Wolfpack Financial Inc

Wolfpack is a self-directed trading platform that helps beginners and inexperienced investors discover what stocks and ETFs to invest in, trade in and out of positions, and grow their portfolio over time.

The product has been designed to cater for both the Business to Consumer (B2C) and Business to Business (B2B) market segments.

Our innovative Patent-Pending Booster Loans are a new Buy-Now-Pay-Later (or "BNPL") product for stocks and ETFs. The technology allows a customer to use smart leverage to purchase assets and pay them back over a fixed 10-week repayment schedule.

Booster Loans are the only fully collateralized Buy-Now-Pay-Later product on the market.

Wolfpack also includes core features such as a trading platform, a discovery tool, and premium data services and education offering, all built into a world-class integrated app design.

Visit wolfpack.com for more information.

Wolfpack was launched in April 2022 via a soft launch to a limited audience.

In a short period of time, the product has reached over 3,600 registered users and in excess of 1,400 brokerage account applications. This represents a 56% conversion rate from app install to brokerage account application for US residents, which is a strong conversion rate.

Wolfpack has also built out an opt-in email list of over 13,800 customers. With in excess of 3,600 app user registrations, this represents circa 26% conversion rate, which is well above industry averages.

Wolfpack ran a soft-launch marketing campaign and achieved $2.50 customer acquisition costs (CAC). With a 56% conversion rate for US residents, brokerage account application CAC was circa $6.40, which is one of the lowest in the industry. These CAC metrics verify the strong interest in the Wolfpack app.

We have signed our first enterprise contract with a Referral Partner, which will unlock access to dozens of prospective enterprise licensing opportunities.

Many beginners and inexperienced investors may not qualify for a Margin Loan.

Typically, a customer would need to have a minimum $2,000 deposit, a strong credit history (such as a FICO score), and complete a complex application form. These restrictions make it almost impossible for the average customer to access margin lending.

In addition, most customers are not familiar with the mechanics of how a margin loan works.

Millennials and Gen Z customers are becoming more interested in starting their investment journey. However, many existing services are not mobile friendly, outdated, overwhelming, and expensive.

Traditional financial products fail to cater for this growing market segment.

Booster loans are designed to service this unfulfilled need, by allowing customers to access point-of-sale smart leverage similar to their Buy-Now-Pay-Later products they are familiar with using. They allow a customer to break down a lump sum payment into manageable instalments.

A customer can chose to either repay the Booster Loan via a weekly payment plan, or they can select for Wolfpack to automatically sell down a fraction of their shares to meet their weekly loan repayment instalment.

For example, take Amanda. A 20-something college graduate who has just started her new job. Amanda doesn't have a FICO score. She only has a total of $500 in savings, and has limited disposable income from her first job.

Amanda simply would not qualify for a margin loan.

However, with Wolfpack, Amanda can purchase $200 worth of a stock such as Tesla or Apple. Based on her personal profile, Amanda would be offered up to $200 in Booster Loans at the point of sale (ie. when she is about to purchase the $200 in stock). This bumps up her total investment to $400.

Amanda will need to repay $20 per week for the next 10 weeks in order to meet her repayment obligations. She can choose to either automatically pay the $20 from her bank account, or choose for Wolfpack to automatically sell down $20 worth of stock to cover the repayment.

The advantage to Amanda is that she can manage her investments and repayment schedule to meet her personal cashflow and circumstances. She is also steadily growing her investment portfolio over time, maintaining her lifestyle, while balancing her financial obligations.

All Booster Loans are secured against the customer's share portfolio. This will significantly reduce typical BNPL loan default rates.

Our proprietary portfolio management software ensures that risk management of both sector and stock exposure is mitigated. The technology dynamically monitors the portfolio mix, and adjusts Booster Loan offers depending on pre-determined thresholds.

For example, we can set the maximum exposure to a stock such as Apple to no more than 5% of the overall loan book portfolio. Once this threshold is reached, the system will automatically stop offering Booster Loans to customers who select to purchase that specific stock.

At the same time, the system can restrict exposure to a specific sector. For example, we may set the maximum threshold for the Technology sector to 5%. Once this is reached, no Booster Loans will be offered to customers who purchase shares in a particular sector.

Booster Loans will be offered to a maximum 50% Loan to Value Ratio (or LVR). Depending on the stock, the customer profile, and our proprietary dynamic market monitoring technology, Booster Loans will be increased and decreased based on automated thresholds and key metrics.

For example, if a particular stock has declined sharply within a short period of time, the Booster Loan LVR offered to customers may reduce from 50% down to 25%, or even zero depending on the volatility. This ensures that any stock price volatility is identified and the LVR adjusted accordingly to mitigate any potential portfolio downside exposure.

The US market has three key attributes which make Booster Loans possible:

1. Fractional share trading
2. Zero dollar brokerage fees
3. Trade parcel size from as low as $1.00

When combined, these three attributes become a powerful tool which can be used to provide our service. No other market in the world has all three attributes currently available. Hence, the US market is our key strategic focus.

Booster Loans are scheduled to be launched in late-2024.

Wolfpack is a ground-breaking discovery and lending platform which empowers the millennial generation to discover new investment opportunities, easily trade in and out of positions, and grow their overall investment portfolio.

The product provides a powerful mobile-first investment and social platform which includes lending features using technology familiar with the target customers.

Wolfpack includes premium data services and trade signals. These are designed to help users discover what stocks and ETFs are trending across certain signal parameters. These include both bullish and bearish signals.

Wolfpack also includes educational descriptions for many of the terminology used in stock market investing. Customers can choose to either read detailed descriptions about terminology, or listen to an audio file explaining the specific item of interest.

Our goal is to help educate beginners and inexperienced investors on the fundamental terminology used in the financial markets.

The Wolfpack app includes an innovative referral and rewards program designed to create a viral loop for our customers.

When a user creates a brokerage account and deposits a minimum of $100, they are instantly rewarded with a gamification opportunity. They are invited to spin the Wolfpack wheel and win up to $50 in store credit.

In addition, customers will receive reward spins for every referral they introduce to the Wolfpack platform who also deposits a minimum $100 into their trading account.

These credits can be used to purchase items from the Wolfpack online store. Items includes clothing, caps, accessories, and other items.

Wolfpack uses a third party print-on-demand service provider who manages all the order fulfilment and shipping. We do not hold or own any physical inventory.

Visit shop.wolfpack.com for more information.

There are currently circa 134.3 million millennial and Gen Z consumers living in the US.

Over 40% of millennials and Gen Z consumers invested in stocks in 2020 (Source: Charles Schwab Modern Wealth Survey). This represents circa 53.7 million investors.

Importantly, millennial workers in the "gig economy" identify themselves as entrepreneurs rather than traditional freelance workers. As a result, many are turning to self-directed trading apps in order to take control of their own financial security.

Wolfpack has two channels to market: Retail and Enterprise.

Our Retail strategy involves launching and promoting the Wolfpack app to all customers who fit our target demographic. This will be done though the promotion of our iOS and Android mobile apps through a number of social media channels.

Our retail customer acquisition strategy involves maximising top-of-funnel app downloads, converting registered users to brokerage accounts, increasing user engagement so they become monthly active users (through informative communications, premium data services, and educational features), and ultimately signing up Booster Loans at point-of-sale.

The Enterprise strategy involves establishing strategic partnerships with broker dealers and clearing houses who have an existing customer base of investors, however don't have the technology or capabilities to build their own solution. These customers will license the Wolfpack platform through our APIs, as well as white label the Wolfpack mobile apps so that they can be released to their customers.

Enterprise licensing is comprised of the following four pillars. Strategic partners can select one of all of these pillars, depending on their specific needs.

Mobile app licensing is also available. Wolfpack has an in-house development team which can customize both mobile and platform requirements to meet customer needs.

Wolfpack has signed our first enterprise contract with a Referral Partner. This will allow the Company to offer our solutions to dozens of prospective customers introduced via this strategic partnership.

The Company aims to achieve circa 100,000 retail monthly active users (MAUs) by 2024 and grow to 1.7 million by 2028.

The above forecasts assume an average monthly registered user churn rate of 7%.

Forward-looking statements are not guaranteed.

Wolfpack will generate revenue from a number of key streams.

For Retail, revenues will be derived from Booster Loan interest charges, transaction fees, and monthly premium subscription services.

For Enterprise, revenues will be derived from platform licensing fees, premium subscription services, Booster Loan portfolio management fees, and transaction fees.

Forecasts are underpinned by a detailed financial model.

Wolfpack is lead by an experienced and well credentials Senior Management Team.

Wolfpack has partnered with some of the top suppliers in the industry.

Access to the Wolfpack platform is made available through our secure and highly scalable API services.

Wolfpack won the prestigious 2022 Benzinga Global Fintech Award for "Best Product for Beginners" (the 2021 winner was Robinhood - NASDAQ: HOOD).

In addition, Wolfpack was selected as one of the Top 50 Fintech Start-ups in North America to participate in the 2023 AWS Global Fintech Accelerator Program.