MF Global to Launch Managed Futures Products

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Tue Jun 16, 2009 9:00am EDT

Company Leverages Experience and Global Network to Meet Client Demand for Access
to Rapidly Growing Asset Class
NEW YORK--(Business Wire)--
MF Global Ltd. (NYSE:MF), a leading intermediary offering customized solutions
in global cash and derivatives markets, today launched its Alternative
Investment Strategies (AIS) division. 

The AIS group provides qualified retail and institutional investors with access
to the fast-growing managed futures sector through a direct asset placement
program of managed accounts. In addition to the direct access placement program,
the AIS division will enter the fund management business in the U.S. 

"Through this natural extension of our core business, we are leveraging our U.S.
distribution network and decades of leadership in futures to broaden the
services and products we offer our clients," said Bernard W. Dan, chief
executive officer, MF Global. "This initiative is a perfect example of how we
continue to expand our offering to better serve our client needs while at the
same time diversifying our revenue streams by introducing a new, fee-based
income source." 

Managed futures traders and global macro traders invest in a broad range of
instruments which can include traditional commodities, currencies and government
securities. This alternative investment sector has experienced significant
growth over the last five years, with assets under management growing
approximately 200 percent1, even through the 2008 market downturn. In 2008,
commodity trading advisors (CTAs) reported an average cumulative return of 17
percent, net of fees and expenses.2

MF Global`s professional brokers have already begun introducing clients to a
pre-screened, select set of CTAs and global macro traders. A key focus of the
asset placement group is to provide clients with a diversified investment
strategy. 

"I think most sophisticated investors would agree that a properly diversified
portfolio has exposure to managed futures, which have the potential to provide
superior, risk-adjusted returns that are, in most cases, uncorrelated with
traditional equity markets," said Adam T. Rochlin, senior vice president and
head of MF Global`s AIS division. "We`re in a unique position to educate our
clients and introduce them to professional managers who are otherwise very
difficult to identify and access on their own." 

MF Global employs a multi-layer due diligence process to discover and screen
managers for its asset placement program that includes third-party validation. 

"We have spent considerable time conducting due diligence in order to identify
what we think are a highly unique set of experienced managers worldwide," said
Mr. Rochlin. "Our goal is to enable our clients to gain exposure to these
managers, and provide them with position transparency and liquidity." 

About MF Global

MF Global Ltd. (NYSE:MF), is a leading intermediary offering customized
solutions in global cash and derivatives markets. It provides execution and
clearing services for exchange-traded and over-the-counter derivative products
as well as for non-derivative foreign exchange products and securities in the
cash market. MF Global is uniquely diversified across products, trading markets,
customers and regions. Its worldwide client base includes financial
institutions, industrial groups, private investment (including hedge) funds and
other asset managers as well as professional traders and private/retail clients.
MF Global operates in 14 countries on more than 70 exchanges, providing access
to some of the largest financial markets in the world and is the leader by
volume on many of these markets. For more information, please visit
www.mfglobal.com. 

Trading involves risk of loss and is not suitable for everyone. Past performance
is not indicative of future results.

Forward-Looking Statement

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF
1995: Forward-looking statements in this press release, including statements
relating to the Company`s future revenues and earnings, plans, strategies,
objectives, expectations and intentions, are made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995. Investors
are cautioned that such forward-looking statements are inherently subject to
risks and uncertainties, many of which cannot be predicted with accuracy, and
some of which might not be anticipated. We caution you not to place undue
reliance on these forward-looking statements. We refer you to the Company`s
latest Annual Report on Form 10-K and Quarterly Report on Form 10-Q on file with
the Securities and Exchange Commission (SEC) for a description of the risks and
uncertainties the Company faces. This press release includes certain non-GAAP
financial measures, as defined under SEC rules. A reconciliation of these
measures is included in the financial information later in this release, which
is available on the Company`s website at www.mfglobal.com. 

1 Barclay Hedge and Casey Quirk, April 2009 Hedge Fund White paper. 

2 Average of cumulative performances reported by Barclay Hedge CTA Index and the
CISDM CTA Asset Weighted and Equal Weighted Indices. 



MF Global Ltd.
Investor:
Lisa Kampf, +1 212-589-6592
lkampf@mfglobal.com
or
Media:
Diana DeSocio, +1 212-589-6282
ddesocio@mfglobal.com

Copyright Business Wire 2009

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