

Symbol KO

Side B

Shares 50,000

Price POV rate

Order 69.81 20%

1st level 69.75 30%

2nd level 69.70 40%

3rd level 69.60 100%

Fox PyramidFox Pyramid allows traders to set multiple contingent participation levels for a single trade. Fox Pyramid is used with an underlying algorithm.

● For traders who like to vary their aggressiveness based on market conditions

● Provides the ability to have multiple instructions on a single trade and single ticket

● Superior to “one cancels other” and similar order types

● Up to four levels of aggressiveness

FIS' Fox River: Broker-dealer Followed by Trade Execution 5

Canadian algorithmsFox River has taken market data and microstructure information unique to Canada and embedded specific Trader Logic technology in our Canadian algorithms. Traders of U.S. or Canadian symbols in inter-listed names enjoy the benefits of accessing liquidity in both markets wherever the best price exists.

● Full inter-listed trading capabilities in either direction with settlement in CAD or USD.

● Inter-listed fills are handled seamlessly on a single ticket.

● Use current U.S. ticket to access Canadian symbols with a simple certification process to ensure no symbol ambiguity.

● Access major Canadian lit and dark sources of liquidity.

● Preferences venues strictly according to best price and liquidity.

At your serviceFox River takes a high-touch approach to a traditionally low-touch business, with a commitment to working only in our clients’ best interests. In addition, Fox River has a sales trading desk. Fox River’s traders help firms pursue their unique trading objectives with a focus on superior service. The Fox River team of traders, analysts and developers are available by phone, IM or email; from pre-open to post-close.

About FIS

FIS is a global leader in financial services technology, with a focus on retail and institutional banking, payments, asset and wealth management, risk and compliance, consulting and outsourcing solutions. Through the depth and breadth of our solutions portfolio, global capabilities and domain expertise, FIS serves more than 20,000 clients in over 130 countries. Headquartered in Jacksonville, Florida, FIS employs more than 53,000 people worldwide and holds leadership positions in payment processing, financial software and banking solutions. Providing software, services and outsourcing of the technology that empowers the financial world, FIS is a Fortune 500 company and is a member of Standard & Poor’s 500® Index. For more information about FIS, visit www.fisglobal.com.

©2019 FISFIS and the FIS logo are trademarks or registered trademarks of FIS or its subsidiaries in the U.S. and/or other countries. Other parties’ marks are the property of their respective owners. 703895

www.fisglobal.com getinfo@fisglobal.com

Fox River Execution Solutions and SGN brokerage services offered within the United States and Canada are provided by FIS Brokerage & Securities Services LLC, Member NYSE, FINRA, SIPC.

Institutional investor use only