The Excellence Nessuah Group

1
The Excellence Nessuah Group
Company presentation, September 2007
2
Who We Are

• Excellence Investments was founded in 1992.
• The companys shares are listed on the TASE, and
  traded on the TA 100 Index.
• Shareholder breakdown
• 40 Founders and managers
• 40 Phoenix Insurance Company
• 20 The public
• Excellence provides a full range of investment
  services through its subsidiary companies.
• Excellence manages c. 43 billion NIS in financial
  assets.
• Excellence manages provident and pension funds
  for 500,000 clients.
• Excellence has posted a net profit in every
  quarter since it was founded.
• The company has 400 employees.
• The financial data in this presentation is based
  on the financial reports for Q2 2007.

3
The companys milestones
4
Excellence Nessuah Services

• Asset and portfolio management in Israel
• Mutual fund management
• Provident and pension fund management
• Global investing in cooperation with INVESCO
• ETF management
• Financial product IPOs
• FX trading and consulting
• Brokerage and research services
• Underwriting and capital raising in Israel
• Management of Stock Based Incentive Plans

• Market making in bonds and stocks
• Hedge fund - GEAM
• Real estate fund REIT1
• Excellence Invest

5
Profit Centers

• Excellence has 5 major profit centers
• Every profit center is independent and managed
  separately such that the manager and the
  employees in each profit center are rewarded from
  its profits.
• The profit centers benefit from the companys
  centralized resources Finance, Logistics, Legal
  Services, Compliance, Sales, Marketing
• The companys activities are spread over a wide
  spectrum of financial services in order to
  moderate volatility in the companys profits, to
  reduce dependence on specific sectors and to
  reduce the influence of the financial markets
  volatility on revenue and profits.

6
Profit Centers Distribution

Revenues (NIS) in 1H 2007 rose 72, compared to
1H 2006

Profit (NIS) in 1H 2007 rose 121, compared to 1H
2006
Based on results for fiscal year 2006 and the
first half of 2007
7
Growth in Assets under Management
(NIS millions)
17
In March 2007 the acquisition of Bank Mizrahis
provident funds (AUM 10,000 million NIS) was
completed. The acquisition is excluded from the
growth rate calculation.
8
Assets Under Management

• Excellence manages c. 43 billion NIS in financial
  assets

As of 30.06.2007
9
The Strategic Change in Asset DistributionLong-T
erm Money Management Grows To 42

• 31.12.2006

• 30.6.2007

10
Revenue Versus Net Profits
(NIS millions)
The data up to 2006 are the actual figures. The
estimate for 2007 is based on the actual figures
for H1/2007 and estimation for the second half
based on Q1/2007 figures.
11
Development Of Capital Equity
(NIS millions)
The average return on equity (net) in the last 5
years was c. 30
The data up to 2006 are the actual figures. The
estimate for 2007 is based on the actual figures
for H1/2007 and estimation for the second half
based on Q1/2007 figures.
12
Excellence Strong Branding
13
Excellence Investments Graded A By Maalot

• Grade A determines the issuers ability to pay
  off its debts on the basis of its obligations is
  beyond the average in comparison to other Israeli
  issuers.
• From the Maalot report
• Maalot estimates Excellences weighted business
  position as higher than average in its diverse
• activity fields. Maalot sees in a
  positive light the companys wide diversity of
  activities, which
• contribute to a wider distribution of
  risks and more stability in revenue over time.
• Maalot estimates that most of the
  companys activities are synergic to the core
  activities of
• the group, and the company exploits in an
  optimal way its relative advantage as a small and
• flexible investment company and its
  abilities in the investment management field.
• Maalot judges the quality of the management
  and the company strategy to be higher than
  average.
• The high growth in the companys
  activity extent in the latest years can be mostly
  explained by the
• entrance to new activity fields,
  especially to fields which demand a high level of
  sophistication and
• innovation, e.g. the issuance of
  structured products, ETFs etc.
• Maalot estimates that the group
  management style and its quality contribute in
  great manner to preserve the companys relative
  advantage in this kind of activity, and will
  support new initiatives in the future.

14
Summary

• Excellence Nessuah Investments is a successful,
  stable company in a highly profitable and growing
  market.
• Excellence Investments posted a net profit in all
  of its 50 quarters due to quality management, its
  flexible organizational structure, strong
  branding, and responsible and methodical
  investment approach.
• Excellence Investments is graded A by Maalot due
  to its high quality management and its superior
  positioning in the capital markets.
• The structural change in the capital markets
  presents an extraordinary and unique opportunity
  for high levels of growth without compromising
  profitability.