HUB24 LIMITED — Capital/Financing Update 2019

Jan 7, 2019

ASX Release: 8[th] January 2019

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HUB24’s platform hits $10 billion milestone

Sydney – HUB24 Limited (ASX: HUB) today announced the investment and superannuation platform has reached a new funds under administration (FUA) milestone of over $10 billion at 31 December 2018. In the six months following financial year ended 30 June 2018, where the platform finished the year with $8.3 billion in FUA, HUB24 is continuing to experience strong growth and maintained the fastest rate of growth in the industry in percentage terms relative to its size¹. The latest available data from Strategic Insights now has HUB24 in overall 2[nd] place for quarterly net inflows as at 30 September 2018.

Despite challenging financial markets, HUB24’s market-leading platform has continued its strong growth trajectory in the first six months of this financial year driven by strong flows from both existing advisers and new relationships.

Since 31 December 2015, HUB24 has grown from $2.4 billion in FUA on platform to over $10 billion today. During the same 3-year period, the number of advisers using the platform has increased from 556 to 1,456.

Specialist platforms collectively overtook traditional platforms by achieving 67% share of annual market inflows in the year ended June 2018². This trend has continued with the September 2018 data indicating specialist platforms continued to increase their share of net inflows¹.

Commenting on the $10 billion milestone, HUB24 Managing Director Andrew Alcock said: “We’re delighted to maintain our position as the platform provider with the fastest growth rate in the market.”

“In the midst of structural change and much distraction across the industry we have maintained momentum with advice networks and individual practices continuing to choose HUB24 because of our commitment to constant innovation, market-leading technology and superior customer service. In many cases our clients are moving away from relationships with incumbent platform providers, and transitioning FUA to HUB24.”

In the financial year 2018, the company signed several new white-label platform agreements including one with Fitzpatricks Private Wealth which in early December successfully transitioned $725 million of FUA from their inhouse MDA solution to the HUB24 platform. Additionally, HUB24 has recently launched branded platform solutions for a number of national advice groups, including AdviceIQ a licensee with over 30 authorised representatives and PortfolioIQ a collection of 25 smaller licensee businesses, who selected HUB24 for their ability to provide a flexible platform solution that catered to the needs of their advice networks.

1 Source: Based on Strategic Insights. Analysis of Wrap, Platform and Master Trust Managed Funds at September 2018. HUB24 is the fastest growing platform provider relative to its size in percentage terms, 3rd highest in terms of annual dollar based net inflows and 2[nd] highest in terms of quarterly net inflows. ² Source: Based on Strategic Insights. Analysis of Wrap, Platform and Master Trust Managed Funds at June 2018.

HUB24 Limited | ABN 87 124 891 685 | ACN 124 891 685

GPO Box 529, Sydney, NSW 2001 Level 2, 7 Macquarie Place, Sydney, NSW 2000 Australia T +61 2 8274 6000 F 1300 781 689 W hub24.com.au

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Well-positioned for further growth

Mr Alcock said HUB24 is well-positioned for further growth, thanks to the current market dynamics and a strong pipeline of new business. “The traditional ‘asset administration’ role of platforms has been disrupted and it’s now about creating value in investment selection, tax management, portfolio construction and data integration. HUB24’s strong pipeline of new business is testament to our strategy and continued investment, with the expertise of our subsidiary Agility Applications and the new functionality of ConnectHUB contributing to HUB24 being chosen to provide platform solutions. We are very pleased that two large national brokers chose HUB24 during the last quarter, including Patersons Securities.”

HUB24 is progressing its ConnectHUB offering, which will allow advisers to integrate multiple external data sources in real time, including cash management accounts and annuities, among others, enabling them to tailor their platform experience and provide a consolidated view of wealth for their clients. ConnectHUB is currently in pilot with several advisers and will be rolled out to the broader market during the remainder of financial year 2019.

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For further information please contact:

Mark Goodrick Chief Financial Officer mgoodrick@hub24.com.au

About HUB24

The Australian Securities Exchange-listed HUB24 Ltd ABN 87 124 891 685 (ASX: HUB) connects advisers and their clients through innovative solutions that create opportunities. The business is focussed on the delivery of the HUB24 platform and the growth of its wholly owned subsidiaries Paragem Pty Ltd, a financial advice licensee, and Agility Applications Pty Ltd and ConnectHUB Pty Ltd which provide data, reporting and software services to Australian stockbroking and wealth management market. HUB24’s award-winning investment and superannuation platform provides broad product choice and an innovative experience for advisers and investors. Its flexible technology allows advisers and licensees to customise their platform solution to fit their individual business so they can move faster and smarter. It serves a growing number of respected and highprofile financial services companies. For further information please visit www.HUB24.com.au

This release is not financial product advice. Past performance is not indicative of future performance and any forward- looking statements in this release are not representations or guarantees as to future performance.

HUB24 Limited | ABN 87 124 891 685 | ACN 124 891 685

GPO Box 529, Sydney, NSW 2001 Level 2, 7 Macquarie Place, Sydney, NSW 2000 Australia T +61 2 8274 6000 F 1300 781 689 W hub24.com.au