Canadian Housing Market: Engineering a Soft Landing
Increasing Scale, Improving Focus, Lowering Risk¹
Gaining scale in key markets to drive earnings growth, improve earnings quality and reduce risk
Reducing Risk Profile
Gaining Market Share (Total Loans)
54
countries
33
countries
2013
2019
Exited 21 countries since 2013 with either small scale, higher
operational risk, or low returns, including:
•
Middle East: Turkey, Egypt, UAE
•
Asia: Thailand, Vietnam, Taiwan
Canada
Mexico
Chile
Peru
Colombia
0 2
4 6 8 10 12 14 16 18 20%
•
Central America: Guatemala, El Salvador
Caribbean: Haiti, Puerto Rico, USVI, and 9 of the Leeward
•
Islands
Europe: Russia, France
Capital has been mainly redeployed into Canada and the Pacific
Alliance countries and through share buyback program
Exited 11 non-core businesses including:
Pension benefits and administration businesses (Dominican
Republic, Colombia) and lease finance (Canada)
Reduced wholesale funding (% of assets) from >29% in 2014 to
23% today
Improving Earnings Quality
$
Increased Wealth Management assets under management
by 44% to $297B
Targeting Wealth Management earnings contribution to All-
Bank earnings of 15% over the medium-term
Establishing Global Wealth Management as a standalone
reporting division in Q1/20
15-year period 2014-2019; 2 Q4 2017 to Q3 2019
Q3/14
Q3/19
Scotiabank.
11View entire presentation