Intro to Zaner Precious Metals Division

2011 Currensee, Inc. | Currensee is member #0403251 of the National Futures Association (NFA)

ZANER GROUPPrecious Metals Solutions


Global Expertise And Brokerage

Zaner is a boutique brokerage firm located in Chicago.

For over 30 years, Zaner has provided advice and brokerage services to participants worldwide in the metals, futures, commodities, currencies, energies and forex markets.

Accurate risk-management, technology, top-notch research & strategy, trading insights, reliable clearing and impeccable support define our services.

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Zaner Fast Facts

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Family owned and operated

CFTC registered

NFA member

NIBA member

Certified Coin Exchange member

American Numismatic member

Illinois Chamber of Commerce member

Better Business Bureau A+ accredited business


ZPM Back Story

At our core, we are precious metals dealers. We became involved in the software development side of the PM business only because the applications that we believed we required to support our own business did not exist. So we decided to build the applications ourselves.

We never intended to become a software solutions provider, but once industry participants became aware of our solutions, a new business was born.

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Tornado

Tornado is the name of our suite of precious metals technology.

Since we created and own all the technology, you are not hiring an IT company, you are partnering with a precious metals dealer who gets it. There is no learning curve with us.

Everything we offer was built out of need for our precious metals business.

As we were one of the first to create ecommerce solutions for the precious metals industry, everything we do has been time tested. We can save you time and money because we have already built it.

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Tornado Products

Metals shopping cartE- Commerce website A full white label or customize your own. Includes a fully functional and controllable shopping cart with your logo, colors, look, and feel.

Complete back end (products, pricing, inventory, invoices, images)Fully controllable back office to keep track of your products, content, pricing, images, customers, categories, inventory, and invoices.

FulfillmentDrop shipments available with your invoice.

Tornado Precious Metals hedging system. (PC, Tablet, Phone)Online proprietary hedging platform for Gold, Silver, Platinum, and Palladium on your PC, IPhone, IPad, Blackberry, or any Android device.

Auto hedgeHedge or lock in your customers prices at the time of purchase automatically 24 hours a day when your customers completes a transaction. We also offer manual hedging through our proprietary platform tornadobullion.com.

APIDealers call the API using the HTTP protocol. Data are formatted using JSON. JSON over HTTP is a simple and popular technology that is widely supported and extremely easy to work with in a wide variety of programming environments

Live Spot pricingLive OTC precious metals spot pricing Spot pricing 24 hours a day provided by the largest metals trading banks in the world. Customize all of your product pricing by spot plus a $ amount or spot plus a percentage amount. Automatically add credit card, PayPal, shipping cost, and taxes where applicable.

Charting packagesLive Gold, Silver, Platinum, and Palladium charting that will help drive traffic to your site

HostingYou have the option of hosting your site on one of the most reliable Colocation facilities in the world. All of our sites are hosted at the Chicago Equinix Data Center with over 190,000 square feet of colocation space.

SEOProfessional keyword analysis, clean promotion, Delivering content to your website, external blogs, articles, social websites. Pay per click specialists. General Search, relevant social websites, paid advertisement.

Inventory managementOnline system accessible from tablets, computers, phones anywhere. Purchase orders, sales either manual or automated online. Tracking of all costs and sales including metals positions, tracking trading positions against inventory, customer management, invoice management, shipping integrated worldwide.

Multi-tiered pricingLive pricing on your website that offers discounts for larger quantities purchased.

Newsletter sign upCustomers and potential customers will be able to sign up for commentary on the precious metals market directly on your website. Stay in front of your customer on a regular basis.

Daily CommentaryOutside Market developments, Gold & Silver, Platinum, Todays market ideas.

Live EBay spot metals pricingNever again update your EBay store with fresh pricing. Our system will automatically adjust the pricing based on the live spot market.

Price alerts emailed and textYour customers can set live email and text price alerts to their email or other devices to notify them when its time to buy.

Metals IRAsPrecious metals are often touted as a hedge against market instability and inflation. You can also purchase gold and silver bullion, as well as American eagle gold and silver coins. The same commodities introduce unique requirements when assets are purchased for inclusion within your self-directed retirement portfolio.

Retail, Dealer and Preferred Website Logins Categorize your E- Commerce website logins by designating clients as retail, dealer or preferred. Each category may see different products and pricing. Combine your websites and focus on building one brand.

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Tornado Features

Tight spreads-aggregated liquidity provided by Global banks through our Dynamic Quoting Engine

Live streaming tradable pricing Central point of price discovery, price transparency and risk

management all in one place

Gives participants the ability to lock in spreads on inventory or product you dont own but have orders for

Hedge to the exact ounce 24 hours a day Auto-execute hedges on your e-commerce site Offers hedging via London Spot prices Can provide real-time spot price dissemination under your private

label

Platform is free, and margin requirements are low Simple to use Available 24/6

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Tornado Benefits

Makes the banks compete on pricing for your business, which means you save

money

You can buy or sell on the price instantaneously, which eliminates costly

delays

Everything required for price mitigation is in one place, which means you save time

Largely eliminates price risk thus protecting profit margins

Gives unlimited flexibility in tailoring risk management needs, which allows

heightened hedging granularity, which

means there is no tail to manage, which

lessens risk

No loss of sync between physicals price risk origination and the time the hedge is placed

No last trading days or deliveries, which means you can focus on hedging instead of

futures norms

Disseminate real-time pricing to your clients providing an enhanced product suite while

improving client retention and attracting

new clients all with a quick market entrance

Leverage at 100:1 for gold, silver, platinum and palladium enables a lower start up cost

for your hedge program

Easily deployed to your sales force or retail outlets-private label versions available,

which means your team can hedge at the

point of sale under your own logo

Trade from your desktop or iPad or from your iPhone, Blackberry or Samsung, which

allows you to hedge from your office or on

the road, which means added convenience

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Auto Hedge

Historically, we carried a substantial amount of inventory and assumed a lot of price risk. About 10 years ago, we considered hedging our inventory so we could concentrate solely on our premiums and not have to worry about the bottom dropping out of the market. We talked to many CCE members who felt the same way. We looked around for a hedge tool but didn't see one that was right for us, so we began the process of building our own hedge application. After a development period, we launched our electronic manual Tornado product eight years ago, which remains widely used and very popular today. Tornado's aggregated liquidity is provided by the biggest metals trading banks in the world.

Once we launched Tornado, we customized Magento (the back-end database) to strengthen our own PM inventory management needs.

As a response to the risk we experienced on our eCommerce sites during evening/night hours, we built the Tornado auto-hedge product that operates 24-5. Once a client submits their purchase on our eCommerce site, our auto-hedge product immediately and hands-free, lifts the hedge to the exact ounce.

Auto-hedge also works on e-Bay stores.

Plus, we have now developed the technology to integrate Tornado auto-hedge to ERP (Enterprise Resource Planning) applications. As an example, we connected Tornado auto-hedge to a clients ERP which encompasses their eCommerce sites, eBay stores and their 45 person sales team. All of their production is now hedged hands-free.

Additionally, our ERP clients tell us that Tornado auto-hedge has allowed them to add additional products, it has changed the way they buy product, it has reduced their risk profile and it provides them with the scalability needed to grow their business.

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Auto Hedge Highlights

Automatic monitoring of your business lines for potential netting opportunities and hedge reduction. Reduces cost as staffing is reduced or eliminated.

Improves hedge accuracy. Auto Hedge is more efficient and precise than humans.

Increases discipline. There is no loss of concentration or fatigue with Auto Hedge.

Fast. Trades are placed within a fraction of a second. Secure. Tornado products are hosted on dedicated servers at the

Chicago Equinix Data Center.

Hedge fractional purchases. Auto Hedge was designed to accumulate fractional positions until one ounce is achieved.

Substantial reporting capabilities. Your trades, positions, cash balances, available margin and account value displayed in real-time.

Hedge to the exact ounce 24 hours a day. Gives unlimited flexibility in tailoring risk management need, which allows heightened hedging granularity, which means there is no tail to manage, which lessens risk.

Auto execute hedges from your ERP application. No loss of sync between physical price risk origination and the time the hedge is placed.

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Cost Savings

1) Our margin policy mandates that our clients post initial margin of 1% of the notional value of the hedge amount though we advise clients to keep an additional 2% to 3% buffer in their account. In most cases, our margin policy compares very favorably with our competitors. The margins savings allow our customers to deploy the capital savings elsewhere in their business.

2) Our clients do not have to wait two days for trade settlement to request funds. Funds can be repatriated at any time.

3) Live OTC Spot Pricing. For our clients, we allow them to use our OTC spot pricing. As an example, we have numerous bullion dealers who use Tornado auto-hedge to mitigate price risk on their eCommerce site(s). We allow these bullion dealers to use our spot pricing to dynamically update their gold, silver, platinum and palladium products on their sites. We don't charge clients for this service but if there is developmental time associated with integrating our pricing to their inventory management systems, we pass along the cost to the client. Perhaps, there will be instances where you can use our live spot pricing.

4) The netting effect. We have built a gateway which allows Tornado auto-hedge to talk to your ERP. A netting example would be if you had a division that owns PM inventory and hedges the inventory as a natural short. Also, you may have another division who requires inventory for forward production needs and is a natural long hedge. Consider the short hedge to be 500,000 oz. of silver while the long hedge is 600,000 oz of silver. We can program auto-hedge to hedge only the 100,000 net exposure instead of hedging oz. for oz.

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Tornado Screen Shots

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A Screenshot of our quotes/spreads. We have

clients trading 400,000 oz. of silver at a pop, all filled

at one price which likely couldn't be done in the

futures market.



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Trade blotter



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You have multiple business lines too,

right? You have your trade desk,

dealer portal and scrap business. You

could run these separate business

lines through your ERP and hedge

them all hands free.



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Use Tornado on your iPad, iphone, or any Galaxy device.

(Picture was taken from demo mode, so cut some slack on the spreads please )


Contact Us

Zaner Group LLC150 S Wacker Dr, Suite 2350

Chicago IL 60606

312-277-0120

[email protected]

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Risk Warning

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Trading futures, off-exchange retail foreign

currency (fx) and options involves substantial risk

of loss and may not be suitable for all people. You

should carefully consider whether trading is

suitable for you in light of your circumstances,

knowledge, and financial resources. Opinions are

subject to change at any time, and are not a

solicitation or recommendation to buy or sell

commodity futures or commodity options. Past

performance is not indicative of future results.

Documents

Intro to Zaner Precious Metals Division