PRESS RELEASE | LEONTEQ REPORTS FULL-YEAR 2013 RESULTS

Zurich, 27 February 2014

Leonteq AG (SIX:LEON), the Zurich-based engineering and infrastructure partner for investment solutions, delivered strong results for the financial year 2013, reflecting increased client activity, a positive environment for yield enhancement products, and encouraging business developments especially in the Asia and the EU regions. The firm recorded total operating income of CHF 158.4 million on turnover of CHF 15.7 billion in 2013, representing an increase of 24% and 30% respectively compared to 2012. Cost-income ratio improved by 10pp to 73%. Group net profit rose 89% to CHF 38.8 million. Leonteq continued to invest into its proprietary IT and investment service platform and also made further progress in the implementation of its core white-labeling strategy, as demonstrated by the increased contribution of its white-labeling partners to the firms total operating income (up 20pp to 44%), and the reduction in costs per issued product (down 15%). The board of directors will propose a shareholder distribution of CHF 2 (2012: CHF 1) per share at its annual general meeting. Leonteq is optimistic for the further development of its business but remains mindful of potential challenges given the fragile economic and regulatory environment. In the pursuit of its white-labeling strategy, the company has signed a letter of intent with a larger institution in Asia. Furthermore, Leonteq has started a white-labeling partnership with Lugano-based Cornr Bank with a potential of CHF 150 million additional outstanding volume per year.

CHF million, for the year ended 31 December Turnover (CHF billion) Net fee income Net trading income Other operating income Total operating income As bps of turnover Personnel expenses Depreciation and amortization Other operating expenses Total operating expenses Cost-income ratio Profit before taxes Income tax expense Group net profit

2013 15.7 135.9 24.9 (2.4) 158.4 101 (69.1) (9.0) (36.8) (114.9) 73% 43.5 (4.7) 38.8

2012 12.1 120.9 7.0 (0.1) 127.8 106 (60.8) (9.3) (35.8) (105.9) 83% 21.9 (1.4) 20.5

Change in % 30% 12% 256% NM 24% (5%) 14% (3%) 3% 8% (10pp) 99% 236% 89%

Leonteq served 658 clients in the year 2013, compared to 580 clients in 2012 (up 13%). Client retention rate was 77% in 2013, up from 74% a year earlier. Turnover rose 30% year-on-year to CHF 15.7 billion. Average margin on turnover was 101 basis points in 2013, down 5% from 2012 which largely reflects lower margins on Leonteqs own products as a result of the improved risk/return profile after discontinuing its diversified bond-portfolio.

LEONTEQ AG Brandschenkestrasse 90 | P.O. Box 1686 | CH-8027 Zurich | Phone +41 58 800 1000 | Fax +41 58 800 1010 | info@leonteq.com | www.leonteq.com

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In line with Leonteqs increased focus on scalable automated investment products, large-ticket transactions (1) nearly halved to 11 and contributed 6% to total operating income in 2013 (2012: 22%), resulting in improved revenue diversification. Total operating income increased 24% year-on-year to CHF 158.4 million in 2013. Net fee income rose 12% to CHF 135.9 million. Net trading income increased from CHF 7.0 million to CHF 24.9 million, primarily due to very high client activity in the first half of 2013. Leonteqs white-labeling partners most notably Raiffeisen-subsidiary Notenstein Private Bank since March 2013, EFG International since its conversion into a white-labeling partner in October 2012, and Helvetia since January 2011 contributed 44% to total operating income in 2013, versus 24% in 2012. Total operating expenses were CHF 114.9 million in 2013, up 8% compared to 2012. Personnel expenses rose 14% to CHF 69.1 million, reflecting selective hiring as well as higher performance-related compensation following the strong growth of the business. Other operating expenses rose moderately by 3% to CHF 36.8 million, despite special charges of CHF 1.8 million for the set-up of the white-labeling cooperation with Notenstein Private Bank and the decoupling from EFG International, and CHF 1.2 million for rebranding the firm. Cost-income ratio improved 10 percentage points to 73%, from 83% in 2012. Reflecting strong operating leverage of the platform due in part to Leonteqs white-labeling strategy, total operating expenses per issued product fell to CHF 8,500, down 15% compared to 2012 and down 65% since 2009. Profit before taxes rose to CHF 43.5 million and group net profit to CHF 38.8 million in 2013, versus CHF 21.9 million (up 99%) and CHF 20.5 million (up 89%) respectively in 2012. The board of directors of Leonteq will propose an increased dividend of CHF 2 (2012: CHF 1) per share in the form of a shareholder distribution against capital reserves which is not subject to Swiss withholding tax at its annual general meeting on 17 April 2014. This is slightly in excess of the 30% target payout ratio indicated at the time of the IPO. SEGMENT RESULTS Leonteqs Structured Solutions division increased total operating income by 30% to CHF 143.8 million, and pre-tax profit by 116% to CHF 49.7 million, in 2013 compared to 2012. Leonteqs Asia region increased its total operating income by 148% year-on-year to CHF 23.3 million, and posted pre-tax profit of CHF 7.6 million, compared to a pre-tax loss of CHF 3.9 million in 2012. The EU region showed an 87% rise in total operating income to CHF 23.0 million, and increased pre-tax profit from CHF 1.2 million in 2012 to CHF 9.8 million in 2013. The companys core region, which includes its initial and principal entities in Switzerland, Monaco and Guernsey, increased total operating income by 10% to CHF 97.5 million, and pre-tax profit by 26% to CHF 32.3 million, in 2013, versus 2012. Total operating income of Leonteqs Asset Management & Pension Solutions division rose 12% to CHF 18.4 million, and pre-tax profit increased by 25% to CHF 8.6 million, in 2013 compared to a year earlier. CAPITAL AND RISK DEVELOPMENT Leonteqs total eligible capital stood at CHF 147.5 million as of 31 December 2013, compared to CHF 118.6 million as of 31 December 2012. BIS total capital ratio was 18.1% as of 31 December 2013, versus 18.0% at year-end 2012, underlining Leonteqs capital strength and financial stability . In line with the envisaged growth of the business, BIS total capital ratio may reduce to a lower level prospectively but is expected to remain well above the FINMA requirement of 10.5%. Outstanding volume of own products increased from CHF 0.7 billion at year-end 2012 to CHF 2.7 billion as per 31 December 2013, whereby a large majority of the products was non-COSI. As announced previously, Leonteq discontinued its diversified bond-portfolio in late summer 2013 to improve its risk/return profile, and now primarily invests proceeds from own product issuance in short-term high-quality core European government bonds and cash. Average value-at-risk (VaR) remained stable at CHF 1.1 million in 2013, compared to CHF 1.2 million in 2012.

(1)

Defined as single primary or secondary market transactions on a single product with a single client and a margin earned equal to or larger than CHF 0.5 million.

LEONTEQ AG Brandschenkestrasse 90 | P.O. Box 1686 | CH-8027 Zurich | Phone +41 58 800 1000 | Fax +41 58 800 1010 | info@leonteq.com | www.leonteq.com

PRESS RELEASE | LEONTEQ REPORTS FULL-YEAR 2013 RESULTS 3

OUTLOOK Leonteq is optimistic for the further development of its business but remains mindful of potential challenges given the fragile economic and regulatory environment. In the pursuit of its white-labeling strategy, the company has signed a letter of intent with a larger institution in Asia. Furthermore, Leonteq has started a white-labeling partnership with Lugano-based Cornr Bank with a potential of CHF 150 million additional outstanding volume per year. Jan Schoch, CEO of Leonteq: We are pleased with our strong 2013 results and the progress we achieved for our clients. We continue to take a realistic approach to growth and remain focused on cost containment and profitability while further implementing our core white-labeling strategy.

CONTACT Investor Relations +41 58 800 1295 investorrelations@leonteq.com Media Relations +41 44 202 5265 karin.rhomberg@lemongrasscommunications.com

LEONTEQ Leonteq is a leading engineering and infrastructure partner for investment solutions. The firm is headquartered in Zurich and has offices in Geneva, Monaco, Guernsey, Frankfurt, Paris, London, Singapore and Hong Kong. Leonteqs team of highly experienced specialists operates a proprietary IT and investment service platform designed to maximize flexibility, innovation, transparency and service for clients. Its registered shares (LEON) are listed on the SIX Swiss Exchange. www.leonteq.com

LEONTEQ FULL-YEAR 2013 RESULTS PRESS CONFERENCE TODAY A press conference with Jan Schoch, CEO, and Roman Kurmann, CFO, will take place as follows: Thursday, 27 February 2014, 09.30 am CET, SIX Swiss Exchange, Convention Point, Selnaustrasse 30, 8021 Zurich. Should you wish to participate by telephone, please use the following dial-in details: Dial-in number Switzerland: +41 58 310 50 00 Dial-in number UK: +44 203 059 58 62 Please call 10-15 minutes before the start of the presentation and ask for Leonteq full -year results 2013. The press release and the presentation are available on www.leonteq.com. A digital playback of the telephone conference will be available approx. one hour after the conference call for 48 hours under the following numbers: Switzerland: +41 91 612 4330 UK: +44 207 108 6233 Please enter access code 18248 followed by the # sign.

DISCLAIMER NOT FOR RELEASE OR PUBLICATION IN THE UNITED STATES OF AMERICA, CANADA, JAPAN OR AUSTRALIA This press release issued by Leonteq (the Company) serves for information purposes only and does not constitute research. T his press release and all materials, documents and information used therein or distributed in the context of this press release do not constitute or form part of and should not be construed as, an offer (public or private) to sell or a solicitation of offers (public or private) to purchase or subscribe for shares or other securities of the Company or any of its affiliates or subsidiaries in any jurisdiction or an inducement to enter into investment activity in any jurisdiction, and may not be used for such purposes. Copies of this press release may not be made available (directly or indirectly) to any person in relation to whom the making available of the press release is restricted or prohibited by law or sent to countries, or distributed in or from countries, to, in or from which this is restricted or prohibited by law. This press release may contain specific forward-looking statements, e.g. statements including terms like believe, assume, expect, forecast, project, may, could, might, will or similar expressions. Such forward-looking statements are subject to known and unknown risks, uncertainties and other factors which may result in a substantial divergence between the actual results, financial situation, development or performance of the Company or any of its affiliates or subsidiaries and those explicitly or implicitly presumed in these statements. These factors include, but are not limited to: (1) general market, macroeconomic, governmental and regulatory trends, (2) movements in securities markets, exchange rates and interest rates and (3) other risks and uncertainties inherent in our business. Against the background of these uncertainties, you should not rely on forward-looking statements. Neither the Company nor any of its affiliates or subsidiaries or their respective bodies, executives, employees and advisers assume any responsibility to prepare or disseminate any supplement, amendment, update or revision to any of the information, opinions or forward-looking statements contained in this press release or to adapt them to any change in events, conditions or circumstances, except as required by applicable law or regulation.

LEONTEQ AG Brandschenkestrasse 90 | P.O. Box 1686 | CH-8027 Zurich | Phone +41 58 800 1000 | Fax +41 58 800 1010 | info@leonteq.com | www.leonteq.com