Consistent Earnings Growth and Digital Engagement slide image

Consistent Earnings Growth and Digital Engagement

Robust Liquidity Management Liquidity Risk Management Framework Target a 90-day survival horizon under a combined Bank-specific and market-wide stress scenario, and a minimum buffer over regulatory requirements prescribed by the OSFI Liquidity Adequacy Requirements (LAR) guideline. Manage structural liquidity exposure by matching funding to asset term or market depth. We maintain a comprehensive contingency funding plan to enhance preparedness for recovery from potential liquidity stress events Liquidity Coverage Ratio (LCR) TD Liquidity Risk Management Framework TD holds a variety of liquid assets commensurate with liquidity needs in the organization. ■ The average eligible HQLA82 of the Bank for the purpose of LCR reporting for quarter ended October 31, 2022, was $366 billion (July 31, 2022 - $333 billion), with Level 1 assets representing 84% (July 31, 2022 - 84%). ■ The Bank's NSFR for the quarter ended October 31, 2022 was at 122% and has met the regulatory requirements Q4'22 Average HQLA (CAD $B) 140% 84% 120% 128% 124% 119% 121% 100% 80% 60% Q1'22 Q2'22 Q3'22 Q4'22 ◉ Level 1 Cash & Central Bank Reserve Level 1 Sovereign Issued/ Guaranteed Level 1 MDBs, PSES, Provincials ■ Liquidity Coverage Ratio (LCR) - - - Regulatory Minimum 45 16% Level 2A Sovereign Issued/Guaranteed Level 2A PSES, Corp bonds, Municipals ☐ Level 2B Equities, Sovereigns, RMBS Prudent liquidity management commensurate with risk appetite
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