HedgeCo.net  NEW YORK AND TORONTO, October 25, 2006 — RBC Capital Markets announced today that it has agreed to acquire the broker-dealer business and certain other assets of the CarlinFinancial Group (the “CFG Business”), a New York-based boutique broker dealer known for its sophisticated trading and execution services and proprietary algorithms. The transaction is subject toregulatory approvals and other customary conditions and is expected to close in the first quarter of 2007. Pricing terms of the transaction were not disclosed.
 
This acquisition will give RBC Capital Markets a best-in-class electronic execution platform from which to serve the emerging hedge fund and professional trader communities. It will alsoenable RBC Capital Markets’ development of a best-in-class North American electronic execution platform for its investing clients. RBC Capital Markets has been building itscapabilities and client base in the U.S. mid-market for the past five years.
 
The CFG Business has one of the fastest and most efficient electronic trade execution platforms in the industry, and trades approximately 35 million sharesdaily. Under the leadership of CEO Jeremy Frommer, the CFG Business has built a large following with emerging hedge fund managers, a professional group that executes a growing portion of all hedgefund trades and manages a significant percentage of all hedge funds in the U.S. “This transaction will help us to meet our clients’ ever evolving needs by expanding ourcapabilities into options trading, future trading and order management,” Frommer said. “I’m very pleased to return to RBC Capital Markets, where I spent the earlier part of my career, and welook forward to helping clients excel in this rapidly changing environment.” Frommer brings nearly 17 years of trading and financial management experience to RBC.
 
 Ã¢â‚¬Å“We believe that this acquisition allows us to create a leading North American electronic execution platform for investors andexpand into multi-asset class electronic trading,” said Greg Mills, RBC Capital Markets’ head of global equity sales and trading. “Emerging hedge fund managers, professional traders and other clientsof the CFG Business will continue to receive the same high quality of service they’ve come to rely on, and will now also have access to the full range of capital markets products and services weoffer in the U.S.”
 
Said Ron Shear, founder and Chairman of CFG, “I am very grateful to the entire Carlin team for building our company into a leading provider of innovative trading technology thatattracted the attention of a world class financial institution.”
 
RBC Capital Markets represented itself in the transaction and Carlin Financial Group was advised by Freeman & Co. LLC.
 
About Carlin Financial Group
The Carlin Financial Group is a leading financial services company thatprovides a full suite of versatile products and services designed to meet the specific needs of financial institutions and hedge funds. Its full service direct access trading system, CARLINAccel, hasbecome a leading trading system for hedge funds. Carlin Financial Group was advised by Freeman & Co.
 
About RBC Capital Markets
RBC Capital Markets is the corporate and investment banking arm of RBC and is active globally in debtorigination, sales and trading, foreign exchange, infrastructure finance, structured products, metals and mining, and energy. Its North American equity underwriting; sales, trading and researchbusiness dominates the Canadian market and supports a significant and growing franchise in the US middle market.
 
Safe Harbor Regarding Forward-Looking Statements
Certain statements contained in this press release may be deemed to be forward-lookingstatements under certain securities laws, including the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995 and in any applicable Canadian securitieslegislation, and RBC Capital Markets and the Carlin Financial Group intend that such forward-looking statements be subject to the safe-harbor created thereby. The words “may,” “could,” “should,”“would,” “suspect,” “outlook,” “believe,” “plan,” “anticipate,” “estimate,” “expect,” “intend,” “forecast,” “objective” and words and expressions of similar import are intended to identifyforward-looking statements.
 
By their very nature, forward-looking statements involve numerous assumptions, and inherent risks and uncertainties, both general and specific, and risks exist that predictions,forecasts, projections and other forward-looking statements, including statements about the proposed acquisition of the CFG Business by RBC Capital Markets, will not be achieved. We caution readersnot to place undue reliance on these statements as a number of important factors could cause our actual results to differ materially from the beliefs, plans, objectives, expectations, anticipations,estimates and intentions expressed in such forward-looking statements. These factors include, but are not limited to, the possibility that the proposed transaction does not close when expected or atall because required regulatory or other approvals are not received or other conditions to the closing are not satisfied on a timely basis or at all; that RBC Capital Markets and the Carlin FinancialGroup may be required to modify the terms and conditions of the proposed transaction to achieve regulatory approval; or that the anticipated benefits of the transaction are not realized as a resultof such things as the strength of the economy and competitive factors in the areas where the CFG Business does business; the impact of changes in the laws and regulations regulating broker-dealers,investment advisers and enforcement thereof (including securities); judicial judgments and legal proceedings; RBC Capital Markets’ ability to complete the acquisition of the CFG Business and tointegrate it with RBC Capital Markets successfully; reputational risks; and other factors that may affect future results of RBC Capital Markets and the CFG Business, including changes in tradepolicies, timely development and introduction of new products and services, changes in tax laws and technological and regulatory changes. We caution that the foregoing list of important factors isnot exhaustive.
 
RBC Capital Markets and the Carlin Financial Group assume no obligation to update the forward-looking statements contained in this press release.
 

 
For more information, please contact:
 
New York
Kevin Foster, RBC Capital Markets, 212-428-6902
Constance Hubbell Clapp, The Hubbell Group, 781-878-8882
Matthew Hiltzik, Freud Communications, Inc., 212-582-9795, matthew.hiltzik@freud.com
 
Toronto
Katherine Gay, RBC Capital Markets, 416-974-6286, katherine.gay@rbc.com
Beja Rodeck, RBC, 416-974-5506, beja.rodeck@rbc.com

Kevin Foster, RBC Capital Markets, 212-428-6902Constance Hubbell Clapp, The Hubbell Group, 781-878-8882Matthew Hiltzik, Freud Communications, Inc., 212-582-9795,  Katherine Gay, RBC CapitalMarkets, 416-974-6286, Beja Rodeck, RBC, 416-974-5506,