Canadian Housing Market: Engineering a Soft Landing slide image

Canadian Housing Market: Engineering a Soft Landing

Canadian Banking Top 3 bank in personal & commercial banking, wealth and insurance in Canada • Canadian Banking provides a full suite of financial advice and banking solutions, supported by an excellent customer experience, to Retail, Small Business, Commercial Banking, and Wealth Management customers Retail 55% REVENUE MIX1 $3.5B 18% Commercial Residential Mortgages 60% MEDIUM-TERM FINANCIAL OBJECTIVES Target² 2019 Q3 YTD3,4.5 AVERAGE LOAN MIX1 $351B Net Income Growth6 7%+ +2% Productivity Ratio <49% 49.4% 2% 27% Credit Cards 21% CB ex Wealth <45% 45.4% 17% Wealth Business and Government Loans Personal Loans Wealth <65% 61.6% STRATEGIC OUTLOOK • Improve productivity towards our <49% productivity ratio target (<45% ex Wealth) by 2020 supported by positive operating leverage • Leverage data analytics for prudent growth in higher margin credit card and small business banking • Increase core deposits and primary customers 1 For the three months ended July 31, 2019; 2 3-5 year target; 3 Adjusted for Acquisition-related costs, including integration and amortization costs related to current acquisitions, and amortization of intangibles related to current and past acquisitions; 4 Reflects adoption of new accounting standard, IFRS 15; 5 For the nine months ended July 31, 2019; 6 Attributable to equity holders of the Bank Scotiabank. 19
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