Financial Overview

September 2015
Executive Summary

September volatility remained higher than majority of 2015 and in result NTR was the 4 th best month in 2015.
NTR was led by our cash equities trading around the globe. Currently cash equities provide approximately
81% of our total NTR YTD. Europe and Asian Index Rebalancing also contributed approximately $800K in Sep
NTR.
Six teams are in the process of rolling out new strategies in various new products. This is consistent with our
plan to seed new teams that leverage our infrastructure and complement existing strategies. Success will help
diversify our revenue dependency on global cash equities. All new teams will not find success and appropriate
actions will continue to be considered. The 2016 budget process will provide the next opportunity to formally
consider targets and expectations.
Fixed Income is in a rebuilding stage and will be in a good position to provide growth in 2016. Some
exceptional work around microwave usage was driven by the FI team in October. This proved to be a great
example of the effectiveness of a more integrated approach. The FI team worked very closely with Network
and Core Dev teams and the results were only possible due to that close exchange of knowledge and
perspectives. FX has been fully migrated to Newedge and with the new financing line the team should be able
to grow the IHM trade to new levels. The EU market making strategy re-write is getting closer to hitting
production. The team will be better positioned in November to efficiently iterate through changes to make
the strategies more intelligent a process we successfully underwent in US Equities.
Direct Expenses remain largely under control and will continue to be analyzed for savings in order to maximize
our efficiency in spending. As of September year to date Sun is over budget by $2.1 million. Our largest driver
of expenses is employees and technology which represents 87% of the total direct expense. We are over
budget in employee costs largely due to recruiting and severance costs (note we consciously did not budget
for all projected trader hires entering 2015). The new internship program will help control and reduce the
recruiting cost in the future. Technology spend is under budget for 2015 and under 2014 levels. Technology is
a key ingredient to success for Sun and will continue to invest in areas where needed to maintain our
competitive edge. The remaining budget overrun is from the fixed asset write-off in August. These were
assets no longer in production from Toro and Endeavor transaction.
Operating margin is at 29% through Sep and off our target of 47%. Several projects are underway to improve
this margin: one reviewing any expenses that are not needed or being utilized, two promoting existing
successful strategies to new geographies and three seeding teams to better leverage existing platform. We
will be reviewing our strategic plans over next two months to ensure we enter 2016 aligned behind the right
plans to meet our targets.

Confidential

Page 1

Category
NTR
Other Revenue
Total Revenue
Employee Costs
Technology
Other Costs
Total Direct Exp
Operating Income

YTD
63,003
(465)
62,538
20,225
18,397
5,585
44,207
18,331

YTD Financial Snapshot

Budget
LYTD
79,088
70,130
43
(168)
79,130
69,962
18,956
17,749
18,783
19,567
4,308
5,645
42,047
42,961
37,083
27,001

YoB
(16,085)
(508)
(16,592)
(1,269)
386
(1,277)
(2,160)
(18,752)

FX Currency Impact
Currency
YTD NTR
2014 Avg 2015 Avg
AUD
5,631,825
0.89904
0.77483
CAD
2,606,878
0.90348
0.80127
EUR
2,488,333
1.32160
1.10910
GBP
767,586
1.64640
1.52788
JPY
2,135,104,706
0.00941
0.00830
CHF
1,954,485
1.08972
1.06119
Estimated Total for Main Currencies
(4,013,077)
Esitmated YTD P&L Impact **
(4,606,752)
** all currencies
Global Equities Volume and Volatility

YoY
(7,127)
(297)
(7,424)
(2,476)
1,170
60
(1,246)
(8,670)

NTR Analysis by Team

# Team
11 USE E&F
12 USE EFT Arb
13 USE Basket
14 USE Index Arb
15 USE Initial
17 ADR
18 USE Stat Mom
25 FX Initial
26 Futures Alpha
27 Futures Comm RV
28 Futures Active
30 EU EQ Initial
31 EU Futures
35 Asian EQ Initial
40 FI US
42 FI Initial
50 OPTIONS
Total NTR

Team
USE E&F
USE EFT Arb
USE Basket
USE Index Arb
USE Initial
ADR
USE Stat Mom
FX Initial
Futures Alpha
Futures Comm RV
Futures Active
EU EQ Initial
EU Futures
Asian EQ Initial
FI US
FI Initial
OPTIONS

Total
Location
Chicago
London
New York

Total

YTD
(27)
(76)
29
2,140
25,659
1,752
1,051
1,492
1
0
0
11,809
(419)
12,983
0
5,946
0
62,340

Budget
563
281
900
1,125
31,500
563
563
2,063
281
0
0
15,938
0
12,000
0
13,313
0
79,088

LYTD
0
0
0
0
24,955
(182)
37
1,481
0
0
0
12,342
0
9,497
506
10,698
(880)
58,454

NTR Team Diversification

Q2
Q3
0%
0%
0%
0%
0%
0%
0%
4%
32%
52%
3%
4%
0%
2%
2%
2%
0%
0%
0%
0%
0%
0%
24%
15%
0%
-1%
26%
17%
0%
0%
13%
6%
0%
0%
100%
100%
Diversification by Location
NTR YTD
Expense YTD Net Income YTD
40,134,261
23,334,203
16,800,058
17,336,935
13,907,260
3,429,675
4,840,754
6,613,087
(1,772,333)
62,311,950
43,854,550
18,457,400
Q1
0%
0%
0%
6%
35%
1%
3%
3%
0%
0%
0%
19%
0%
21%
0%
11%
0%
100%

Confidential

YoB
(590)
(357)
(871)
1,015
(5,841)
1,190
489
(571)
(280)
0
0
(4,129)
(419)
983
0
(7,367)
0
(16,748)

Q4

0%

YoY
(27)
(76)
29
2,140
704
1,934
1,014
11
1
0
0
(533)
(419)
3,486
(506)
(4,752)
880
3,886

YTD
0%
0%
0%
3%
41%
3%
2%
2%
0%
0%
0%
19%
-1%
21%
0%
10%
0%
100%

Aug-15 2014 vs 2015

0.70880
-14%
0.75131
-11%
1.12060
-16%
1.53760
-7%
0.00825
-12%
1.03413
-3%

Core MM
Volatility Change Sep Participation Participation Rate Change in
Core MM Sep Core MM Sep Core MM 2015 2014 YTD
Rate Sep
3 Mo Avg
Participation % 2015 NTR
2014 NTR
YTD Avg NTR Avg NTR
Region vs 3 mo Avg
AU

2.30%

3.98%

4.12%

-0.14%

278

87

316

16

EU

2.00%

3.18%

2.79%

0.39%

908

1,452

987

1,452

JP

5.10%

2.85%

2.86%

-0.01%

1,113

1,015

1,120

1,278

US

2.30%

2.35%

2.30%

0.05%

2,953

1,894

1,748

2,680

ZA

1.40%

3.09%

2.63%

0.46%

243

85

CA

0.00%

0.80%

0.79%

0.01%

146

75

145

27

(not including FX/Fixed Income or Commodity only strategies)

Volatility & Participation Rate
5.00%

25.00%

4.00%

20.00%

3.00%

15.00%

2.00%

10.00%

1.00%

5.00%

0.00%
AU
EU
Participation Rate Sep

JP
US
Participation Rate 3 Mo Avg

GL # Team
FTE
11 USE E&F
12 USE EFT Arb
13 USE Basket
14 USE Index Arb
15 USE Initial
17 ADR
18 USE Stat Mom
25 FX Initial
26 Futures Alpha
27 Futures Comm RV
28 Futures Active
30 EU EQ Initial
31 EU Futures
35 Asian EQ Initial
42 FI Initial
50 OPTIONS

0
1
2
2
10
1
1
7
0
2
2
4
2
1
4
0

39

Total

ZA
Volatility Sep

0.00%
CA
Volatility 3 mo Avg

NTR YTD Expense YTD NI YTD

Location
(26,971)
633,457
(660,428) NY
(76,532)
696,593
(773,125) NY
29
855,310
(855,281) NY
2,139,611 1,605,351
534,260 NY
25,658,845 15,455,648 10,203,197 CHI
1,752,196 1,297,649
454,547 NY
1,050,969
800,854
250,115 NY
1,492,294 4,291,269 (2,798,975) CHI
1,452
616,101
(614,649) NY
107,772
(107,772) NY
310,356
(310,356) CHI
11,809,485 9,432,714 2,376,771 LON
(419,027)
253,490
(672,517) LON
12,983,122 3,254,437 9,728,685 CHI
5,946,477 4,221,056 1,725,421 LON
22,493
(22,493) CHI
62,311,950 43,854,550 18,457,400

Operating Income Margin % of NTR

80.0%
60.0%
40.0%
20.0%
0.0%

65.1%

36.9%

49.8%
29.0%

39.0%

47.4%
29.3%

13.9%
2009

2010

2011

2012

2013

2014

2015
(YTD)

Budget
2015

Page 2

NTR Trending
Jan
Core Market Making
Asia Equities
968,219
Australia
252,610
Canada Equities
172,491
EU Equities
1,126,071
Fixed Income
660,102
Futures
FX
166,526
South Africa
US Equities
2,658,084
Total Core Market Making 6,004,103
Prop Strategies
EU Equities
Asia Equities
Fixed Income
Futures
FX
US Equities
Total Prop Strategies
Event Strategies
Asia Equities
EU Equities
Canada Equities
Futures
US Equities
Total Event Strategies
Total NTR
% of Core MM
% of Prop
% of Event
FTE
NTR per FTE

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

YTD

YTD Avg
Daily NTR

Trendline

2014 YTD

2014 AVG
Daily NTR

Growth

1,151,079
227,237
168,097
986,039
854,491
198,795
1,567,362
5,153,100

1,123,355
308,348
165,789
1,325,603
690,652
306,585
(1,371,194)
2,549,139

1,032,137
350,110
118,351
1,371,586
670,829
(19,506)
8,995
1,279,500
4,812,002

984,382
509,612
98,829
1,060,329
865,727
306,276
75,785
1,304,295
5,205,234

1,255,422
414,687
123,471
628,453
624,381
131,395
119,281
1,596,403
4,893,492

1,220,087
293,872
86,051
748,579
546,735
(319,341)
138,066
1,653,532
4,367,581

1,231,427
213,965
223,998
730,225
473,605
672,762
179,887
4,087,953
7,813,822

1,113,480
278,118
146,445
907,965
306,574
(2,211)
425,432
242,994
2,953,200
6,371,997

10,079,588
2,848,559
1,303,521
8,884,851
5,693,097
(2,211)
1,868,923
765,007
15,729,135
47,170,470

53,331
15,174
7,139
47,025
30,089
10,555
6,819
83,957
254,087

11,498,270
142,608
242,608
13,063,991
12,679,534
1,630,023
24,122,852
63,379,885

61,488
763
1,297
69,861
67,805
8,717
128,999
338,930

(8,157)
14,411
5,842
(22,836)
(37,716)
1,838
6,819
(45,043)
(84,843)

56,899
(3,780)
1,130,757
1,183,876

(102,612)
963,618
861,006

787
(23,877)
1,551,186
1,528,096

11,058
3,024
(360,182)
(346,100)

28,877
(11,799)
(2,359)
951,270
965,989

63,563
(90,104)
(44)
297,048
270,462

51,888
(1,595)
3,322
1,469,138
1,522,753

6,036
133,469
30,769
1,788,933
1,959,207

(13,583)
73,697
(66,698)
(34,076)
331,682
291,022

(13,583)
235,906
(103,293)
(6,169)
8,123,451
8,236,311

1,573
(981)
(176)
42,417
42,833

1,138,232
1,089,397
2,227,629

6,087
5,826
11,912

1,573
(7,068)
(176)
36,592
30,920

(38,124)
(96)
18,218
520,992
500,989

64,453
42,398
11,592
560,889
679,333

(93,213)
199,303
33,131
842,648
981,869

(2,058)
(7,586)
3,848
289,954
284,158

117,002
283,209
3,334
117,058
520,604

84,924
359,456
1,640
23,198
350,533
819,751

14,728
(20,400)
6,101
8,981
438,456
447,866

101,461
157,743
3,535
(40,022)
2,371,181
2,593,899

119,640
715,833
(220)
(434,581)
239,029
639,701

368,813
1,729,862
81,178
(442,423)
5,730,739
7,468,168

1,951
9,153
430
(5,085)
30,321
36,770

888,799
497,450
5,106,214
6,492,463

4,753
2,660
27,306
34,719

(2,802)
6,493
430
(5,085)
3,015
2,051

7,688,967
78%
15%
7%
133
57,812

6,693,439
77%
13%
10%
135
49,581

5,059,104
50%
30%
19%
139
36,396

4,750,060
101%
-7%
6%
139
34,173

6,691,827
78%
14%
8%
137
48,845

5,983,705
82%
5%
14%
136
43,998

6,338,199
69%
24%
7%
136
46,604

12,366,928
63%
16%
21%
135
91,607

7,302,720
87%
4%
9%
131
55,746

62,874,950
75%
13%
12%
131
479,961

333,690
76%
13%
11%
135
2,472

72,099,977
88%
3%
9%

3,277,272
10%
0%
1%

(2,943,582)

Diversification (Core)

Diversification (Prop)

Diversification (Event)

Diversification (Type)
12%
13%
Core Market Making

Prop Strategies
Asia Equities
Canada Equities
Fixed Income
FX
US Equities

Australia
EU Equities
Futures
South Africa

Confidential

75%
EU Equities

Asia Equities

Fixed Income

Futures

FX

US Equities

Asia Equities EU Equities

Canada Equities Futures

Event Strategies

US Equities

Page 3

Sun Financial Snapshot

in 000's
Trading revenue, net
Other Revenue
Total Revenue

Monthly (September)
Budget Variance
Last Yr
8,788
(1,493)
6,805
5
(82)
(103)
8,792
(1,574)
6,702

Actual
7,295
(77)
7,218

Actual
63,003
(465)
62,538

Year to Date
Budget
Variance
79,088 (16,085)
43
(508)
79,130 (16,592)

Last Yr
70,130
(168)
69,962

Total Expense
Bonus and related expenses
Operating Income

(4,958)
(1,211)
1,049

(4,538)
(1,761)
2,493

(420)
550
(1,444)

(4,324)
(1,019)
1,359

(44,207)
(9,945)
8,386

(42,047)
(15,849)
21,234

(2,160)
5,904
(12,848)

(42,962)
(12,708)
14,292

Total Restructure Costs

Foreign Income Tax Expense

0
292

0
(42)

0
334

0
(276)

0
376

0
(377)

0
753

0
(1,884)

1,341

2,451

(1,110)

1,083

8,762

20,858

(12,096)

12,408

Net Income
FTE
NTR Per FTE
Cost Per FTE
Daily NTR
Daily Cost
Operating Income Margin

131
55
-38
347
(236)
31%

141
62
-32
455
(216)
48%

-10
-7
-6
-108
-20
-17%

126
53
-34
324
(206)
35%

131
477
-337
333
(234)
29%

141
561
-298
455
(222)
47%

-10
-84
-39
-122
-11
-18%

126
555
-341
373
(229)
39%

Net Trading Revenue Analysis

Sept NTR (GAAP) was $7.3mil for the month compared to budget of $8.8 mil and Sep 2014 month of $6.8mil. Year to date NTR
is down by 20% (or $16mil) compared to budget. USE Initial led the month with $3.7mil in NTR, EU Equities $2.0mil and Asia
Equities $1.3mil. EU Futures lost $471K due to the EU Futures Expiry strategy. EU Equities outperformed target in Sep due to
the European and Asian Index Rebalance trade, NTR was approximately $835K. Overall, NTR YTD is approximately $7.1mil
lower than last year. Half of the variance is due to the March VIX error of $3.5 and remaining variance is due to the US dollar
strengthening against major currencies (especially Japanese Yen) - $4.6mil. Japanese Yen is down 12% comparing the average
USD/YEN conversion rate year over year. FTEs reduce temporarily in Sep to 131 which increased our NTR per FTE to 477K.
Operating margin YTD remained steady at 29% which is approximately 10% off last year.
Team

Monthly Target

MoM Var

Actual YTD

YTD Target

YoY Var

NY

(3)

63

-105%

(27)

563

-105%

12 USE EFT Arb

NY

(56)

31

-279%

(76)

281

-127%

13 USE Basket

NY

29

100

-71%

29

900

-97%

14 USE Index Arb

NY

300

125

140%

2,140

1,125

90%

15 USE Initial

Chi

3,791

3,500

8%

25,659

31,500

-19%

17 ADR

NY

(554)

63

-986%

1,752

563

211%

18 USE Stat Mom

NY

83

63

33%

1,051

563

87%

25 FX Initial

Chi

375

229

64%

1,492

2,063

-28%

26 Futures Alpha

NY

31

-100%

281

-100%

27 Futures Comm RV

NY

28 Futures Active

Chi

30 EU EQ Initial

UK

2,009

31 EU Futures

UK

35 Asian EQ Initial

Chi

1,389

40 FI US

Chi

42 FI Initial

UK

375

50 OPTIONS

Chi

Total NTR

Location Actual Mo

11 USE E&F

(471)

0%

0%

1,771

13%

11,809

15,938

0%

0%

1,333

4%

12,983

12,000

8%

0%

5,946

13,313

1,479

7,267

8,788

-75%
0%
-17%

(419)

62,340

79,088

0%
0%
-26%

0%
-55%
0%
-21%

Based on GAAP booking from NTR report.

Confidential

Page 4

Below is the major currencies year over year average USD conversion rates and P&L impact on our daily conversion. YTD FX
impact of $4.6mln and $3.5mln trading error is approximately 49% of the budget shortfall. Majority of the FX impact is due to
JPY earnings.
Currency
YTD NTR
2014 Avg 2015 Avg P&L Impact
AUD
5,631,825 0.89904 0.77483
(699,520)
CAD
2,606,878 0.90348 0.80127
(266,441)
EUR
2,488,333 1.32160 1.10910
(528,760)
GBP
767,586 1.64640 1.52788
(90,972)
JPY
2,135,104,706 0.00941 0.00830
(2,371,618)
CHF
1,954,485 1.08972 1.06119
(55,767)
Total for Main Currencies
(4,013,077)
Total for all Currencies
(4,606,752)

US Equities Initial spiked in Q3 to 52% of NTR due to the August volatility and performance. Of the YTD NTR total US Equities
represents 41% of total, EU Equities represents 19% of the YTD NTR, Asia trading representing 21% and Fixed Income trading
10%. Global cash equities are 81% of NTR.
Team
USE E&F
USE EFT Arb
USE Basket
USE Index Arb
USE Initial
ADR
USE Stat Mom
FX Initial
Futures Alpha
Futures Comm RV
Futures Active
EU EQ Initial
EU Futures
Asian EQ Initial
FI US
FI Initial
OPTIONS

Total

Q1
0.0%
0.0%
0.0%
6.3%
35.1%
1.2%
2.5%
3.0%
0.0%
0.0%
0.0%
19.3%
0.0%
20.9%
0.0%
11.5%
0.0%
100%

% of NTR
Q2
Q3
Total
-0.4%
0.1%
0%
0.0%
-0.3%
0%
0.0%
0.1%
0%
0.1%
3.5%
3%
31.6%
52.0%
41%
3.3%
3.7%
3%
0.3%
2.0%
2%
2.0%
2.1%
2%
0.0%
0.0%
0%
0.0%
0.0%
0%
0.0%
0.0%
0%
23.9%
15.4%
19%
-0.2%
-1.5%
-1%
26.1%
17.2%
21%
0.0%
0.0%
0%
13.3%
5.6%
10%
0.0%
0.0%
0%
100%
100% 100%

The average daily NTR was $347K in Sep compared to $614K previous month and last Sep 2014 was $324K. Sep average NTR
was the 4th highest month in 2015. This was driven by slightly higher volatility. The average daily NTR goal for 2015 is $455K
putting Sep 23% below our goal. NTR per FTE for Sep is $55K and cost per FTE in Sep excluding bonus is $38K slightly over
budget of $32K. YTD cost per FTE is lower than previous year of $337K vs $341K but higher than budget $298K. The main
driver on expense is recruiting cost. Recruiting cost for the year is $1.3mil compared to budget of $577K and previous year
$1.1mil. Recruiting expense is accounting for 59% of the budget overrun.

Volatility in US Equity markets remained higher than 3 month rolling average 15% vs 12.9%. US Equities Initial realized $3.7mil
NTR for the month of Sep which remains higher than the YTD average of $2.8mil. Japan volatility increased in Sep 22% vs 3

Confidential

Page 5

month rolling average 17%. Asia Equities NTR was fairly flat compared to 2015 average NTR ($1.1mil in Sep vs $1.1mil 2015
avg). EU Equities market making is still in the process of being revamped and was slightly lower than their YTD average NTR
(Sep $908K vs YTD avg $987K). Volatility in Europe markets was 21.8% in Sep compared to 19.8%. Overall, no major changes in
participation rates except for South Africa which increased to 3.09% compared to 3 month avg of 2.63%. Volatility in South
Africa remained fairly constant 14.4% in Sep vs 3 month average of 13%.
Volume and Volatility Report
- Market volume is single counted i.e every trade is counted only once either on the buy side or sell side.
- All Sun trades are counted i.e. all buys and sells.
- Shares are in millions. Notional values are in million USD.
- Participation Rate = Sun volume / Single Counted Market Volume.
- First set of green cells signify increase in market share compared to most recent three months rolling average.
Next two set of green cells signify year on year increase.

Stocks

09/01-09/30
9/1/2015
9/30/2015
Market

Participation
Rate

Sun

Rolling 3 Months - Current Year

7/1/2015
9/30/2015
Participation
Market
Sun
Rate

Intraday Volatility
Future

Rolling 3 Months
Current
Previous
Year
Year
12.86
19.79
13.35
16.99
1.19
4.26
0.42
4.87
13.74
13.00

09/01-09/30

ES:XC
S&P Emini
FESX Euro Stoxx 50 Index
Z:IL
FTSE 100 Index
NK225:OSNikkei 225 Index
ZT:CB 2Y US Treasury
ZN:CB 10Y US Treasury
FGBS Euro-Shats
FGBL Euro-Bund
AP:AS Australian Stock Index
ALSI:SX South African Stock Index

15.19
21.77
15.54
22.14
1.11
4.00
0.43
4.50
16.00
14.40

Rolling 3 Months - Previous Year

7/1/2014
9/30/2014

Jan - Aug 2015

1/1/2015
9/30/2015

Market

Market

Sun

Participation Rate

Jan - Aug 2014

1/1/2014
9/30/2015
Participation
Rate

Sun

Jan - July
Current
Previous
Year
Year

Market

Participation
Rate

Sun

AU

AP:AS

Shares
Notional
Volatility

1,994
4,234
16.0%

79
119

3.98%
2.81%

1,955
4,210
13.7%

81
107

4.12%
2.54%

2,108
4,519

12
39

0.56%
0.85%

1,903
4,397

69
90

3.63%
2.04%

1,896
4,393

36
58

1.90%
1.32%

Shares
Notional

709
8,655

6
109

0.80%
1.26%

703
8,254

6
114

0.79%
1.38%

696
10,224

3
86

0.42%
0.85%

768
9,112

5
124

0.65%
1.36%

779
9,880

4
97

0.45%
0.98%

Shares
Notional
Volatility

5,457
55,994
21.8%

173
2,084

3.18%
3.72%

5,448
55,371
19.8%

152
1,920

2.79%
3.47%

4,701
46,950

139
2,302

2.95%
4.90%

5,962
58,399

175
2,426

2.94%
4.15%

5,677
55,102

171
2,599

3.02%
4.72%

Shares
Notional
Volatility

2,837
27,319
22.1%

81
705

2.85%
2.58%

2,981
27,861
17.0%

85
746

2.86%
2.68%

2,603
22,703

85
642

3.28%
2.83%

2,932
26,820
15.41%

82
713

2.80%
2.66%

2,891
25,919

92
718

3.18%
2.77%

Shares
Notional
Volatility

7,340
286,237
15.2%

173
5,873

2.35%
2.05%

7,324
293,568
12.9%

169
5,840

2.30%
1.99%

5,609
250,550

137
5,693

2.45%
2.27%

6,854
279,910
11.86%

135
5,118

1.98%
1.83%

6,565
273,430

145
5,732

2.21%
2.10%

Shares
Notional
Volatility

294
1,566
14.4%

9
93

3.09%
5.91%

269
1,490
13.0%

7
84

2.63%
5.66%

212

0.00%

255
1,493

5
66

2.03%
4.45%

CA

EU

FESX

JP

NK225:OS

US

ES:XC

ZA

ALSI:SX

CME

09/01-09/30
Market

Agriculture
Currency
Energy
Equities
Rates
Metals
Other

812,029
833,750
1,651,764
2,909,047
4,418,447
252,014
3,171

VIX

Sun
974
4,449
105
7,925
15,654
45

Participation
Rate
0.12%
0.53%
0.01%
0.27%
0.35%
0.02%
0.00%

09/01-09/30
Market

CBOE Vol Index

251,344

Participation
Rate
1,051
0.42%

Sun

Rolling 3 Months - Current Year

Participation
Sun
Rate
970,842
1,112
0.11%
754,695
3,381
0.45%
1,645,932
85
0.01%
2,553,694
7,868
0.31%
4,933,803
14,586
0.30%
301,725
43
0.01%
2,737
0.00%

Market

Rolling 3 Months - Current Year

Participation
Sun
Rate
260,940
1,051
0.40%

Market

#DIV/0!

Rolling 3 Months - Previous Year

Market

Sun

764,465
693,629
1,300,181
2,031,416
5,485,724
263,093
2,993

1,586
21
620
39,947
129

Jan - Aug 2015

Participation Rate
0.00%
0.23%
0.00%
0.03%
0.73%
0.05%
0.00%

Market
991,964
792,910
1,635,257
2,194,860
5,239,014
304,115
3,143

Rolling 3 Months - Previous Year

Market
197,498

Sun
2,383

Sun
1,392
2,034
200
5,255
26,601
107

Participation
Rate
0.14%
0.26%
0.01%
0.24%
0.51%
0.04%
0.00%

Jan - Aug 2015

Participation Rate
1.21%

Market
210,874

Participation
Rate
1,051
0.50%

Sun

#REF!
#REF!
#REF!

#REF!
#REF!
#REF!

Jan - Aug 2014

Participation
Sun
Rate
1,000,446
1,360
0.14%
772,117
2,548
0.33%
1,892,135
278
0.01%
2,161,792
2,685
0.12%
5,190,311
35,650
0.69%
300,534
195
0.06%
3,010
0.00%

Market

Jan - Aug 2014

Participation
Sun
Rate
204,945
1,051
0.51%

Market

Direct Expense Analysis

Confidential

#REF!
#REF!
#REF!

Page 6

Overall direct expense for YTD Sep is 5% higher than budget. Current month expense was $4.5mil compared to budget of $4.3mil.
YTD expense is $44.2mil vs budget of $42.7mil a variance of $2.1mil or 5%. Year over year is higher by $1.2mil - $44.2mil vs
$42.9mil. The majority of the over budget is due to recruiting cost $1.3mil actual expense compared to budget of $577k. Other
factors affecting the budget overrun is Business Travel and Other Expense which will be discussed below.
Total Employee compensation and related expenses were $2.2mil slightly higher than month to date budget of $2.1mil. YTD cost
is 7% higher mainly due to recruiting costs of $1.3mil vs budget of $577K. Severances were $165K for the month of Sep bringing
YTD total to $252K which no budget was created for 2015.
o
o
o
o
o

Employee costs continue to be flat to budget YTD 1% off but 15% above last year.
Severance costs YTD are $252K with no 2015 budget.
Benefits variance is slightly flat to budget by 0%.
Employee recruiting costs for the month was $97K compared to budget of $64K. YTD remains higher than budget for 2015
by $739K (Actual $1.3mil vs Budget $577K).
Total current headcount is 131 compared to budget of 141 and 126 Sep 2014.
Location
London
Chicago
New York
Total Sun FTE
Additions
Terms
Net

Jan

Feb

Mar

Apr

May

Jun

Jul

Aug

Sep

22
92
19
133

22
93
20
135

22
94
22
138

21
95
23
139

22
92
23
137

23
90
23
136

23
90
22
135

23
90
22
135

24
85
22
131

5
1
4

2
0
2

5
1
4

4
3
1

2
4
-2

1
2
-1

5
6
-1

2
2
0

4
7
-3

Budget Difference
21
3
98
-13
22
0
141
-10

Technology spending for the month is slightly higher compared to budget. Current month expense was $2.1mil. YTD remains
under budget by $385K, $18.3mil compared to $18.7mil budgeted or 2% better than budget. Last year YTD Sep expense was
$19.5mil, or a $1.2mil decrease year over year.
o Data fees & Port fees are 14% better than YTD budget ($465K) due to cancellation of ports by IT and better monitoring tools.
o Colocation & Connectivity costs are 4% better than YTD budget ($156K).
o Market Data expenses are 8% higher than budget ($286K). Project underway to analyze market data usage.
o Leased expenses are 3% better than budget ($44K).
o Other Technology Expenses are 20% better than budget ($353K).

Other Expense is over budget by $104K for the month and YTD is over budget by 30% or $1.2mil. The over budget in Sep Other
Expenses is due to an annual membership which could possibly be reversed and treated as a pre-paid. YTD over budget is largely
due to the assets from the Toro and Endeavor transactions which were written off in Aug in the amount of $663K.
o Business Travel continues to be over YTD budget by 104% or $229K due to increase travel between offices.
o Rent & Occupancy is over YTD budget by 3% or $42K. Rent escalation for 2015 was not included in budget.
o Professional fees are over YTD budget by 52% or $359K. This is mainly due William Blair (equity/debt raise), employee
matters and Lombard consulting.
o Depreciation expense is under budget by 2% or $26K. This is under budget due to the Aug write-off of Toro and Endeavor
assets.
o Other Expenses is over YTD budget by 106% or $671K. Previously this category was under budget as SIPC fees are low for
2015. The Fixed Asset write-off of $663K is the cause of the budget overrun.

Net Income Analysis

Chicago office represents $16.8mil of Net Income, London office $3.4mil of Net Income and New York office represents a loss of $1.8
(below is the NTR performance, Expenses and Net Income by office).

Confidential

Page 7

The pre-tax operating profit for the month was a profit of $1.0mil compared to budget of $2.4mln and last year was a gain of
$1.3mil. YTD pre-tax operating profit is $8.3mil compared to budget of $21.2mil and last year $14.3mil. Overall, NTR decreased in
Sep compared to previous month due to the large volatility spike in Aug but Sep NTR was the 4th best month in 2015. Total expense
for the month was slightly higher than budget by $419K due to additional recruiting expenses ($97K) and severances totaling
($165K). YTD NTR has been impacted by; USD strengthening against most major currencies resulting in a $4.6mil loss overall of the
variance year over year, March $3.5mln Vix trading error and lower NTR performance by Team 42 $7.3mil, USE Initial $5.8mil and EU
Equities $4.1mil compared to target NTR.

Net Income After tax is a profit of $1.3mil for the month compared to budget of $2.4mil and a profit of $1.0mil a year ago. STI is
operating at an YTD loss of $416K, therefore resulting in a tax credit of $376K for the year. YTD after Net Income After Tax is
$8.7mil versus $20.8mil budget, off by 58% and compared to last year is off by 29%.

Operating Income Margin

*Operating Income Margin is before bonus expense.

Sep operating income margin remained at 29% and is off compared to budget of 47.4% and previous year 39%. Expenses
remain under control and slightly over 2015 budget which is mainly due recruiting expense, severances and the fixed asset
write-off. Revenue is off target compared to budget by 20% and 10% off compared to Sep 2014. Volatility in Sep remained
better than YTD average but decreased compared to prior month. Several teams remain under target due to the slow market
volatility in the first half of 2015.

Confidential

Page 8

SUN HOLDINGS, LLC & SUBSIDIARIES

SUMMARY INCOME STATEMENT & OPERATING METRICS
September 30, 2015
MONTHLY

MONTHLY

MONTHLY

MONTHLY

MONTHLY

MONTHLY

MONTHLY

MONTHLY

MONTHLY

YTD

FULL YEAR

FULL YEAR

FULL YEAR

FULL YEAR

FULL YEAR

ACTUAL

ACTUAL

ACTUAL

ACTUAL

ACTUAL

ACTUAL

ACTUAL

ACTUAL

ACTUAL

ACTUAL

BUDGET

ACTUAL

ACTUAL

ACTUAL

ACTUAL

Jan
20

Feb
19

Mar
22

Apr
21

May
20

June
22

July
22

August
21

September
21

2015
188

2015
252

2014
252

2013
252

2012
252

2011
252

Revenue:
Trading Gains
Interest, net
Dividends, net
Less: Comm, clrg, brkrge & other trading costs
Net Trading Revenue

$13,465,399

$11,783,617

$10,153,791

$10,133,007

$11,737,693

$12,282,482

$12,741,518

$19,733,137

$14,386,219

$116,416,863

$105,450,000

$147,958,109

$141,572,154

$84,107,603

($318,012)

($328,136)

($435,750)

($547,364)

($522,288)

($395,396)

($374,363)

($515,471)

($3,700,958)

$820

($3,330,955)

($1,957,027)

$35,119

$28,102

$157,588

($16,034)

$37,973

($288,727)

($36,202)

($91,520)

($933,747)

($1,107,448.06)

$56,400

($2,052,763)

$1,196,940

($49,140,996)

($42,149,462)

($27,364,650)

($30,555,643)

$93,433,394

$98,662,604

$55,348,553

$73,405,270

$86,500

($5,689,277)

($4,673,734)

($5,263,720)

($4,581,461)

($4,793,261)

($5,615,978)

($5,974,388)

($6,370,887)

($5,642,391)

($48,605,097)

$7,547,062

$6,819,973

$4,719,524

$5,099,761

$6,435,041

$5,855,489

$6,335,532

$12,896,367

$7,294,611

$63,003,360

$105,507,220

($2,130,804)

$109,394,934

($264,179)

$736,403

($3,960,996)
($1,473,025)

Other Trading Income/(Costs):

Other

$4,719

CCYgain/loss:BrokerBalances/Consolidation
Total Other Trading Income (Costs)
Total Revenue

$5,001

$5,001

$5,095

$5,018

$105,247

$132,827

$229,827

$127,690

($484,973)

$149,778

$4,772

($445,639)

$65,622

$400,893

$5,001

($53,974)

$76,295

($163,992)

$5,018

$32,637

($81,552)

($570,527)

($345,895)

$56,877

$7,857

$95,802

($480,254)

$154,550

($380,017)

$405,894

($48,974)

$81,296

($158,974)

$37,733

($76,534)

($465,280)

($213,068)

$286,705

$135,547

$182,302

$7,066,808

$6,974,523

$4,339,507

$5,505,655

$6,386,068

$5,936,786

$6,176,558

$12,934,099

$7,218,077

$62,538,080

$105,507,220

$93,220,326

$98,949,309

$55,484,100

$73,587,572

$1,613,287

$1,639,782

$1,651,364

$1,698,102

$1,745,005

$1,733,365

$1,840,885

$1,729,543

$1,673,566

$15,324,897

$20,255,210

$17,913,040

$15,292,185

$14,440,321

$13,753,289

$0

$0

$35,379

$11,552

$5,615

$16,667

$2,953

$14,269

$165,677

$252,112

$281,474

$175,757

$104,956

$270,090

$309,735

$301,615

$293,592

$3,197,987

$4,161,408

$3,927,353

$3,204,449

$3,306,664

$3,351,380

$769,849

$1,715,065

$351,176

$464,740

$553,733

$0

$0

$52,053

$32,718

$23,412,006

$23,087,570

$25,868,169

Operating Expenses:
EE

Salaries

EE

Severance

EE

Employee Benefits

$464,580

$576,482

$348,661

$304,253

$296,414

$302,655

EE

Employee Recruitment

$345,808

$85,030

($10,370)

$337,144

$138,652

$163,343

$82,785

$76,099

$97,903

$1,316,392

EE

Other (expats)

$0

$0

$0

$27,397

$22,624

$6,613

$64,314

$6,180

$6,076

$133,205

IT

Data & Ports Fees

$272,299

$347,040

$307,176

$318,286

$305,285

$310,776

$324,473

$326,582

$343,927

$2,855,845

$4,428,599

$4,421,930

IT

Colocation & related expenses

$454,927

$458,486

$408,619

$515,315

$491,697

$495,885

$428,939

$429,881

$495,956

$4,179,706

$5,757,027

$5,987,611

IT

Connectivity & related expenses

$487,241

$500,944

$498,246

$511,075

$464,336

$534,460

$515,624

$569,855

$515,536

$4,597,316

$5,051,709

$6,076,696

IT

Market Data & related expenses

$388,184

$430,174

$421,797

$413,604

$516,688

$458,816

$389,525

$396,605

$464,100

$3,879,493

$4,866,279

$4,637,851

IT

Leased Equipment & related expenses

$149,006

$58,465

$195,828

$118,707

$128,212

$271,945

$152,654

$154,369

$216,405

$1,445,591

$1,954,742

$1,716,140

IT

Other Technolgy expenses

$177,026

$231,220

$162,653

$182,862

$167,479

$165,500

$133,521

$112,467

$106,315

$1,439,043

$2,475,181

$2,570,339

OTHER Business Development & Travel

OTHER Rent and occupancy

$58,936

$37,081

$51,553

$61,315

$54,122

$48,353

$55,955

$47,294

$35,161

$449,768

$394,067

$539,931

$445,297

$436,944

$552,989

$137,291

$155,635

$132,992

$164,336

$159,777

$159,678

$140,738

$158,014

$150,957

$1,359,417

$1,731,726

$1,865,399

$1,533,697

$1,574,872

$1,282,404

OTHER Outside services or Professional Fees

$112,405

$99,642

$230,415

$78,303

$79,059

$120,263

$102,476

$152,711

$78,475

$1,053,749

$904,350

$1,185,010

$1,352,958

$650,161

$2,227,340

OTHER Depreciation expense

$146,258

$145,327

$152,807

$154,929

$165,660

$221,963

$166,169

$130,776

$131,244

$1,415,134

$1,928,511

$2,806,513

$2,570,697

$3,138,989

$3,663,475

$75,553

$115,136

($11,846)

$56,153

$55,146

$36,566

$101,429

$695,879

$182,965

$1,306,981

$848,274

$1,258,045

$1,341,285

$498,700

$690,551

$4,882,800

$4,880,444

$4,953,331

$4,795,771

$5,046,846

$4,812,175

$5,302,139

$4,957,856

$44,206,635

$55,526,932

$56,902,396

$49,679,508

$47,755,971

$52,246,138

OTHER Other
Total Operating Expenses
Operating Income before bonus and related taxes
Bonus Accrual and related taxes & interest
Operating Income before bonus & related taxes
Total Restructure Costs
NET INCOME BEFORE TAX
Foreign Income Tax
NET INCOME

$4,575,275

$2,184,009

$2,094,079

($235,768)

$552,324

$1,590,296

$889,940

$1,364,384

$7,631,960

$2,260,221

$18,331,445

$49,980,288

$36,317,930

$49,269,802

$7,728,129

$21,341,434

$1,558,113

$925,458

($1,165,008)

$730,057

$1,176,176

$806,945

$1,043,853

$3,657,810

$1,209,698

$9,943,102

$21,132,113

$16,673,529

$19,925,377

$8,049,128

$11,370,562

$625,896

$1,168,620

$929,240

$414,120

$82,995

$320,531

$3,974,151

$1,050,523

$8,388,342

$28,848,175

$19,644,400

$29,344,424

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$0

$379,176

$625,896

$1,168,620

$3,974,151

$1,050,523

$8,388,342

$28,848,175

$19,644,400

$28,965,248

($1,716,009)

$6,078,718

$0

$0

$501,563

$2,054,382

$4,695,684

$1,797,793

$2,293,676

$625,896

$1,168,620

$28,346,613

$17,590,019

$24,269,564

($3,513,802)

$3,785,042

($177,732)
$0

$929,240

($177,732)

($215,817)

$56,705

$1,145,056

($234,437)

$414,120
($2,353)
$416,473

$82,995

$320,531

($64,978)

($15,685)

$147,973

$336,216

$157,592
$3,816,559

($291,918)
$1,342,442

($376,455)
$8,764,797

($321,000)
$1,395,010

$9,970,872
$3,892,154

Metrics
Salaries & Benefits (% of NTR)

34.3%

33.0%

46.7%

43.2%

34.6%

37.4%

37.2%

16.5%

31.0%

32.3%

23.9%

25.6%

19.2%

33.1%

Bonus Accrual (% of NTR)

22.0%

13.3%

-26.8%

13.3%

18.4%

13.6%

16.9%

28.3%

16.8%

15.9%

20.0%

17.9%

20.1%

14.5%

15.5%

IT and Comm (% of NTR)

27.3%

29.1%

46.0%

37.4%

32.5%

37.7%

31.5%

15.4%

29.7%

29.4%

23.3%

27.3%

23.7%

41.6%

35.2%

Occupancy (% of NTR)
Operating Income Margin (% of NTR)
Total Headcount

24.4%

1.9%

2.2%

3.1%

3.0%

2.5%

2.7%

2.3%

1.2%

2.1%

2.2%

1.6%

2.0%

1.5%

2.8%

1.7%

30.9%

30.0%

-5.4%

10.0%

24.9%

15.0%

22.1%

59.0%

31.3%

29.3%

47.4%

39.0%

49.8%

13.9%

29.0%

133

135

139

139

137

136

135

135

135

135

141

127

121

108

103

Avg NTR per Day

$377,353

$358,946

$214,524

$242,846

$321,752

$266,159

$287,979

$614,113

$347,362

$335,124

$418,679

$370,767

$391,518

$219,637

$291,291

Daily Breakeven NTR

$244,140

$256,865

$207,967

$235,873

$239,789

$229,402

$218,735

$252,483

$236,088

$235,142

$220,345

$225,803

$197,141

$189,508

$207,326

NTR per employee

$53,134

$51,663

$31,219

$39,609

$46,614

$43,653

$45,752

$95,808

$53,467

$463,245

$748,278

$734,018

$817,763

$513,742

$714,442

Pre-tax profit per employee

$16,421

$15,512

($1,696)

$3,974

$11,608

$6,544

$10,107

$56,533

$16,742

$135,788

$354,470

$285,968

$407,188

$71,557

$207,198

Avg Cost per employee

$36,713

$36,151

$32,916

$35,635

$35,006

$37,109

$35,646

$39,275

$36,725

$327,457

$393,808

$448,050

$410,574

$442,185

$507,244

$2,459,125

$2,579,150

$2,550,241

$2,574,884

$2,587,461

$2,824,204

$2,511,502

$3,174,433

$2,721,042

$23,982,042

$30,340,464

$33,065,464

$30,655,941

$29,387,236

$34,284,928

Non-Employee Operating Costs

Page9

SunHoldings,LLC
P&LBYTRADINGTEAM

YTDActualasofSeptember30,2015

USE

REVENUES:
TradingGainsandLosses,net
Interest,net
Dividends,net
Less:Commissions,Clearing,Brokerage,etc.
TradingRevenue,net

USE

USE

E&F

ETFARB.

BASKET

INDEXARB

INITIAL

STATMOM

INITIAL

ALPHA

COMMRV

ACTIVE

INITIAL

Team11

Team12

USE

Team13

Team14

Team15

USE

Team17

ADR

Team18

USE

Team25

FX

FUTURES
Team26

Team27

Team28

Team30

($18,477)
($3,572)

($55,673)
($23,035)

$29

$2,294,831
($40,848)

$33,534,653
($709,350)

$2,398,834
($504,136)

$1,096,450
($6,335)

$2,112,336

$1,452

($4,921)
($26,971)

$2,355
($76,352)

($0)
$29

($114,372)
$2,139,611

($7,166,458)
$25,658,845

($142,502)
$1,752,196

($39,146)
$1,050,969

($620,042)
$1,492,294

$1,452

FUTURES

FUTURES

EUEQ

EUFUTURES

ASIANEQ

Team31

Team35

FIMETIS

FI

Team41

Team42

INITIAL

$11,999,991
($7,483)

($419,066)
($0)

$13,978,554
($786)

$5,864,418

($183,024)
$11,809,485

$39
($419,027)

($994,646)
$12,983,122

$82,059
$5,946,477

OtherIncome
SubsidiaryIncome
FXgain/loss
TotalOtherRevenue
TotalRevenues

($26,971)

($76,352)

$29

$2,139,611

$25,658,845

$1,752,196

$1,050,969

$1,492,294

$1,452

$11,809,485

($419,027)

$12,983,122

OPTIONS

FIRM

TOTAL

INITIAL

$5,946,477

Team50

$43,628,529
($2,405,413)
($1,107,448)
($39,424,439)
$691,229

$116,416,864
($3,700,959)
($1,107,448)
($48,605,097)
$63,003,360

$105,248

$105,248

($570,527)
($465,279)

($570,527)
($465,279)

$225,950

Page10

$62,538,080

SunHoldings,LLC
P&LBYTRADINGTEAM

YTDActualasofSeptember30,2015

USE

EXPENSES:
Salaries
Severance
Benefits(withoutbonusandaccronbonus)
Recruitment/Relocation
OtherExpats
SalaryRecharge
Employeecompensationandrelatedbenefits
Data&PortsFees
Colocation&relatedexpenses
Connectivity&relatedexpenses
MarketData&relatedexpenses
LeasedEquipment&relatedexpenses
OtherTechnologyexpenses
Technologyandcommunicationsrecharge
Technology&CommunicationsTotal
BusinessDevelopment&Travel
Rentandoccupancy
OutsideservicesorProfessionalFees
Depreciationexpense
Other
OtherExpensesTotal

USE

USE

E&F

ETFARB.

BASKET

INDEXARB

INITIAL

Team11

Team12

USE

Team13

Team14

Team15

$167,518

$225,690

$271,193

$565,864

$27,898

$18,832

$32,822

$117,619

$195,416

$244,522

$304,015

$13,500

$1,000

$77,745

$20,092

$11,320

USE

ADR

USE

Team17

FX

FUTURES

FUTURES

FUTURES

EUEQ

STATMOM

INITIAL

ALPHA

COMMRV

ACTIVE

INITIAL

Team18

Team25

Team26

Team27

Team28

Team30

EUFUTURES

ASIANEQ

Team31

Team35

FIMETIS

FI

Team41

Team42

INITIAL

$1,716,388
$34,577
$411,492
$33,569

$365,139

$140,517

$1,159,691

$230,204

$94,039

$264,712

$451,792

$150,000

$16,324

$264,159
$107,357

$44,281

$12,042

$44,662
$413

$1,056,968
$109,610
$224,417
$100,877

$190,210

$69,180

$29,515
$809

$126,597

$14,239

$683,483

$2,196,026

$434,319

$156,841

$1,531,207

$274,485

$106,081

$309,787

$1,491,872

$220,534

$578,389

$164,239

$73,468

$1,748,543
$482,000
$17,193
$1,707,245

$121,198

$9,650

$200,580
$121,302
$21,406
$187,356

$14,750

$26

$30,653

$234

$28,958

$200,114

$355,628
$525,248
$27,591
$937,831

$1,827

$1,675

$91,245

$21,326

$11,320

$104,122

$3,969,731

$150,182

$209,764

$532,319

$1,827

$300
$9,263

$20,632
$9,310

$340
$18,573

$1,595
$39,874
$4,035

$8,073
$234,795
$107,418

$3,912
$37,534

$242
$9,287

$14,170
$146,327
$7,942

$472
$18,526

$233,342
$321,528
$123,015
$83,461

$158

$2,724

$4,937

$121,916

$158

$1,849,022

$4,937

$883,262

$21,627

$50
$65,861

$2,519
$28,019

$30,490
$170
$96,571

$34
$9,597

$577
$30,520

$350
$19,263

$3,034
$48,537

$119,667
$469,953

$70,273
$111,719

$34
$9,563

$6,770
$175,208

$34
$19,032

$250
$1,691

$411
$411

$13,946
$152,337
$4,771
$13,217
$219,164
$403,436

TotalDirectExpenses

$296,258

$296,368

$334,598

$836,141

$6,635,710

$696,220

$376,167

$2,238,734

$295,344

$107,772

$310,356

$3,744,330

$253,490

$1,558,221

OperatingIncomeBeforeBonus&RelatedTaxes

($323,228)

($372,720)

($334,569)

$1,303,469

$19,023,135

$1,055,976

$674,801

($293,891)

($107,772)

($310,356)

$8,065,155

($672,517)

$11,424,901

($746,440)

$1,442

OPTIONS

TOTAL

$649,189
$27,993
$297,712
$29,624

Team50

$9,310

$7,625,784
$79,933
$1,436,885
$1,043,744
$133,205

$15,324,897
$252,112
$3,197,987
$1,316,393
$133,205

$1,004,518

$9,310

$10,319,552

$20,224,593

$98,536

$400

$2,855,845
$4,179,706
$4,597,316
$3,879,493
$1,445,591
$1,439,043

$10,000

$382,876
$260

$12,068

$2,729,628
$4,408,111
$200,015
$1,445,591
$1,280,294

$10,000

$481,672

$12,468

$10,063,639

$18,396,993

$37,573
$107,277
$845

$715

$324,680
$510,451
$924,865
$1,371,426
$842,426
$3,973,848

$449,768
$1,359,417
$1,053,749
$1,415,133
$1,306,981
$5,585,049

$3,873

$41,272
$186,967

$715

$174,239

$1,673,157

$22,493

$24,357,039

$44,206,635

($174,239)

$4,273,320

($22,493)

($24,131,089)

$18,331,445

Bonusandrelatedtaxesandinterest
OPERATINGINCOME

FIRM

INITIAL

$9,943,102

$9,943,102

($323,228)

($372,720)

($334,569)

$1,303,469

$19,023,135

$1,055,976

$674,801

($746,440)

($293,891)

($107,772)

($310,356)

$8,065,155

($672,517)

$11,424,901

($174,239)

$4,273,320

($22,493)

($34,074,191)

$8,388,343

($323,228)

($372,720)

($334,569)

$1,303,469

$19,023,135

$1,055,976

$674,801

($746,440)

($293,891)

($107,772)

($310,356)

$8,065,155

($672,517)

$11,424,901

($174,239)

$4,273,320

($22,493)

($34,074,191)

$8,388,343

TotalRestructureCosts
NETINCOMEBEFORETAX
ForeignIncomeTaxExpense
($323,228)

($372,720)

($334,569)

DepartmentExpenses
CorporateExpenses
TechnologyColocation
TechnologyConnectivity
TechnologyAllotherITexpenses
MarketData
AllocatedBonusControlDepartments
AllocatedBonusTechnologyStaff&MarketData
TotalAllocatedExpenses

$21,067
$118,926
$13,234
$44,892
$73,595
$28,009
$13,125
$24,352
$337,199

$51,067
$113,456
$28,234
$67,392
$73,595
$29,004
$13,125
$24,352
$400,225

NETINCOME(AfterAllocations)

($660,427)

($772,945)

NETINCOME(BeforeAllocations)

$1,303,469

$19,023,135

$1,055,976

$674,801

($746,440)

($293,891)

$51,067
$119,041
$28,234
$142,392
$103,576
$29,004
$13,125
$34,273
$520,711

$44,591
$160,640
$58,234
$163,392
$240,084
$29,004
$3,750
$69,516
$769,210

$576,325
$216,657
$2,832,770
$1,392,350
$2,282,309
$616,195
$148,125
$755,207
$8,819,938

$43,772
$153,009
$37,645
$123,160
$164,243
$14,004
$11,250
$54,347
$601,429

$58,362
$113,216
$28,234
$44,892
$73,595
$67,035
$15,000
$24,352
$424,686

$14,591
$134,719
$489,382
$351,780
$689,963
$140,044
$3,750
$228,306
$2,052,535

$14,591
$115,933
$13,234
$37,392
$73,576
$28,009
$3,750
$34,273
$320,757

($855,281)

$534,259

$10,203,197

$454,547

$250,115

($2,798,975)

($614,648)

($107,772)

($310,356)

$8,065,155

($672,517)

$11,424,901

($174,239)

$4,273,320

($22,493)

($376,455)

($376,455)

($33,697,736)

$8,764,798

ALLOCATEDEXPENSES:
$1,371,507
$821,949
$884,652
$715,015
$959,261
$266,084
$352,500
$317,416
$5,688,385
($107,772)

($310,356)

$2,376,770

$437,715
$347,227
$169,402
$165,619
$295,840
$70,022
$112,500
$97,892
$1,696,216
($672,517)

$9,728,685

$233,448
$209,524
$291,747
$647,404
$636,797
$84,027
$60,000
$210,714
$2,373,660
($174,239)

$1,899,660

($2,918,100)
($2,624,296)
($4,875,000)
($3,895,681)
($5,666,433)
($1,400,443)
($750,000)
($1,875,000)
($24,004,952)
($22,493)

($9,692,784)

Page11

$8,764,798

SUN HOLDINGS, LLC & SUBSIDIARIES

CONSOLIDATED STATEMENT OF FINANCIAL CONDITION
September 30, 2015

ASSETS
Cash and Investment Securities

$4,109,956

Securities Owned

$381,306,831

Receivable from Brokers and Clearing Organizations

$471,021,046

Exchange Memberships

$5,247,620

Equipment, net of Accumulated Depreciation

$4,621,353

Other Assets

$2,277,200

TOTAL ASSETS

$868,584,007

LIABILITIES AND MEMBERS CAPITAL

Liabilities:
Securities Sold, not yet purchased, at market value

$750,834,067

Accounts Payable and Accrued Expenses

$4,481,795

Margin Loan Payable

$8,833,568

Accrued Employee Benefits

Deferred Liabilities

$14,198,741
$1,370,327

Distributions Payable

$716,781

TOTAL LIABILITIES

$780,435,278

MEMBER'S CAPITAL

TOTAL LIABILITIES & MEMBER CAPITAL

$88,148,729

$868,584,007

Page12

SUN HOLDINGS, LLC & SUBSIDIARIES

CHANGES IN OWNERS' EQUITY
September 30, 2015

Beginning Equity - January 1, 2015

Current Net Income

$88,432,277.76

$8,764,798.06

Capital Withdrawls

($1,407,093.91)

Distributions Paid to Members

($5,514,283.71)

Dividends Paid/Payable to Summit

($2,126,969.17)

Ending Owners' Equity - current month

$88,148,729.03

Annualized Return on Investment

13.2%

Page13

Sun Holdings, LLC and Related Companies (ROLLUP)

Statement of Cash Flows
FortheNineMonthsEndingSeptember30,2015

TOTAL
YTD

NET INCOME

$8,764,797.88

Adjustments to Reconcile Net Income to

Net Cash Provided by Operating Activities
Depreciation
Increase/Decrease in Inter-Company Balances
Increase/Decrease in Exchange Memberships
Increase/Decrease in Other Receivables
Increase/Decrease in Accounts Payable
Increase/Decrease in Accrued Expenses
Increase/Decrease in Deferred Liabilities
Net Cash Provided by Operating Activities

$1,415,133.20
($0.01)
($2,481,120.35)
$1,297,680.84
$45,862.60
($4,537,479.65)
$143,384.24
$4,648,258.74

Cash Flows from Investing Activities

Purchase/Disposal of Fixed Assets

($1,211,030.94)

Net Cash Applied to Investing Activities

($1,211,030.94)

Cash Flows from Financing Activities

Contributions
Withdrawals

($9,048,346.79)

Net Cash Applied to Financing Activities

($9,048,346.79)

NET INCREASE/DECREASE IN CASH

($5,611,118.99)

Page14