Präsentation: Investor Day 2020 - Frankfurt (18. November 2020, Englisch)

Investor Day 2020

Compass 2023: "Growth in uncertain times"

Frankfurt, November 18, 2020

Agenda

Roadmap 2020: What have we achieved?

Compass 2023: What's the way forward?

Key initiatives: How do we want to grow?

Financials: How do the numbers square up?

Deutsche Boerse Group | November 18, 2020 |

1

We successfully achieved our Roadmap 2020 targets

Roadmap 2020 target achievement

Financial scorecard 2017-20E

~9%~12%

CAGR	CAGR
Net revenue	Net profit adj.

Strategic scorecard

Delivery on secular growth target of >5% p.a.

Multiple M&A deals in focus areas closed

Investments in new technology like cloud & DLT

Reduction of structural costs by ~€100 million

Execution discipline strengthened

Deutsche Boerse Group | November 18, 2020 |

2

Agenda

Roadmap 2020: What have we achieved?

Compass 2023: What's the way forward?

Key initiatives: How do we want to grow?

Financials: How do the numbers square up?

Deutsche Boerse Group | November 18, 2020 |

3

Ten convictions form the basis for Compass 2023

1

2

3

4

5

Maintain and even accelerate our overall growth ambition; Compass 2023 formula: 10% growth p.a. overall (DB1 = growth stock)

Basis is continued secular net revenue growth ("homemade" sustainable 5% growth p.a.)

Overall: no cyclical tailwind assumed (differentiation by segment)

Importance of M&A is increasing; readiness for larger deals; focus on asset class expansion rather than exchange consolidation (5% growth p.a. from M&A)

ESG emerging as powerful new asset class

6

7

8

9

10

Costs are steered according to secular growth (cyclicality must not affect growth initiatives)

EBITDA margins expected to remain stable (M&A structurally margin dilutive, cyclicality accretive)

Continue with technology investments in

clearly defined areas (e.g. cloud, DLT); willingness to invest in adjacent growth

2021 expected to be cyclically muted, but secular trends fully intact over Compass

2023 period

Compass 2023 firmly underpins growth, but is also flexible to getting adjusted if required (contingency plan in place)

Deutsche Boerse Group | November 18, 2020 |

4

Our key growth drivers are favorable capital markets trends

Major trends

OTC to on-exchange

Brexit

Sell-side under pressure

Importance of buy-side

Digitization

COVID-19

• Growing importance of futurization
• Standardization of OTC derivatives opportunity for central clearing
• Brexit creates momentum to shift margin and collateral pools
• Sell-sidehas to adapt to regulatory and cost pressure
• Growing importance of buy-side and shift to passive products
• Increasing demand for analytics and ESG
• Technology and digitization are transforming the way the financial sector operates (e.g. cloud, DLT)
• Severe implications for economy and markets (digitization, efficiency, ESG)

Our credentials

Eurex, EEX and 360T very well positioned to win market share

Eurex OTC clearing is a

winning proposition

IFS with strong position to benefit from outsourcing trend

Qontigo with strong starting point to support analytics demand

Leading technology is at the

core of our business model

Products and services across the Group to support clients

Deutsche Boerse Group | November 18, 2020 |

5

Our secular growth ambition is based on a broad set of initiatives

Pre- trading

Trading & Clearing

Combining index and analytics to increase buy-side penetration and become a leader in the field of investment intelligence

Introduction of new derivatives products and building the leading OTC clearinghouse in the Eurozone

Expand on leading position in European energy markets and win significant position in US energy market

Build out FX one-stop-shop exchange and OTC solutions with leading technology platform

Post- trading

Strengthen European proposition to continuously onboard new portfolios/clients and grow custody services on a global scale

Leverage partnership model and add new clients/services to

strengthen leadership position for funds service business platform

Deutsche Boerse Group | November 18, 2020 |

6

We will continue to pursue our successful M&A agenda

Pre- trading

Trading & Clearing

Post- trading

Index and analytics

ESG

Commodities Foreign-exchange Fixed income

Investment fund services

Strategic guidelines

Strong fit to strategic growth areas

Value creation for shareholders

Successful integration and synergy potential

Public M&A only with high closing certainty

Avoidance of auctions if possible

Partnerships and majority stakes preferred

Larger deals (€1-5bn++) explicitly targeted, but only if there is a strong strategic fit and clear post merger integration plan

Deutsche Boerse Group | November 18, 2020 |

7

Acquisition of Institutional Shareholder Services Inc. (ISS) with powerful strategic rationale

Strategic rationale

Very attractive business profile

• >5% organic revenue growth and good profitability, which fits well with our Compass 2023 targets
• Adds substantial recurring revenue
• Continued consolidation opportunity in ESG

Perfect fit of ISS with our strategic priorities

• Very attractive data business as growth strategy sweet spot
• Very diverse buy-side client base
• Top 3 in ESG business

Interesting array of businesses along the value chain

• Market leader in governance research; leading on "G", but perfectly positioned to drive ESG overall
• ISS leverages global data operations into adjacent areas with links to Deutsche Börse

Well-known global brand name

Experienced and very strong senior management

Deutsche Boerse Group | November 18, 2020 |

8

ISS is significantly expanding our ESG capabilities and complements very well with existing businesses

Importance of

ESG

continues to rise

significantly

Globally more than

$40 trillion

of sustainable

invested assets

~$1.6 billion

Global top player in ESG research, ratings, data, analytics and advisory services

Global leader in providing governance research and proxy voting

Excellent research, data, product distribution, insight, and workflow solutions to the buy-side

Qontigo with world-class

• indices and best-of-breedportfolio-construction and risk analytics tools
  Clearstream with strong
• European post-trading footprint
  IFS with global fund
• distribution services and €2.8 trillion custody assets

revenue pool for

ESG data, products,

and services

Best in class ESG, governance research and data provider

Leading market infrastructure provider

Deutsche Boerse Group | November 18, 2020 |

9

With Compass 2023 we target continued secular growth and an increased M&A contribution

Compass 2023	Net revenue (€bn)		EBITDA reported (€bn)

Continued	~10%
CAGR
secular growth
	~4.3
2.9
+	~0%	cyclical
growth
Increased	+5%	M&A
growth
M&A contribution
	+5%	secular
	growth
2019		2023E

	~10%
	CAGR
1.7
2019	2023E

Note: all figures including ISS

Deutsche Boerse Group | November 18, 2020 | 10

Agenda

Roadmap 2020: What have we achieved?

Compass 2023: What's the way forward?

Key initiatives: How do we want to grow?

Financials: How do the numbers square up?

Deutsche Boerse Group | November 18, 2020 | 11

ISS - An innovative global leader in data and research centered around governance and ESG

The global leader in corporate governance for more than three decades with rapidly growing position in broader ESG and distribution services

ISS empowers investors and companies to build for long-term and sustainable growth by providing best-in-classdata, analytics, and insights

Global reach, local touch:

Large and diverse client base with >4,000 clients

Primed for continued growth

both organically and through acquisition

>2,000 employees

33 offices

15 countries

115 markets covered

Deutsche Boerse Group | November 18, 2020 | 12

ISS - Well established global business with excellent organic and inorganic growth track record

Net revenue growth
Incl. acquisitions, US$m
+15%	>280
CAGR

I N T E G R A T E D

E S G S O L U T I O N S

&

2014

2015

2016

2017

2018

2019

2020E

D I S T R I B U T I O N

Oct 2014

Aug 2016

Jun 2017

Mar 2018

Mar 2019

Oct 2020

Executive comp

Interactive proxy

ESG platform

ESG ratings

Distribution data &

ESG cyber risk

platform

analytics

11 acquisitions:

▪ ESG (6)

▪ Data & Analytics (3)

Sep 2015

Dec 2016

Feb 2018

Feb 2019

Jul 2020

▪ Data & Distribution (2)

Screening &

ESG content

Financial data

Australia ESG

Fund flow

controversies

intelligence

Deutsche Boerse Group | November 18, 2020 | 13

ISS - ESG permeates all five businesses serving investors and corporations

Global leader in		Innovative and high-		Solutions to help		Provides critical		Market-leading digital
providing objective		quality ESG research,		companies design and		research, data,		media brands -
governance research		ratings, index,		manage their gover-		insight, and workflow		PLANSPONSOR,
				PLANADVISER, and
and advisory, and		screening, data,		nance, compensation,		solutions to global
				CIO - for the invest-
end-to-end proxy		analytics & advisory		EVA and sustainability		asset managers and
				ment management
voting solutions		services		programs		distributors
				industries
75% of the business related to ESG & stewardship solutions		23% distribution		2% media

Integrated data & technology infrastructure drives product innovation

Product Set Breadth & Innovation

• Market leader and widest range of ESG and stewardship solutions
• Continued innovation & product development
• Offshore development & data collection

Superior Data Assets

• Continuous expansion of proprietary data sets unrivalled for timeliness, breadth and depth
• Coverage spans carbon & climate, executive pay, director profiles, ESG ratings, and tens of thousands more datapoints underlying portfolio monitoring

Scalable Technology Infrastructure

• Scalable and integrated technology infrastructure to support diverse product suite
• Highly secure, reliable and flexible environment gives common architecture across multiple products

Deutsche Boerse Group | November 18, 2020 | 14

ISS - Strong and unique opportunities for future growth and synergies with Deutsche Börse

ESG data spending continues to grow rapidly

Global spending, US$m1			ESG indices
1,000						ESG content
800
600
400
200
2016	2017	2018	2019	2020E	2021E
	+20% p.a.			+35% p.a.
	growth on ESG			growth on ESG
	data spending			index spending

Unique position to expand products & services

ISS and Deutsche Börse are uniquely positioned across key ESG segments

Governance Research

and Voting

Corporate

Solutions

ESG (screening, data, research, ratings, index, climate, cyber)

Index/

Analytics

1) Source: Opimas, overall ESG data, products and services estimated at ~$1.6bn in 2020

Deutsche Boerse Group | November 18, 2020 | 15

ISS - Partnership to strengthen Deutsche Börse's pre-trade business and to provide runway for ISS to grow

Future ESG growth

Strong and diverse client base

Regionally complementary

Business complementary

Strong operations skills

ISS' business will transform Deutsche Börse into a global ESG leader; ISS with Deutsche Börse's significant financial resources will accelerate ISS' product/M&A roadmap

ISS' strong global brand translates into access to 4,000+ clients, with high buy-sideexposure including 2,000+ asset managers (including global top 10)

ISS with very strong US franchise and brand; leverage Deutsche Börse's strong European brand/network to expand in EMEA

Highly complementary product offering already within ISS; strong linkages to Deutsche Börse that offer concrete revenue synergies in pre- and post-trading

ISS has strong and deep experience in operating emerging market data and processing centres, which can be leveraged by

Deutsche Börse

ISS research and advisory activities to continue to operate fully independent at arm's length

Deutsche Boerse Group | November 18, 2020 | 16

Qontigo - Building state-of-the-art investment products of the future

Key secular growth drivers

• Investment intelligence market will grow by 5-10%p.a. with high growth pockets of >15%
• Active-to-passivemigration will continue - Qontigo serves both and can leverage scale in index/passive
• Demand for seamless customer experience and margin pressure will accelerate growth of E2E platforms and interoperable ecosystems
• Disruption by ESG and fast lateral entrants will lead to few mega-platformsand offer opportunities for superior analytics
• Qontigo aggregates scale with its open architecture platform connecting own as well as 3rd party content

Revenue growth

>15%

Net revenue growth

CAGR 2019-23E

t/o secular	~10%
	CAGR
t/o M&A	~5%
(Axioma)	CAGR

Deutsche Boerse Group | November 18, 2020 | 17

Qontigo - COVID has even accelerated secular growth trends and strengthened our growth convictions

Key drivers

Initial objectives

COVID acceleration

Increasing complexity

Brands matter

Passive proliferating

Client margins shrinking

Sustainable investing

Unite Axioma's sophisticated analytics

and technology with STOXX' indexing expertise

Disrupt entrenched brands; advance/protect our own brands

Leverage our strengths in indexing and analytics to help clients create unique passive/structured solutions

Create a cost efficient model as margin squeeze continues and regulation increases

Capitalize on our index position in Europe, expand ESG offerings and lead in investor-centric models

Higher requirements for sophisticated models post COVID; link to tradeable products

Concentration on biggest and/or highest valued brands (like STOXX, Axioma)

Public debate on active vs. passive costs and performance intensifies

Accelerated move to the cloud due to greater cost pressure

Position Deutsche Börse Group as the go-to source for sustainable investment solutions

Deutsche Boerse Group | November 18, 2020 | 18

Qontigo - Priorities for driving double-digit revenue growth

New

partnerships

Derivatives

Asset-based

fees

Licensing

Key drivers of distribution and product strategy

• Implement segment-specific distribution strategies to optimize cross- selling
• • Wealth channel significantly accelerating
  • Opportunity to grow asset-based fees tied to ETPs
  • New distribution partnerships expand reach
• One-stopshop for sustainable indices & analytics products
• • Expand index product offering: comprehensive global families for ESG, unlock access to deep and broad research and data
  • Include ESG functionality into Axioma analytics products and develop selective ESG IP to set reporting standards
• Expand analytics solutions that offer full integration in the cloud (e.g. optimizer access, single security analytics, multi-assetclass performance attribution)

Qontigo: Optimizing Impact

Deutsche Boerse Group | November 18, 2020 | 19

Trading & Clearing - Well positioned to deliver scalability and growth

Industry trends

Investment themes

• Active to passive
• Single to global multi asset
• Towards sustainability / ESG

Regulation

• OTC to exchange
• Bilateral to clearing
• Towards transparency and integrity

Technology

• Sell-sideto buy-side agency
• High-touchto electronic
• Towards quant and data driven

Synergetic assets

Trusted markets, global benchmarks and brands

+

Deep liquidity, margin and collateral pools

+

Leading risk management and portfolio margining

+

Superior technology,

innovation capacity, and operational excellence

Ambition level

• The global venue for benchmark indices
• The home of the
  Euro yield curve

The preferred global commodity exchange group

The global leader for listed and OTC FX trading, clearing and technology

Deutsche Boerse Group | November 18, 2020 | 20

Eurex - Trading and clearing of financial derivatives

Key secular growth drivers

Equity index business - Product innovation

• Leading global position with STOXX index family; unique innovation pipeline to capture growth trends in index, futurization, ESG and ETF derivatives

Fixed income business - OTC clearing

• Partnership program driving volume growth by factor of 6; Euro Interest Rate Derivatives (IRD) with ~19% market share

Service and business expansion - Organic and M&A

• Quantitative Brokers - quant-tech algorithmic execution
• Buy-inAgent - service for failed securities settlement

Net revenue growth

7-10%

Net revenue growth

CAGR 2019-23E

t/o secular	>5%
	CAGR
t/o M&A	~1%
(Quantitative
Brokers)	CAGR

Deutsche Boerse Group | November 18, 2020 | 21

Eurex Equity Index - Product innovations lever global lead and drive structural growth ambitions

Global index derivatives and futurization:	ESG and ETF derivatives:
global leader today; scale and expansion next	leading entry today; liquidity build-up next

Achievements so far Next

Achievements so far

Next

Global

index

derivatives

MSCI

Futurization

Total

Return

Futures

STOXX

Global leader with

46% market share

+265% in volumes +178% in open interest since 2016

Global leader with first mover advantage

+450% in volumes

+190% in open interest since launch in 2018

Expand MSCI	ESG	Global leader with		Diversify into
	other index
product suite	derivatives	broadest product range
into ESG,			families
	+65% in volumes
dividend & total	STOXX		Complement with
+220% in open interest
return
MSCI		additional ESG
since launch in 2019
derivatives		methodologies

Diversify into				Partnerships with
other index		European leader with
		additional
families
ETF	broadest product range		ETF issuers
Expand into
derivatives	+530% in volumes since		Expansion into
single name &
	launch in 2018		new asset
customizable
			classes
baskets

Deutsche Boerse Group | November 18, 2020 | 22

Eurex Fixed Income - Successful partnership program drives OTC volume growth and market share expansion

Achievements since launch in 2018

Next

Competitive

spreads

Distribution

Market Share

from 2 to 0 BP

Eurex-LCH

Euro Basis1

from ~200 to ~500

Clearing Members and

Disclosed Clients2

from 2% to 19%

Market share in

Euro IRD3,4

• Same spreads quoted by vast majority of dealers for Eurex vs LCH and negligible basis
• Further build out USP of integrated risk management and portfolio margining across listed, repo and IRS businesses
• Lever partnership program to create traction in buy side repo initiative
• Lever additional jurisdictions to expand non-EUmember and client base
• Increasing portfolio switches into Euro zone; aiming at market share of 25% post
  Brexit
• Switch Incentive Program launched; delivers tangible economic benefits

1. Source: Bloomberg, 10Y €IRS; 2) Multiple clearing relations of the same entity are not counted; 3) Notional outstanding as of 30 Sept. 2020 compared to before Partnership Program launch; 4) Market share source: Clarus FT

Deutsche Boerse Group | November 18, 2020 | 23

EEX - Trading and clearing of commodity spot and derivatives markets

Key secular growth drivers

• Further market share wins in European power and natural gas markets vs. the uncleared OTC market
• Leverage the unique physical-delivery capability of our clearing house European Commodities Clearing
• Building out our US energy exchange Nodal, regional expansion of business, strengthening Asian footprint

Net revenue growth

7-10%

Net revenue growth

CAGR 2019-23E

t/o secular	>5%
	CAGR

Deutsche Boerse Group | November 18, 2020 | 24

EEX - Leverage potential of the global commodity exchange group, local expertise in global commodity markets

Key industry trends

Key activities

• Long-termtrend towards electronic trading and more cleared transactions continues
• Commodity traders increasingly active beyond their local markets
• Climate debate lets European and US environmental markets boom
• Transition towards renewable energy sources leads to disruptive trends and opportunities
• Asian markets are being shaped and global trading patterns are evolving

• Expand leadership and market share in European power adding local products
• Connect more international traders and extend regulatory licenses (e.g. Nodal UK)
• Large scale auctions to support market based pricing of carbon emissions
• Market design and innovation (e.g. short-termpower flexibility markets)
• Expansion of US natural gas market by offering trading screens and capital efficiencies
• Develop Japanese power market clearing and expand offering to further Asian countries

Focus on organic growth (products and clients) by capitalizing on our global venue and client network; in parallel actively pursue selected M&A opportunities globally

Deutsche Boerse Group | November 18, 2020 | 25

360T - Foreign exchange markets

Key secular growth drivers

• FX market: global, large and growing
• Shift to electronic execution and multi-dealerplatforms; reputation, regulatory status key
• Changing market structure: rise of non-bankliquidity providers, largest bank liquidity providers getting bigger, market fragmentation
• Reduced credit capacity: PB capacity linked to higher costs, de-selecting clients based on credit availability, alternatives needed
• Technological progress: digitalization, electronification, low latency, data

Deutsche Boerse Group | November 18, 2020 | 26

Net revenue growth

>10%

Net revenue growth

CAGR 2019-23E

t/o secular	~10%
	CAGR

360T - Driving a holistic and complete FX product and trading suite on a global scale

Key industry trend

Shift to electronic execution and multi-dealer platforms across clients, products, regions and solutions accelerated by …

Asset managers / real money progressing

on electronification and automation

Key activities

• 360T's aspiration to continuously scale its business based on these drivers

Focus on expansion of holistic FX trading

offering and automated trading solutions

Shifting / fragmented markets requiring different trading styles and products

Increasing futurization and introduction to

central clearing for FX products

COVID-19: unclear on long-term effects, electronification & automation expected to increase

360T Active Markets (incl. GTX) offering anonymous Spot, NDFs (on-/off-SEF)and MidMatch for Swaps

Providing a unique proposition for FX ETD and for centralized FX OTC Clearing

Growth impacted by market development; 360T already compensating negative effects with "own" secular growth

Deutsche Boerse Group | November 18, 2020 | 27

360X - New platform for serial marketplace creation and operations in non-adjacent asset classes

360X structure and focus

Deutsche Börse AG

Partnerships				360X
with industry
players
		Art trading/					Real
		lending		E-sports
				estate
		platform

Initial focus on art - plan to partner with industry players, e.g. insurances

• Art market attractive based on size, growth, and inefficiencies
• Opportunity identified in creating global art exchange driven by fractionalization and tokenization of art
• Creation of ecosystem in art trading, lending and insurances

• 360X as entrepreneurial platform, based in Frankfurt and led by Carlo Kölzer
• Vehicle for serial creation and operation of marketplaces in non-adjacent new asset classes
• Lean set-up as an independent firm supported by 360T and Deutsche Börse infrastructure
• Initial investment of €10m until end of 2021
• Partnering with key industry players, especially in the art vertical, also to bring in capital
• Additional assets added in modular fashion - holistic, systemic approach

Potential other asset classes

Deutsche Boerse Group | November 18, 2020 | 28

IFS - Leading provider of investment fund distribution services

Key secular growth drivers

• Positioning in sweet spot of global fund sector growth, third party distribution acceleration and outsourcing pressures
• Build out #1 position as leading European fund processing service provider with ~€2.8tr assets under custody
• Strengthen fund distribution services (via Fund Centre) as foundation for growth and onboarding of new portfolios
• Cross-sellingsynergy effects from business combinations, e.g. Ausmaq, Fund Centre, Clearstream (I)CSD
• Expand in alternative fund shares issuance to via digital enablers and DLT (FundsDLT)
• Strengthen funds data and analytics solutions

Revenue growth

>15%

Net revenue growth

CAGR 2019-23E

t/o secular	~10%
	CAGR
t/o M&A	~6%
(Ausmaq, UBS
Fondcenter)	CAGR

Deutsche Boerse Group | November 18, 2020 | 29

IFS - Well positioned in sweet spot of long-term growth trends

Key industry trend

Attractive underlying investment fund market with assets of $55tr globally and strong historic growth of >10% p.a.

Increasing relevance of passive and alternative investment strategies - multi-assetclass capabilities are key

Increasing importance of independent distributors and third-partyfund offering

Cost pressure in banking and consolidation dynamics open opportunities for further growth

IFS with strong position to grow

• Order processing capabilities for >190k funds across 43 jurisdictions
• Leading in Europe and strong onboarding pipeline; strong growth momentum in APAC
• Leading (mutual and hedge) fund and ETF execution player combined with (I)CSD
• Scaling business model offering efficiency benefits to clients
• Fund Centre with distribution agreements for >70k funds across 25 jurisdictions
• Connecting 300 distribution partners with >400 global fund providers
• Comprehensive outsourcing offering across the full value chain
• Superior partnering proposition (e.g., with UBS)

Deutsche Boerse Group | November 18, 2020 | 30

IFS - Ambition to further grow IFS footprint along the value chain - strategic roadmap focused around 4 pillars

	Expand in alternative			Optimize core			Expand front-office
					distribution support
	fund shares issuance			Vestima services
					(via Fund Centre)
▪	Expand the value chain and		▪	Consolidate foundations		▪	Strengthen products (via
	range of services offered			via product development			Fund Centre) to compete at
▪	Use digital enablers and		▪	Tilt to new markets and			par with leaders
	DLT to boost efficiency along			expand market coverage		▪	Develop market share by
	the value chain		▪	Further enhance efficiency			attracting more distributors
					and fund promoters
				(processes, platforms)

Strengthen fund data solutions

• Valorize data to drive efficiency
• Upgrade and monetize fund distribution data services

Deutsche Boerse Group | November 18, 2020 | 31

Agenda

Roadmap 2020: What have we achieved?

Compass 2023: What's the way forward?

Key initiatives: How do we want to grow?

Financials: How do the numbers square up?

Deutsche Boerse Group | November 18, 2020 | 32

We fully reached our Roadmap 2020 financial targets

Net revenue 2017-20E(€m)
~9%
	CAGR
		~3.2bn
2,462
				Target
2%	cyclical		positive
growth
1-2%	M&A		no explicit
growth		guidance
5-6%	secular		>5%
growth
2017		2020E
Deutsche Boerse Group	| November 18, 2020	|	33

Net profit (adj.) 2017-20E(€m)
	~12%
	CAGR
	~1.20bn
857	Target
	10-15%
	CAGR
2017	2020E

Compass 2023 KPIs will be based on reported income statement

Income statement reconciliation 2019 (€m)

	Adjusted	Exceptionals	Reported
Net revenue	2,936		2,936
Operating costs	−1,130	−135	−1,264
EBITDA	1,813	−135	1,678
EBITDA margin	62%		57%
EBIT	1,590	−138	1,452
Net profit	1,106	−102	1,004
Earnings per share (€)	6.03	−0.56	5.47

Going forward, income statement will be published on reported basis only

Base year for key Compass 2023 KPIs will be 2019

KPIs reflects our profitable growth ambition

Net revenue growth EBITDA growth (reported) EPS growth (reported)

Deutsche Boerse Group | November 18, 2020 | 34

Our growth ambition is based on multitude of strategic initiatives

Mid-term net revenue growth opportunities (€m)

~0.6bn

~4.3bn

~0.2bn

~0.1bn

~0

2,936

~0.4bn

secular

5%

cyclical

0%

M&A

5%

CAGR

CAGR

CAGR

2019

Trading &

Post-trading

Pre-trading

2023E

Clearing

New ETD1

~110

IFS

~100

Indices

~60

NII

~−130

Closed

~100

M&A

EEX

~90

Custody

~90

Analytics

~40

Trading &

Clearing,

ISS

~300

360T/FX

~70

GSF3 and

~+170

~30

Post-

Pricing

~40

others

trading

Future

~200

OTC IRS

~35

M&A

GFF2

~30

Buy-in agent

~25

Breakdown by product for indicative purpose

1) Exchange traded derivatives; 2) Global Funding & Financing; 3) Global Securities Financing

Deutsche Boerse Group | November 18, 2020 | 35

Midterm secular net revenue growth opportunities fully intact

			Net revenue	Growth
Segment		2019 (€m)	CAGR 2023E	t/o secular	t/o M&A
		Eurex	1,009	7-10%	>5%	~1%	Quantitative
		Brokers
Trading &		EEX	289	7-10%	>5%	̶
Clearing		360T	92	>10%	~10%	̶
		Xetra	329	0-3%	0%	̶
Post-		Clearstream	843	0-3%	3-5%	̶
trading		IFS	183	>15%	~10%	~6%	Ausmaq, UBS
		Fondcenter
Pre-		Qontigo	190	>15%	~10%	~5% Axioma
trading
ISS					~2%	>5% secular growth
				expected for ISS
Future M&A					~2%
Total		2,936	~10%	~5%	~5%

Deutsche Boerse Group | November 18, 2020 | 36

We will continue to pursue our successful M&A agenda

Pre- trading

Trading & Clearing

Post- trading

Index and analytics

ESG

Commodities Foreign-exchange Fixed income

Investment fund services

Financial guidelines

Cash earnings accretive in year 1, latest in year 3

ROI in year 3 should be higher than WACC (~6%) across M&A portfolio

Margin dilution accepted for transactions with

strong strategic fit

Deutsche Boerse Group | November 18, 2020 | 37

ISS is an attractive growth business, which fits well with our Compass 2023 financial targets

Acquisition of a growing business …	… in a strategic partnership format
>US$280m		Net revenue 2020E	ISS management,	Deutsche Börse
	(pro forma IFRS)	Genstar Capital	80%
			20%

>5% CAGR

>90%

Organic net revenue growth until 2023E pre synergies

High recurring net revenue base

• In 2020 ~35% adjusted EBITDA margin
  pre transaction effects with further operating leverage potential
• Due to strong complementarity, revenue synergies expected to result in €15 million additional EBITDA by 2023
• ISS will be fully consolidated and forms a new segment within the pre-tradingarea

• Purchase price of US$2,275 million
  (€1,925m) for 100% cash/debt free
• Deutsche Börse is acquiring ~80%, which is financed through ~€1 billion debt and remainder with own cash
• Transaction is cash accretive in year 1 (~5% incl. run rate synergies)
• Transaction is expected to close in the first half of 2021

Deutsche Boerse Group | November 18, 2020 | 38

We refined our financial steering logic to support our growth ambition

Sustainable growth

Overall cost development

Financial steering

Continuous improvement

Profitability

• Funding of growth initiatives linked to sustainable secular net revenue growth
• In order to support our secular revenue growth ambition, we expect the operating costs to increase
• Reported operating costs will be new cost metric
• Continuous improvement (~2% productivity increase p.a. or
  ~€100m by 2023) will be key measure to capture efficiencies and ensure scalability of core businesses
• We are planning with a broadly stable EBITDA margin until 2023
• Additional cyclical support would result in an increase of the
  EBITDA margin

Deutsche Boerse Group | November 18, 2020 | 39

Long standing capital management policy is confirmed

Rating

Dividend policy

Use of excess cash

Capital allocation

• AA rating mainly because of post-trading business
• Net debt / EBITDA below 1.75x
• FFO / net debt above 50%
• Payout between 40% to 60% of net profit (reported)
• With increased earnings, payout ratio expected to decrease
• Preferably reinvested into the business to support M&A strategy; otherwise buy-backs would be considered
• Permanent review and monitoring of business portfolio
• Maintain sound balance sheet structure

Deutsche Boerse Group | November 18, 2020 | 40

Summary financial targets Compass 2023

CAGR 2019-23E

Net revenue	~10%

EBITDA (reported)

~10%

EPS (reported)

~10%

Note: all figures including ISS

Deutsche Boerse Group | November 18, 2020 | 41

Disclaimer

Cautionary note with regard to forward-lookingstatements: This document contains forward-looking statements and statements of future expectations that reflect management's current views and assumptions with respect to future events. Such statements are subject to known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied and that are beyond Deutsche Börse AG's ability to control or estimate precisely. In addition to statements which are forward-looking by reason of context, the words 'may, will, should, expects, plans, intends, anticipates, believes, estimates, predicts, potential, or continue' and similar expressions identify forward- looking statements. Actual results, performance or events may differ materially from those statements due to, without limitation, (i) general economic conditions, (ii) future performance of financial markets, (iii) interest rate levels (iv) currency exchange rates (v) the behaviour of other market participants

1. general competitive factors (vii) changes in laws and regulations (viii) changes in the policies of central banks, governmental regulators and/or (foreign) governments (ix) the ability to successfully integrate acquired and merged businesses and achieve anticipated synergies (x) reorganization measures, in each case on a local, national, regional and/or global basis. Deutsche Börse AG does not assume any obligation and does not intend to update any forward-looking statements to reflect events or circumstances after the date of these materials.

No obligation to update information: Deutsche Börse AG does not assume any obligation and does not intend to update any information contained herein.

No investment advice: This presentation is for information only and shall not constitute investment advice. It is not intended for solicitation purposes but only for use as general information.

All descriptions, examples and calculations contained in this presentation are for illustrative purposes only. © Deutsche Börse AG 2020. All rights reserved.