Strategy in Action Investor Presentation slide image

Strategy in Action Investor Presentation

17 18 Risks Continue to be Well-Managed • Risk in credit portfolios continues to be well-managed - - Provisions for credit losses on impaired loans remain in line with expectations Overall credit quality of loan portfolio remains strong Market risk remains low and well controlled Average 1-day all-bank VaR: $17.4MM vs. $19.0MM in Q4/12 Exposure to Europe not significant, although up slightly from last quarter Stress tests on the mortgage portfolio confirm that potential losses under a severe economic downturn are manageable Scotiabank Credit Provisions Continue to be Stable ($ millions) Q1/12 Q2/12 Q3/12 Q4/12 Q1/13 Canadian Retail 112 105 103 99 108 Canadian Commercial 24 15 15 33 10 136 120 118 132 118 International Retail 125 133 151 159 171 International Commercial (1) 12 17 17 15 124 145 168 1761 186 Global Wealth Management 1 2 1 Global Banking & Markets Collective allowance on performing loans 5 (1) 15 11 5 - 100 I - 265 264 402 321 310 Total PCL ratio (bps) ex. collective allowance 32 31 34 36 32 on performing loans PCL ratio (bps) 32 31 46 36 32 Scotiabank (1) Includes the impact of Colombian purchased portfolio. The Bank expects the PCL ratio to rise with the maturity of the acquired portfolio. See pg 10 of the First Quarter Report to Shareholders.
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