+ All Categories

Financial Races

Date post: 08-May-2015
Category:
Upload: epicwebaz
View: 1,023 times
Download: 0 times
Share this document with a friend
19
Platinum Pari-Mutuel Group The markets are off to the races! The intersection of global financial markets, horse racing, fantasy sports, online gaming community Website: under construction and expect it to be up by November, 2013
Transcript
Page 1: Financial Races

Platinum Pari-Mutuel GroupThe markets are off to the races!

The intersection of global financial markets, horse racing, fantasy sports, online gaming community

• Website: under construction and expect it to be up by November, 2013

Page 2: Financial Races

Product Vision:A new way to interact with the Financial Markets

Race stocks, indices, commodities and currencies based on relative price movements

Scoring (payouts) is driven by individual race odds that are generated by a Pari-Mutuel wagering system Bet to Win, Place, Show or more exotic bets (Exacta , Trifecta, Quinella,

etc.) Large prizes may available, based on pool matrix

Games may consist of a single race or series of racesRace duration ranges from minutes to hours to days to months Age and residency verification; geo-location technology U.S. Players will be “for fun”, much like Zynga and poker clubs

Contests with prizes where allowed International Players will be for “real”, where legal

2

Page 3: Financial Races

How it WorksPotential players link to “sign up” formSystem verifies player information using verification service

tied to criteria for product (age, residence, etc.)Not verified = no accountVerified = account openedFor “real” or for “fun” – two separate categories within system

Can be done at the same time

Account funded using funding verification servicePlayers play their selected “races”Races are run and ranked and paid (made official)System debits/credits: deposits, withdrawals, wagers,

winnersSystem proven for high volume sales

3

Page 4: Financial Races

The “Financial Markets”Possible “contested” events and races

US MarketsNASDAQ, NYSE, S&P

Plus many global market exchangesJapan, Hong Kong, Australia, Singapore, India, Germany,

Italy, France, England, Toronto, Brazil and moreWithin markets

Individual Stocks, Bonds, CommoditiesETF’s, Exchange values (DOW, NASDAQ, etc.)

Stocks, bonds, commodities, currencies, futures, etc.Greatest “increase” (Long) or greatest “decrease”

(Short) during the race – two outcomes for the same race

4

Page 5: Financial Races

For Example; an “Auto Stocks” RaceCan have two winning results in one contest:

“Finish Long” is greatest % increase winner (Peugeot), and “Finish Short” is greatest % decrease winner (Toyota)

Company Symbol Current Price

Price Change

Percent Change

Finish Long

Finish Short

Odds Long

Odds Short

Ford F $14.53 $0.25 1.75% 2/1 10/1

General Motors

GM $31.60 $0.18 .54% 3/1 8/1

Toyota TM $80.35 -$2.08 -2.08% 1 20/1 3 /2

Honda HMC $38.35 -$0.51 -1.31% 2 20/1 5 /4

Volkswagen VOW.DE $29.29 $0.71 2.48% 3 4/1 8/1

Peugeot PEUGY $38.75 $1.83 4.96% 1 8/1 8/1

Nissan NSANY $18.10 -$0.21 -1.15% 3 15/1 3 /2

Daimler DAI.DE $65.69 $2.68 4.26% 2 3 /2 15/1

5

Page 6: Financial Races

6

One Example of Proof of Concept:700 sampled contests

9 Market segment ETF’s No consistent winner, (Consumer Discretionary – XLY; Consumer Staples –

XLP; Energy – XLE; Financial – XLF; Health Care – XLV; Industrial – XLI; Materials – XLB; Technology – XLK; Utilities - XLU)

Which is good for our product Horse racing – favorite wins ~ 30%

XLY XLP XLE XLF XLV XLI XLB XLK XLU0

100

200

300

400

500

600

700

800

Total Contested1st or Win2nd or Place3rd or Show

XLY XLP XLE XLF XLV XLI XLB XLK XLU0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

20%

1st or Win2nd or Place3rd or Show

Page 7: Financial Races

Many Other OptionsSector “race” with “participants” within that sector

Dow 30 IBM, 3M, GE, Dow, Cat, DuPont, etc.

Home Builders sector Toll Brothers, KB Home, DR Horton, Pulte Group, etc.

Financials Bank of America, Citi, Morgan Stanley, Amex, etc.

Consumer Coke, Pepsi, Colgate, Kraft, P&G, etc.

Insurance sector Aflac, Allstate, Chubb, Prudential, Progressive, etc.

Global Markets Dow, Nasdaq, London, Germany, Japan, Hong Kong, etc.

7

Page 8: Financial Races

2011 Estimated Global Internet Gaming Market by Product*:

Product Percentage Gross Gambling Yield**

Poker 14% $4.62 billion

Lotteries 9% $2.97 billion

Casino Games 26% $8.58 billion

Online sports 39% $12.87 billion

Bingo 8% $2.64 billion

Skill Games 4% $1.32 billion

Total 100% $33 billion***

8

*Springer Internet Gambling Report**Gross Gambling Yield is amount retained by operator (revenue) ***Estimated this is only 5% of total global gaming yield

Page 9: Financial Races

PlatinumPari-

Mutuel

~ 22 Million USHouseholds 1

Marketing OpportunitiesMass

Affluent Self

Directed Investors

FantasySports

OnlineGaming

SocialGaming

OnlineCommunit

y

> 1 billion Global

Facebook Users 4

34 Million

US &

Canada

Players -

20115

> $35.8

Billion

Global

Revenues

20122

>100

m

illion

US

/UK

S

oci

al

Gam

ers

3Source: 1. http://

www.bizjournals.com/atlanta/print-edition/2012/09/21/emerging-affluent-investor-class-ready.html?page=all

2. H2 Gaming Capital: http://www.statista.com/statistics/168622/market-volume-of-online-gaming-worldwide-since-2003/

3. Casual, Social & Gaming Monitor - http://www.gamesindustry.com/about-newzoo/socialgaminggraphs2010

4. Facebook - http://investor.fb.com/releasedetail.cfm?ReleaseID=715607 5. Fantasy Sports Trade Association - http://fsta.org/

industry_demographics9

Page 10: Financial Races

Marketing StrategiesLeverage existing licensed operators

Large, active player baseSocial media exposure

Facebook, Twitter, LinkedIn, Stocktwits, Stockr, BlogsRSS feeds, IM’s, SMS, Email, Tumblr

Establish other gaming business applicationsFacebook, Zynga, others

Affiliate marketing programs/rewardsPlayer referral fees Player incentives/rebates – frequency/volume of play

10

Page 11: Financial Races

Strategic Vision Investing can be funResearch and content-only sites are important but not

typically differentiated or entertainingThe financial markets are not for everyone, our product can

beThe Street lacks a place where people can come to

socialize and have fun around Financial Markets (stocks, bonds, commodities) – think pub games

Our goal is to be the leading social financial services gaming destination

We are ideally positioned at the intersection of the global financial markets, horse racing, fantasy sports and online gaming community

11

Page 12: Financial Races

Product Vision, continuedMarket thrill without the time or financial prerequisites

Bring the real-time excitement of the markets to a wider audience

Races will be held in all major global markets to provide a 24-hour race calendar Can be company driven or customer driven (custom races)

There is always a race going on somewhere Play when you have the time

Content and game play will be both entertaining and engaging A whole new way to “play the market”

No “up front” sales charges

12

Page 13: Financial Races

13

ContentThe Wall St Journal meets Sports Illustrated,

Yahoo Finance meets the Racing Form

• Learn about markets and companies in engaging and informative ways– Personalized information that turns stock symbols into living

companies, indices and currencies into countries, commodities into products

– Back tested statistics showing historical performance– Technical and fundamental analysis– Social media content

• All delivered in real-time dashboards allowing users to tap into the “pulse” of the markets

• Post race chat and community

Page 14: Financial Races

Technology Plan Exclusive services contract with leading tote provider –

Amtote Proven high capacity technology platform and solution

Development focused on: State of the art user experience and web site that is

interactive and fun to use Games to be easy to access but hard to master Race visualization and replays

Game mechanics Streamlined account opening process – make it easy Support for multiple funding and withdrawal options Insure full regulatory compliance

Proprietary technology that will: Run races in real time and provide users with an interactive

view of the results

14

Page 15: Financial Races

Development ProgressGaming platform support:

Identity verification and account creationAccount funding/withdrawalsResponsible gaming/regulatory complianceIntegration with AmtoteCurrent status – initial testing with Amtote has begunWebsite being refined – www.streetheats.net

Game developmentProof of concept testing proves viabilityUser interface/experience designRace visualizationRace contentCurrent status – page flows for the games have been designed

and work as begun on creating mockups

15

Page 16: Financial Races

Financial projectionsThe following projections represent our management’s

estimates of the results of our anticipated  operations for future periods, and reflect our management’s beliefs, based on circumstances and events that have not yet occurred, that may not occur or that may occur with different results than those we currently anticipate.  These projections necessarily involve numerous assumptions, the inaccuracy of any one of which could significantly affect projected revenues and earnings.  We make no representation or warranty that any of the following projections will be achieved.  Actual results will vary and may vary materially from the following projections.  We assume no obligation to update any of the following projections.

16

Page 17: Financial Races

Total Financial Projections2014 2015 TOTALS

Revenue Base

International Revenue $3,300,000 $6,600,000 $9,900,000

For Fun Revenue $1,750,000 $4,950,000 $6,675,000

Total Financial Application Revenue $5,050,000 $11,525,000 $16,575,000

Horse/Dog Racing Base $2,050,000 $3,050,000 $5,100,000

PLATINUM PARI-MUTUEL GAMES REVENUE $7,100,000 $14,575,000 $21,675,000

For Fun Prizes – 50% $875,000 $2,462,500 $3,337,500

Other Royalties – 10% $505,000 $1,152,500 $1,657,500

Cost of horse/dog revenue – 50% of revenue $1,025,000 $1,525,000 $2,550,000

Marketing expenses – 25% $1,262,500 $2,881,250 $4,143,750

General and Administrative $1,273,000 $1,573,000 $2,846,000

EBITDA $2,159,500 $4,980,750 $7,140,250

Depreciation $69,000 $69,000 $138,000

Pretax Profits $2,090,500 $4,911,750 $7,002,250

Provision for Income Taxes – 35% $731,675 $1,719,112 $2,450,788

Net Profit $1,358,825 $3,192,638 $4,551,463

17

Footnote: All profits earned from the International Operations and Horse/Dog Racing will accrue to Platinum Pari-Mutuel Games (“PPMGames”). PPMGames is a St. Kitts Corporation and is tax exempt. For purposes of these projections we have assume all profits have been repatriated to the U.S.

Page 18: Financial Races

18

Capital Structure:

Shares NumberCurrently Outstanding 277,062,763

Page 19: Financial Races

Key Investment HighlightsFirst to marketMinimal up front marketing costsOpportunity to participate in new patent

pending application for online gamingExperienced management teamStrong, but conservative projectionsProven core technology processing partnerExpandable to many applications

Large resources for game content

19


Recommended