Media Release

27 September 2017 LUMX GROUP LIMITED 2017 INTERIM RESULTS INCREASE IN FEE-EARNING ASSETS FURTHER GROWTH OF LUMRISK SUBSIDIARY

LumX Group Limited (ticker: LUMX) (“LumX”, the “Group”, the “Company”, or “we”), an alternative investment specialist focused on providing leading investment and risk management solutions, announces its interim results for the six months ended 30 June 2017. Highlights: • Total fee-earning assets for the Group were USD 7.77 billion at 30 June compared to USD 6.21 billion at 31 December 2016 • Growth of LumRisk subsidiary with additional contracts signed in H1 2017 for risk reporting services. Additional mandates are anticipated and LumRisk is expected to become profitable in the second half of the year • Net revenues of USD 7.0 million for the period compared with USD 8.8 million for H1 2016. New revenue stream from LumRisk partially replacing decrease in management fees (USD 6.4 million, down from USD 8.6 million in H1 2016) • Continued streamlining of costs in all aspects of our business by 21% on a likefor-like basis • Net loss for the period of USD 4.1 million, of which USD 2.0 million related to an impairment of intangible assets. When compared with the loss of USD 3.5 million for the same period in 2016 this shows progress towards our profitability objectives. Commenting, Arpad Busson, Executive Chairman, stated:

“Our efforts to adapt our business, streamline our cost base, and focus on our core strengths are beginning to pay off. Our organisation has reached an inflection point as growing assets related to our alternative risk premia, multi-asset and LumRisk initiatives begin to replace decreasing assets and revenues in other parts of our business. The Group has also continued to pay down its debt over the first half of the year. Despite the ongoing challenges and uncertainties surrounding the asset management industry and our ability to execute our strategy, I remain optimistic about the future prospects for our organisation. I would like to take this opportunity to thank all shareholders for their continued support and patience as we work towards returning the Group to profitability” For Additional Information LumX Group Limited Andrew Crawford Tel: +41 22 363 6863

Maitland James McFarlane / Seda Ambartsumian Tel: +44 20 7379 5151

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Assets The fee-earning assets of the Group as at 30 June 2017 were USD 7.77 billion, representing an increase of 25% over the 6-month period since 31 December 2016. LumRisk continued its progression with new reporting mandates signed in the first six months to June 30, and additional mandates anticipated in the second half of 2017. The value of client portfolios it provides consolidated risk reporting services on more than doubled to USD 3.31 billion³. Assets in the Group’s alternative investment solutions business² of USD 4.05 billion (of which USD 2.67 billion are assets in respect of which advisory mandates are performed) decreased by 6% over the six-month period, due to outflows from multimanager strategies. Further outflows are anticipated in the second half of the year due to the loss of a discretionary mandate. Assets in the alternative risk premia funds where LumX entities act as investment manager remain stable. Our multi-asset business, displayed under “other activities” in the table below, has been reinforced with fresh assets of USD 133 million raised in the first six-months.

Fee-Earning Assets

June 2017 (USD billion)

Dec 2016 (USD billion)

% change

Alternative Investment Solutions¹, ²

4.05

4.29

-6%

LumRisk³

3.31

1.53

117%

Other activities

0.40

0.39

3%

Total fee-earning assets

7.77

6.21

25%

¹ Of which assets in respect of which the Group performs advisory mandates represented USD 2.67 billion as at June 2017 and USD 2.55 billion as at December 2016. ² Of which managed account platform assets represented USD 0.23 billion as at June 2017 and USD 0.26 billion as at December 2016. ³This figure represents the fee-earning value of client mandates. When taking account of the notional value of the underlying instruments that some investors have in place directly with their banks, it represents gross exposure of approximately USD 21 billion of assets. LumRisk fee-earning assets displayed above exclude LumX-managed assets where risk reporting services are provided. Note: percentage changes and amounts are rounded.

Strategy and Plans The implementation of the Group’s strategic decision to refocus on its core competences – customised alternative investment solutions (LumX Asset Management), risk management solutions (LumRisk), and bespoke fund structuring solutions (LumMap) – is beginning to bear fruit. LumRisk has seen considerable momentum, with additional risk aggregation and reporting mandates onboarded in the first half of the year. Further mandates are anticipated in the rest of the year, suggesting accelerated revenue growth for the subsidiary. LumRisk has contractual relationships in place with several major global investment banks, asset managers, as well as state and corporate pension funds, and is expected to become profitable in the second half of the year. The Company has also invested resources into its LumMap structuring services, which designs bespoke investment envelopes to answer the regulatory and compliance needs of managers and investors. LumMap benefits from the Group’s 2

experience in structuring and managing dedicated investment vehicles, meeting managers’ regulatory requirements in a strong risk-controlled environment, and ensuring fiduciary oversight, segregation of assets, and enhanced transparency on client investments. The LumMap managed account platform is in the process of redomiciling in Ireland to benefit from AIFMD and to cater to the increased interest from asset managers, external institutional investors and family offices. The Group’s core asset management activities continue to evolve in response to client demand for more liquid and decorrelated alternative risk premia (“ARP”) exposures to diversify and complement existing long-only and hedge fund portfolios. The Group continues to develop its innovative tailor-made ARP offering, and benefits from the increased use of technology in its investment process, and detailed position-level transparency provided by the separate LumRisk subsidiary. The core research team has also been reinforced with recent hiring of PhD talent focusing on innovating and improving the quantitative research tools and expertise. The UCITS portfolio of ARP which is managed by the Group’s Swiss subsidiary has returned 2.4% year-to-date4 net of fees. Philippe Calame joined the Company in H1 2017 to lead a multi-asset initiative, which saw over USD 130 million of new capital raised during the first half of the year, and enhance the Group’s manager research. Philippe has recently joined the Group’s Executive Committee. Consistent with the strategy of disposing of non-core assets, LumX’s stake in HS Group was sold in June 2017 for a total consideration of USD 4.0 million, half of which was received in Q3 2017, and USD 2.0 million of which is payable in the future, subject to certain conditions. The Group continues to evaluate remaining non-core assets for potential exit opportunities.

Financials The Group’s gross revenues for the 6-month period to June 30 were USD 7.6 million (H1 2016: USD 9.6 million). Management fees were USD 6.4 million, a decrease of 26% compared with the same period last year, reflecting the lower assets in multi-manager funds. The LumRisk subsidiary generated USD 0.7 million of a new revenue stream from risk reporting services for the first half of the year. When accounting for referral fee expenses of USD 0.5 million (H1 2016: 0.8 million) net revenues were USD 7.0 million for the period (H1 2016: 8.8 million). The Group had total operational costs of approximately USD 11.9 million through June 2017, compared to USD 12.4 million at June 2016. Due to the loss of mandates that were recognised at the merger with EIM, an impairment of USD 2.0 million was recorded on intangible assets. Excluding this impairment, operating costs were cut by 21% on a like for like basis. Personnel expenses were reduced from USD 6.8 million at June 30 2016 to USD 5.8 million in 2017. LumX currently has 52 employees on a full time equivalent basis. The net attributable loss amounted to USD 4.1 million for the 6 months to 30 June 2017 (H1 2016: USD 3.5 million).

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YTD through September 25, 2017

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Consolidated Income Statement (USD mln) Management fees Performance fees LumRisk fees Other fees Gross revenues Total referral fee expense 1 Net Revenues

Jun-17 6.4 0.3 0.7 0.2 7.6 (0.5) 7.0

Jun-16 8.6 0.3 0.0 0.8 9.6 (0.8) 8.8

Change -26% 1%

Personnel expenses Rent and related expenses Professional expenses IT and Data expenses Amortisation and Depreciation expenses Other expenses Marketing and representation cost Operating cost (pre-acquis. & incidental charges)

(5.8) (0.9) (0.9) (1.0) (2.8) (0.2) (0.3) (11.9)

(6.8) (1.4) (1.7) (1.2) (0.9) (0.2) (0.2) (12.4)

-15% -36% -49% -13% 215% -20% 43% -4%

-

n/a

n/a -74%

-22% -37% -20%

Recycling of CTA on disposal of subsidiary Share from core JVs Operating result (pre-acquis. & incidental charges)

(4.8)

(0.3) 0.1 (3.8)

Finance income/(cost) Changes in financial assets Share of post-tax profits/(losses) of associates Profit before tax Income tax (expense)/credit Net loss

0.1 0.1 (0.1) (4.7) 0.6 (4.1)

(0.1) 0.2 0.1 (3.5) 0.1 (3.5)

-247% -55% -173%

Minorities Loss attributable to shareholders Weighted average number of shares for diluted EPS calculation (millions) Diluted EPS (USD)

0.02 (4.2)

0.02 (3.5)

-9% 19%

103.96

45.19 (0.08)

130% -48%

-

(0.04)

n/a

27%

33%

931% 19%

Note: numbers are rounded, percentages are actual, percentage change sign on accounting basis.

¹ Referral fee expenses comprise third party commissions for client introductions and on-going client service, and some specific rebates to clients of the underlying LumX funds.

Statement of Financial Position (USD mln) Financial Investments Goodwill Intangible assets Investments in associates/JVs Property, plant and equipment Receivables Deferred tax assets Total non-current assets

Jun-17 2.1 21.1 1.2 2.6 0.3 0.5 2.0 29.7 4

Dec-16 5.0 21.1 3.8 2.5 0.3 0.1 1.2 34.0

Change -58% 0% -68% 5% 13% 238% 60% -12%

Trade debtors & other receivables Cash and short term financial investments Current assets

5.8 2.8 8.6

3.6 4.9 8.5

61% -43% 1%

Total assets

38.4

42.5

-10%

Total equity

24.4

28.6

-15%

Non-current liabilities

4.2

4.8

-13%

Trade creditors Deferred Income Other payables Current tax liabilities and provisions Total current liabilities

3.8 0.5 5.4 0.04 9.8

1.6 0.0 7.4 0.0 9.0

135% n/a -27% n/a 8%

Total equity and liabilities

38.4

42.5

-10%

Note: numbers are rounded, percentages are actual, percentage change sign on accounting basis.

Outlook The Group’s innovative solutions approach, combining asset management, fund structuring, and consolidated risk reporting services reflects a diversification of business and revenue models which offer future growth opportunities. The Company is in advanced discussions with institutional investors relating to the development of tailor-made risk premia solutions. LumMap is seeing increased interest in its fund structuring solutions in EU jurisdictions from asset managers and investors alike. The LumRisk business continues its expansion in Europe and is focusing on opportunities in Asian and U.S. markets for 2018. While much has been achieved since the Group’s board of directors took the strategic decision to streamline the organisation and refocus on its core strengths, considerable challenges to the business remain. Investments in technology and personnel to enhance the Group’s quantitative research tools will continue but shareholders should be aware of the time needed for such investments to become accretive. Despite these ongoing uncertainties, the Group believes that progress made so far bodes well for the future and that it is well positioned to capitalise on current investment trends. Please visit https://www.lumxgroup.com/financial-information/financial-section to view a copy of the 2017 interim report.

About LumX Group Limited Incorporated in Guernsey and listed on the SIX Swiss Exchange, LumX Group Limited (ticker: LUMX) is the holding company of an alternative investment specialist focused on bringing leading investment and risk management solutions to a primarily institutional client base. The LumX Group has offices in Guernsey, Geneva (Nyon), London, New York, and an affiliate office in Melbourne. 5