Silicon Valley Bank Results Presentation Deck
Healthy loan growth driven by Tech and Life Science/Healthcare and Private Bank lending
Expect high 20s % FY'22 average loan growth
Q3'22 activity
Persistent market volatility continued to fuel strong new originations from Tech and
Life Science/Healthcare clients
• Strong Private Bank mortgage growth driven by new purchase activity; refi demand
declined with higher rates
While GFB term sheets were at near record highs, GFB growth moderated as
utilization declined on slowing PE/VC investment activity and EMEA/Asia paydowns
Average
Loans
$B
Average
Loan Yield
svb>
59.3
8.2
12.7
31.9
Q3'21
60.4%
3.78%
0.6
674
2.7
1.4
1.8
Q2'22
loan yield
62.6
8.6
13.2
34.4
Q4'21
60.3%
0.3
2.7
1.4
2.0
1.04%
Rate hikes
67.1
9.0
14.0
38.1
Q1'22
60.6%
0.2
2.7
1.3
1.8
69.3
0.02%
9.5
14.8
39.2
Q2'22
58.4%
Loan mix
0.1
2.0
71.1
9.9
15.5
39.5
Q3'22
56.4%
(0.01%)
Loan fees
PPP
0.0
2.6 CRE
1.1 Other C&I
2.5
Premium Wine
and Other
Private Bank
Tech and Life
Science/HC
Global Fund
Banking
Portfolio utilization
4.83%
Q3'22
loan yield
Q4'22 considerations
Expect Q4 average loans to increase to ~$72-74B:
Continued robust Tech and Life Science/Healthcare borrowing
Market volatility fueling demand
Slowing PE/VC investment activity and related GFB loan growth
Due to pressured public and private markets
Moderating SVB Private mortgage origination
As higher rates and economic uncertainty impact demand
Expect higher loan yields:
Higher loan yields with future rate hikes
91% of Q3'22 average loans were variable rate
Rate protections
$73M remaining locked-in pre-tax swap gains from unwind of loan cash flow
hedges as of 9/30/22*
Boston Private purchase accounting
Amortization of fair value mark ups on loans ($31M remaining at 9/30/22, vast
majority to be amortized by end of 2023)
* Expect vast majority of remaining pre-tax gains from $5B swap unwind in Q1'20 to be amortized into loan interest income by the end of 2023.
Q3 2022 FINANCIAL HIGHLIGHTS 26View entire presentation