Investor Presentaiton
We inherently hold more capital per unit of risk
As we use the standardised approach for RWA calculations, our capital ratios are not directly comparable with peers
RWA density - Total RWA / Total Assets
CET 1 /Total Assets (%)
80%
70%
60%
50%
40%
30%
20%
10%
0%
2017
2018
444444
2019
■Investec plc ■UK 'big 5'
9.0%
8.0%
7.0%
6.0%
5.0%
4.0%
3.0%
2.0%
1.0%
0.0%
2020
2021
2022
2017
2018
2019
2020
2021
2022
■Total UK sector
Investec plc
UK 'big 5'
Total UK sector
We use the Standardised Approach for our RWA calculations - while peers are largely
on the advanced approach. The bank is in the early stages of a process to migrate from
the Standardised Approach to the Internal Ratings Based (IRB) approach
.
-
We hold more CET 1 to our total assets than our peer group – primarily as a result of
higher RWA density from using the standardised approach
Our CET 1/Total assets is 6.9% - which is 130bps higher than the UK sector
on a similar measure
.
The result is that our RWA density at 60.8% is above the sector average of 33.6%
Our RWA density is more than 2x higher than the 'big 5' UK peers
29
Where the UK 'big 5' banks include HSBC, RBS, Lloyds, Barclays and Standard Chartered (source: Thomson Reuters- All adjusted to GBP) and the Total UK sector is per the Bank of England
Peers are shown at the December 2021 period as this is the closest match to the period under review (Investec Bank plc's 31 March 2022 financial year-end).View entire presentation