WR Hambrecht + Co:

Q&A: WR Hambrecht + Co, MacroMarkets, and MacroShares

Who is MacroMarkets and what is a MacroShare?

MacroMarkets LLC is a financial services firm that has developed MacroShares^™ to facilitate investment in assets and risk management of exposures that are difficult to own or hedge. MacroShares are exchange-traded securities that allow investors to take a bullish or bearish position on the value of fundamental asset classes and economic interests. MacroShares allow access to important asset classes such as home prices, so that individuals and institutions alike can better manage risk or diversify exposure in an easy-to-own, publicly-traded security collateralized by US Treasuries and cash.

Why is WRH+Co the Auction Manager for MacroShares IPOs?

WR Hambrecht + Co has adapted its proven auction technology to develop the OpenCross^™ Auction for MacroShares initial public offerings. WR Hambrecht + Co has been the leading innovator in auction products technology for over a decade, and is the holder of multiple patents for offering securities via the Dutch auction process.

Why is the OpenCross^™ Auction process well-suited for MacroShares IPOs?

MacroShares^™ are collateralized equity securities that are issued and created in pairs comprised of an equal number of Up MacroShares and Down MacroShares. Although Up and Down MacroShares have the same par value, MacroShares are different from other exchange-traded products in that they will trade at premiums or discounts to their respective Underlying Values to reflect market expectations for future performance and differences in demand. WR Hambrecht + Co's OpenCross^™ Auction technology includes an automated platform that facilitates the creation of new markets by gathering the individual bids for initial-issue Up MacroShares and Down MacroShares simultaneously. After all bids are collected and sorted, a market price window is revealed via the cross of the demand curves.

The OpenCross^™ Auction also delivers participants the flexibility to bid for either Up MacroShares, Down MacroShares, or both. Individual and institutional investors can place bids through one or more participating dealers; the technology even enables approved investors to place multiple and layered bids directly onto the auction platform in a secure and efficient fashion.

Where can investors learn more about OpenCross Auctions for MacroShares?

For a detailed explanation of the OpenCross Auction for MacroShares, click here.

Where can investors go to learn more about MacroShares in general?

For more detailed information about MacroMarkets LLC and MacroShares, visit http://www.macromarkets.com/index.shtml.

MacroShares^™ and OpenCross^™ are trademarks of MacroMarkets LLC and WR Hambrecht + Co, respectively.