Economic Backdrop and Financial Performance Objectives slide image

Economic Backdrop and Financial Performance Objectives

Personal & Commercial Banking - Canadian Banking Canadian Banking client acquisition (1) Cumulative clients added ~2.00MM Superior Cross-Sell Ability Percentage of clients with transaction accounts, investments, borrowing and credit card products (2) COVID-19 ~1.35MM ~0.95MM ~0.75MM ~0.60MM ~0.30MM 2018 2019 2020 2021 2022 Net new clients 2023 â– Cumulative net new clients Top Market Share in All Key Categories (3) 18% RBC 12% (2) Peer average Continued Efficiency Improvements While Investing For Growth NIE CAGR (9) FTE CAGR (10) Product Market share Rank RBC 5.4% Peer Average 6.6% RBC 2.3% Peer Average 3.0% Personal Lending (4) 24.7% 1 Efficiency ratio (11) Personal Core Deposits + Guaranteed 48.9% 21.6% 1 Investment Certificates (GICs) 47.7% Peer Average (12) 47.1% 47.2% Credit Cards(5) 43.2% 27.0% 1 42.0% Long-Term Mutual Funds (6) 32.0% 1 40.5% 40.4% 39.2% RBC Business Loans ($0-$25MM)(7) 25.9% 1 Business Deposits (8) 24.1% 1 2020 2021 2022 2023 Q1/2024 (1) 2018 Investor Day Target: 2.5MM net new Canadian Banking clients by 2023. (2) Canadian Financial Monitor by Ipsos - approx. 18,000 Canadian individuals - data based on Financial Group results for the 12-month period ending January 2024. TFSA is considered an investment. Peers include BMO, BNS, CIBC, TD, National Bank, Desjardins and HSBC Canada. (3) Market share is calculated using most current data available from OSFI (M4), Investment Funds Institute of Canada (IFIC) and Canadian Bankers Association (CBA), and is as at November 2023 and September 2023 except where noted. Market share is of total Chartered Banks except where noted. (4) Personal Lending market share of 6 banks (RBC, BMO, BNS, CIBC, TD and NA) and includes residential mortgages (excl. acquired portfolios) and personal loans as at September 2023, excludes Credit Cards. (5) Credit cards market share is based on 6 banks (RBC, BMO, BNS, CIBC, TD and NA) as at November 2023. (6) Long-term mutual fund market share is compared to 7 banks (RBC, BMO, BNS, CIBC, TD, NA, and HSBC) and is at November 2023. (7) Business Loans market share is of 6 Chartered Banks (RBC, BMO, BNS, CIBC, TD and NA) on a quarterly basis and is as at June 2023. (8) Business Deposits market share excludes Fixed Term balances and is as at November 2023. (9) Non-interest expense representing FY20 to FY23 CAGR. Peers include BMO, BNS, CIBC and TD. (10) Number of employees (full-time equivalent) representing FY20 to FY23 CAGR. Peers include BMO, BNS, CIBC and TD. (11) Refer to the Glossary on slides 58-59. (12) Peers include BMO, BNS, CIBC, TD and NA; 2020 through 2023 reflects annual numbers. 15 BUSINESS SEGMENTS RBC
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