Investor Presentation - First Nine Months 2022
Investor Presentation - First nine months 2022
Danske Bank
Fully compliant with MREL and subordination requirement; expect to cover MREL
need with both preferred and non-preferred senior
MREL and subordination requirement* and eligible funds; Q3 2022;
Comments
DKK bn (% of Group REA]
+19
(+2.3%)
317
PS > ly
NPS > ly
CET1, AT1, T2
+28
(+3.3%)
271
(32.0%)
298
(35.2%)
(37.5%)
46
(5.5%)
243
(28.7%)
91
(10.7%)
91
(10.7%)
MREL
requirement
incl. CBR
180
[21.3%)
MREL funds
Subordination
requirement
180
[21.3%)
Subordinated
MREL funds
The Group has to meet a MREL requirement and a subordination
requirement, both adjusted for Realkredit Danmark [RD]
The subordination requirement is the higher of 2x(P1 + P2) + CBR or
8% TLOF
The Group's MREL requirement (total resolution requirement) is DKK
298bn incl. RD's capital and debt buffer requirement (DKK 39bn]) and
the combined buffer requirement (DKK 47bn). Excess MREL funds are
DKK 19bn.
The Group's subordination requirement is DKK 243bn incl. RD's
capital requirement (DKK 25bn). Excess subordinated MREL funds are
DKK 28bn
This figure shows the Group's MREL and subordination requirement,
which constitutes the fully-phased in requirements, i.e. no interim
target.
Requirements will, however, be impacted by any changes to the CCyB.
Danske Bank will initiate a dialogue with the Danish FSA to recalibrate
the backward-looking MREL and subordination requirement to reflect
the removal of the DKK 7.5 billion Pillar Il add-on in order to decrease
the difference between the point-in-time and backward-looking
requirements.
*Including Realkredit Danmark's (RD) capital and debt buffer requirements
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