Page 44 - ASCOT GROUP COMPLETE DOCUMENT (2)

Ascot Group will be implementing affiliate marketing models, predominantly targeting online
companies & online influencers. FELIX will be advertised on the website of the online company and in
the best-case scenario actively recommended to their subscribers as free financial planning.

Most online companies are looking to monetise their traffic and client base, and in many cases they
will look to generate revenues through directly, or indirectly, marketing products with an affiliate
agreement in addition to their own products and services. These businesses are continuously looking
for new opportunities and depending on the number of subscribers and strength of their relationships
with their users (and therefore the influence and impact), will seek remuneration accordingly. Given
the level of margins in our product, we anticipate that Ascot Group will be able to agree a ‘profit-
sharing’ (commission) arrangement that will be greater than the norm in the affiliate arena, ensuring
numerous partnerships from launch.

The affiliate model should also allow Ascot Group to reduce the fees in the products by up to 50% (it
is common place to compare fees with other providers in the marketing materials) as we will not need
to pay a financial adviser in the middle - thus allowing the affiliate company to promote our products
whilst also adding value to their users.

An example of what one affiliate partnership could look like:

Assuming that 0.1% of users from online companies take out an averagely funded savings plan, Ascot
Life will make USD 7,000 upfront.

Therefore, extrapolating this further, an online company or social influencer with 1,000,000
subscribers / followers may create 1,000 policies producing USD 7,000,000 in profit for Ascot Life.
A company with 10,000,000 users will produce 10,000 policies making USD 70,000,000 in profit for
Ascot Life, and so on; and these figures take account of the initial take on only, and not ongoing
charges.

If a financial advisory firm entered into an agreement with an online company that had 10,000,000
users and 5% requested a free financial review they would be faced with the following obstacles:

1. It would be extremely unlikely that the firm would have the required time and/or the number
of advisers needed to review 500,000 people – without even considering the administration
of the applications.

2. The firm would not necessarily have multilingual advisers to deal with clients and servicing.

3. The majority of financial advisory firms do not have a global network of advisers and therefore
it would be difficult logistically to physically meet with each client.

4. The firm is unlikely to be regulated in each respective country and therefore would not be in a
position to provide the necessary product suitability advice required by product providers to
accept the business in each country.