A.B. Watley Launches First-of-Kind Investment Technology Powered by Tradeworx.

Business Editors

NEW YORK--(BUSINESS WIRE)--April 27, 2000

Tradeworx's Limit Order Pricer(TM) Technology Receives

Overwhelmingly Positive Response in Online Pilot Program

A.B. Watley Group Inc. (NASDAQ: ABWG), premier provider of online and institutional trading services through its brokerage firm A.B. Watley, Inc. (www.abwatley.com), today announced the availability of a groundbreaking tool to help online investors determine appropriate prices for their limit orders.

The Limit Order Pricer(TM) was developed by Tradeworx, Inc.(www.tradeworx.com) and is the first product that offers investors the ability to see how likely their limit order is to be executed, or to calculate a limit order price that is more in line with their investment goals.

The results of a recently completed pilot program user survey, conducted by Tradeworx and A.B. Watley during March 2000, indicate an exceptionally positive response among online investors to Tradeworx's first-of-kind Limit Order Pricing applications. Tradeworx has developed the pilot program to allow business partners to assess their clients' interaction with Tradeworx's innovative investment decision support applications.

Selected clients of A.B. Watley, Inc. participated in Tradeworx's first pilot program. Rishi K Narang, President & COO of Tradeworx, Inc., commented, "The results of our pilot program with A.B. Watley showed an almost uniformly positive reaction to our Limit Order Pricing applications. Over 90% of respondents indicated that they found our automatic alerts useful, and 98% indicated they would use our Limit Order Price Calculator either `sometimes' or `every time' they place limit order. Investors are basically saying that they want and need access to the types of decision support applications that Tradeworx offers. A.B. Watley is a pioneering firm among online investment service providers, so we are delighted to be able to partner with them to provide these applications not only to their customers, but to the broader retail investing public as well."

"Market volatility has increased the demand for effective decision making tools," stated Robert Malin President of A.B. Watley, Inc. "The Tradeworx limit order price calculator can be utilized by an investor to determine the probability of a limit order being executed. This is the first of many sophisticated investment tools that we will offer to A.B. Watley clients."

The applications are available in the "Free Data" section of A.B. Watley's Web site, under "Tradeworx Tools," to account holders, registered users, and site visitors

ABOUT TRADEWORX, INC.

Tradeworx, Inc. is a premier provider of innovative analytical technologies for use by individual investors and financial institutions. Tradeworx offers a wide array of applications based on its expertise in computational finance, market microstructure, risk management, securities research, portfolio analysis, and interactive education. The firm also leverages its core competencies in other business models through various subsidiaries, joint ventures, and strategic partnerships. Tradeworx is a privately held company located in Manhattan. The company was founded in February 1999.

ABOUT A.B. WATLEY GROUP INC.

A.B. Watley Group Inc. is the parent Company of A.B. Watley, Inc., a multifaceted, technological and service-oriented brokerage firm offering two proprietary online trading systems, UltimateTrader(R)and WatleyTrader(tm), that provide real-time data feed and instantaneous execution for the most active segment of the online trading community. The A.B. Watley, Inc. Institutional Sales and Trading Division specializes in the execution of complex and sensitive large-block equity transactions for institutions, major investment managers, insurance companies, banks, and high net worth individuals. A.B. Watley Group Inc.'s competitors include E*Trade (NASDAQ: EGRP), Charles Schwab (NYSE: SCH), Ameritrade (NASDAQ: AMTD), TD Waterhouse (NYSE: TWE), MyTrack (NASDAQ: TRAC), DLJ Direct (NYSE: DIR) and National Discount Brokers (NYSE: NDB).

SAFE HARBOR STATEMENT

Certain statements contained herein, including statements regarding the development of services and markets and future demand for services and other statements regarding matters that are not historical facts, are forward-looking statements (as defined in the Private Securities Litigation Reform Act of 1995, as amended). Any number of conditions may occur which would materially affect important factors in this analysis and materially change expectations. These factors include, but are not limited to, customer trading activity, loss of one or more significant customers, change in technology, shifts in competitive patterns, ability to manage growth effectively, risks associated with acquisitions including integration risks, risks associated with strategic partnerships, various project-associated risks, substantial competition, general economic conditions, risks associated with intellectual property rights, risks associated with international operations and other risk factors listed from time to time in the A.B. Watley Group Inc.'s filings and reports with the Securities and Exchange Commission.

Editor's Note: The symbol in the tenth line of the eighth paragraph between the "E" and "Trade" is an asterisk.