Investor Presentaiton
Appendix
Wealth and Personal Banking
4Q20 financial highlights
Strategy
Results
Balance sheet89 $bn
Revenue
$5.3bn
(18)%
(4019: $6.5bn)
9%
3%
21%
814
835
768
ECL
$(0.3)bn
(4019: $(0.4)bn)
0%
456
476
469
Costs
$(4.0)bn
(4019: $(4.0)bn)
PBT
$1.0bn
(51)%
4Q19
3Q20
4Q20
(4019: $2.1bn)
ROTE88
9.1%
10.6ppt
(FY19: 19.7%)
Customer
lending
Customer
accounts
Revenue performance83, $m
Reported Wealth Balances 50 $bn
12%
(18)%
1,588
6,473
5,689
5,823
5,520
5,321
1,421
1,489
394
200
362
126
298
361
371
(710)
380
373
407
314
373
404
290
433
450
470
-225-
4,015
3,878
247
295
317
3,185
3,052
3,043
4019
3Q20
4Q20
1,944
2,148
1,872
2,052
1,755
Global Private Banking
Client Assets
4019
1Q20
2Q20
3Q20
4Q20
Other*
Retail banking
Wealth management excl. market impacts
Insurance manufacturing market impacts
*Other includes MT, Holdings interest expense and Argentina hyperinflation
Retail Wealth Balances
Premier and Jade deposits
Asset Management
third party distribution
4020 vs. 4019
Revenue down $1,152m (18%) driven by lower Retail Banking (down
$972m) following interest rate cuts, lower Insurance Manufacturing
(down $57m) primarily from lower VNB partially offset by positive
insurance market impacts of $98m
◆ ECL down $84m (21%) to $310m, as a result of an Insurance ECL charge
in Argentina in 4019
◆ Costs stable with reductions in discretionary spend offsetting increases
in performance-related pay and a one off real estate impairment
◆ Customer lending up $14bn (3%) driven by growth in mortgages
($22bn) particularly in the UK and Hong Kong, partially offset by lower
cards spending ($4bn) and reduced unsecured lending ($4bn)
◆ Customer accounts up $67bn (9%) mainly from higher inflows and
reduced spending across all markets most notably UK / Hong Kong
♦ Wealth balances up $167bn (12%) driven by inflows into both liquidity
and long-term products as well as higher market levels
4020 vs. 3020
Revenue down $199m (4%) driven by Wealth Management ($125m)
from seasonality and reduced market activity, which included $172m of
favourable insurance market impacts
◆ ECL down $49m (14%) to $310m, underlying performance has remained
resilient as we continue to support our customers with payment holidays
◆ Costs up $257m (7%) following a one off real estate impairment and
seasonal cost increases including targeted marketing campaigns
◆ Customer lending down $6bn (1%) with underlying growth in
mortgages ($6bn) and a recovery in card spend offset by the repayment
of Hong Kong IPO short term lending activity in 3Q20 ($12bn)
♦ Customer accounts up $21bn (3%) from higher inflows and reduced
spending, particularly in the UK and Hong Kong
Commentary above is based on unrounded figures
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