Investor Presentaiton

Canadian Mortgage Market Default Insurance • Under the Bank Act, banks can only advance uninsured mortgages up to an LTV ratio of 80% Borrowers have to purchase default insurance if the mortgage has an LTV > 80% Insurance covers the entire outstanding principal amount, up to 12 months accrued interest and, subject to certain caps, any out-of-pocket costs incurred by the lender (e.g. foreclosure expenses, legal fees, maintenance costs, property insurance, etc.) Mortgage default insurance is provided by CMHC and private mortgage insurers (Genworth, Canada Guaranty) Favourable Legal Environment In most provinces, lenders have robust legal recourse to recoup losses (e.g. garnishing wages) Taxation Mortgage interest is generally not tax deductible, which results in an incentive for mortgagors to limit their amount of mortgage debt CIBC 1. Source: International Monetary Fund, October 2020 2. Source: World Economic Forum, The Global Competitiveness Report 2019 3. CIBC capital requirements are determined in accordance with guidelines issued by the Office of the Superintendent of Financial Institutions (OSFI), which are based upon the risk-based capital standards developed by the Basel Committee on Banking Supervision (BCBS). OSFI requires all institutions to achieve target capital ratios that meet or exceed the 2020 all-in minimum ratios plus a conservation buffer. Please see CIBC Q3, 2020 supplementary financial information for additional details. 4. DBRS LT Issuer Rating; Moody's LT Deposit and Counterparty Risk Assessment Rating; S&P's Issuer Credit Rating; Fitch LT Issuer Default and Derivative Counterparty Rating. Includes: (a) Senior debt issued prior to September 23, 2018; and (b) Senior debt issued on or after September 23, 2018 which is excluded from the bank recapitalization "bail-in" regime. 5. Subject to conversion under the bank recapitalization “bail-in" regime CIBC Fixed Income Investor Presentation | 46

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