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ASX invests in a new electronic property settlement business

ASX Limited (ASX) has partnered with Australian Technology Innovators Pty Limited (ATI), the parent company of InfoTrack, Australia's leading provider of eConveyancing technology and services, to enter the national electronic property settlement market. Sympli Australia Pty Ltd (Sympli), owned 50:50 by ASX and ATI, has applied to become an Electronic Lodgment Network Operator (ELNO) with the regulator, the Australian Registrars' National Electronic Conveyancing Council (ARNECC).

ASX and InfoTrack see an attractive opportunity to deliver a market-leading electronic property settlement service by combining their significant experience and expertise - ASX's in secure, electronic financial market settlements and InfoTrack's in property settlement technology and processes. Sympli will offer lawyers, conveyancers and financial institutions a more streamlined and comprehensive technology solution that will seamlessly integrate with clients' existing practices and systems. The service will improve efficiencies and support Australia's successful transition to full electronic conveyancing and settlement.

The electronic property settlement industry in Australia is estimated to have potential revenues in excess of $200m1 . Subject to regulatory approvals, Sympli expects to begin operations towards the end of 2018, ASX expects to invest approximately $30 million in the new venture over this and the next two financial years. This will comprise approximately $7 million in 2018, with further investments in 2019 and 2020. ASX estimates that Sympli will break-even in the 2021 financial year.

ASXInvestmentInSympliMay2018.pdf

 

* In April 2018, the average daily number of trades was 5% higher than the pcp. The average daily value traded onmarket of $3.9 billion was down 8% on the pcp.

* Volatility (as measured by the average daily movement in the All Ordinaries Index) was 0.3% in April down on the previous month (0.6%).

* Expected future volatility (as measured by the S&P/ASX 200 VIX) in April was an average of 13.3 (compared to 14.0 in March).

ASXMarketMonthlyActivityReportApril2018.pdf

• Financial results for the 9 months ending 31 March 2018

• Strengthening the foundations for continued resilience and future growth

• CHESS replacement journey

• Other licence to operate initiatives

• Listings framework enhancements

• Conclusions

MacqarieConferencepresentationMay2018.pdf

 

* Our third quarter 2018 and fiscal year-to-date numbers.

* Work underway to lay the foundations for continued resilience and future growth. This includes the largest, and perhaps best known project, CHESS replacement, and a number of other projects where ASX is strengthening its core foundations.

* I'll also touch on another area on which we are focussed – our listings business. This includes our continuing work to evolve and strengthen the compliance framework, and an overview of the role ASX and many other parties play in the overall regulatory environment.

* I will finish with a summary before moving on to Q&A.

CEOSpeakingnotesMacConferenceMay18.pdf

Trading – Cash Markets (including equities, interest rate and warrant trades)

• In March 2018, the average daily number of trades was 19% higher than the pcp. The average daily value traded on-market of $4.4 billion was up 1% on the pcp.

• Volatility (as measured by the average daily movement in the All Ordinaries Index) was 0.6% in March down on the previous month (0.7%).

• Expected future volatility (as measured by the S&P/ASX 200 VIX) in March was an average of 14.0 (compared to 16.3 in February)

ASXMonthlyActivityReportMar18.pdf

Dear ASX Shareholder,

On 15 February 2018, ASX Limited (ASX) announced strong half-year results for the six months to 31 December 2017 (1H18). Profit after tax rose 5.1% on the same period last year (1H17) to $230.5 million and was up 7.3%, or almost $16 million, on the preceding six months. The performance was driven by higher secondary capital raisings, increased futures trading – particularly from offshore – and growth in technical services connections and customers. While cash market trading was down amid low levels of market volatility, revenue from information services increased with an expanded range of products.

ASX's expenses rose 6.7%, with an underlying increase of 3.1% that excludes some step changes such as higher rent, electricity, postage and ASIC levy costs. Our capital expenditure is expected to be circa $50 million for the full-year, with continued investment in existing and new technology

ASXlettertoshareholderMar18.pdf

Update Summary

Entity name ASX LIMITED

Security on which the Distribution will be paid ASX - ORDINARY FULLY PAID

Announcement Type Update to previous announcement

Date of this announcement Tuesday March 13, 2018

Notificationofdividendmar18.pdf

Trading – Cash Markets (including equities, interest rate and warrant trades)

* In February 2018, the average daily number of trades was 15% higher than the pcp. The average daily value traded on-market of $4.8 billion was up 9% on the pcp.

* Volatility (as measured by the average daily movement in the All Ordinaries Index) was 0.7% in February up on the previous month (0.3%).

* Expected future volatility (as measured by the S&P/ASX 200 VIX) in February was an average of 16.3 (compared to 11.1 in January).

ASXMonthlyActivityReportFeb18.pdf

Mr Dominic Stevens, ASX Managing Director and CEO, said: "ASX has achieved a strong result for the first
half of the 2018 financial year, with profit up 5.1% on the same period last year to $230.5 million and up 7.3%
- or almost $16 million - on the preceding six months. The performance was driven by higher secondary
capital raisings, increased futures trading - particularly from offshore customers - and growth in technical
services connections and data feeds. While cash market trading was down amid low levels of market
volatility, revenue from information services increased with an expanded range of products. The share of
value transacted in our premium Centre Point and Auctions services continues to grow, an indication that
customers want control over their orders, efficient execution and the deepest liquidity. Collectively, 34.5%
of all ASX on-market cash market value is now transacted through these two services.

"ASX's expenses rose 6.7%, or 3.1% excluding some step costs, such as higher ASIC levy (up 133%) and
electricity charges (up 82%), as signalled at our last results briefing. Our capex is expected to be circa $50
million for the full-year.

ASX1H18ResultsMediaRelease.pdf

Operating expenses increased $6.1 million, up 6.7% Underlying growth up 3.1%

• Staff costs up 2.3% ‒ Average headcount in line with 1H17 ‒ Reflects annual remuneration increases Step changes

• ASIC supervision levy increased $1.9 million, up 133% ‒ Increase due to new industry funding model

• Postage costs increased $0.6 million, up 18% ‒ Increased postage fee and higher CHESS statements

• Rent and electricity costs increased $0.8 million, up 11% ‒ New 10-year lease increased rent $0.2 million, up 5% ‒ Electricity increased $0.6 million, up 82% FY18 guidance

• Full-year guidance unchanged at approximately 8% increase

1H18HalfYearAnalystPresentation.pdf

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