Global Wealth Management and Banking Overview slide image

Global Wealth Management and Banking Overview

Canadian Banking: Residential Mortgages High quality, well managed portfolio o Residential mortgage portfolio of $213 billion: 43% is insured; LTV is 54% on the uninsured book1 Mortgage business model is “originate to hold" . • • New originations2 had average LTV of 63% in Q4/18 Majority is freehold properties; condominiums represent approximately 13% of the portfolio 。 Scotiabank has three distinct distribution channels: 1. Broker (~55%); 2. Branch (~25%); and 3. Mobile Salesforce (~20%) О All adjudicated under the same standards 。 The mortgage portfolio has good diversification across Canada with approximately half of the portfolio in Ontario CANADIAN MORTGAGE PORTFOLIO: $213B (SPOT BALANCES AS AT Q4/18, $B) Freehold $185B Condos $28B $107.0 43% Insured $12.2 Total Portfolio: $213 billion $94.8 $38.6 $9.2 $30.7 $3.6 $15.9 $29.4 $27.1 $1.8 $14.1 $11.4 $11.2 $0.2 $9.5 $8.8 $0.7 57% Uninsured Ontario BC & Territories Alberta Quebec Atlantic Provinces Manitoba & Saskatchewan % of 50% 18% 14% 8% 5% 5% portfolio 1 LTV calculated based on the total outstanding balance secured by the property. Property values indexed using Teranet HPI data 2 New originations defined as newly originated uninsured residential mortgages and have equity lines of credit, which include mortgages for purchases refinances with a request for additional funds and transfer from other financial institutions Scotiabank® 20 20
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