Nordea Bank Abp · OMXHEX:NDA_FI
Nordea Bank Abp — Investor Presentation (November 2015)
19 slides from Nordea Bank Abp's investor presentation, Nov 9, 2015
Slide 1: Shaping the future relationship bank
Shaping the future relationship bank Analyst and investor presentation Casper von Koskull, President and Group CEO
Slide 2: The relationship bank business model has delivered
The relationship bank business 14 model has delivered 1
Slide 3: Strong Nordea track record…
Strong Nordea track record… Strong capital generation and stable returns at low risk1 Acc. dividend, EURbn Acc. equity, EURbn 39 37 34 31 29 26 20 18 15 12 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 CET 1 Ratio, % 5.92 15.7 1) CAGR 2014 vs. 2005, adjusted for EUR 2.5bn rights issue in 2009. E
Slide 4: … with a low risk profile
… with a low risk profile Nordea ROE track record1, % No quarter below 8%, every year above 11% 16.2 15.8 15.0 14.4 14.3 13.9 13.1 12.3 12.8 12.5 12.2 12.1 12.0 12.0 12.0 11.8 11.7 11.7 11.5 11.5 11.4 11.3 10.6 11.2 11.1 10.8 10.5 10.4 10.1 9.5 8.1 2008 2008 2009 2009 2010 2010 2011 2011 2012 2012 2
Slide 5: The most stable bank in the Nordics
The most stable bank in the Nordics Nordea and peers 2006-2015, % Quarterly net profit 150 volatility 83 46 25 32 17 Nordea Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 Quarterly CET1 ratio 1.08 0.92 volatility¹ 0.50 0.54 0.36 0.21 Max Nordea Peer 1 Peer 2 Peer 3 Peer 4 Peer 5 quarterly 0.38 0.72 1.29 1.42 2.
Slide 6: Management buffer reflects Nordea's diversified business
Management buffer reflects Nordea’s diversified business CET1 ratio build-up, % MDA restriction level¹ Approx.~10.4% 15.4 0.5-1.5 2.0 2.0 2.0 5.9 1.0 4.5 Pillar 1 Combined Swe & Nor Pillar 2 Pillar 2 (other) CET1 Management min buffer2 Mortgage Risk Systemic level as per buffer Weight floors Risk Bu
Slide 7: Nordea as a dividend stock
Nordea as a dividend stock DIVIDENDS, EUR/SHARE 0.62 0.43 0.34 0.29 0.25 0.26 0.20 2008 2009 2010 2011 2012 2013 2014 6•
Slide 8: Creating the leading Nordic Wholesale bank
Creating the leading 14 Nordic Wholesale bank
Slide 9: Towards the leading Wholesale Bank in the Nordic region
Towards the leading Wholesale Bank in the Nordic region Leveraging scale, competences and closeness STRATEGIC POSITIONING CHANGE LEVERS Strategy International competition (Size and competencies) Structure Product dimension: Relevance Management Local Operating model competition Culture Customer dime
Slide 10: Wholesale Banking 2011-2014 - performance and value drivers
Wholesale Banking 2011-2014 - performance and value drivers GDP growth Interest rates Volatility Capital markets regulation Market characteristics Low Low Low High Lending Income NII Fair Value Cost/Income Top line drivers -15% -5% -7% -15% +2 pp Pricing Fee & Comm. Cost REA Loan losses Value driver
Slide 11: One Nordea
One Nordea 14 10
Slide 12: We have earned the right to invest in the Future Relationship Banking model
We have earned the right to invest in the Future Relationship Banking model Future business model Return hurdle Capital hurdle 11 •
Slide 13: Direction and priorities – One Nordea through strengthened culture and relentless execution
Direction and priorities – One Nordea through strengthened culture and relentless execution In place In progress In future Common brand Common systems One Common way of working - delivering the Future Common values Relationship Bank Common vision 12 •
Slide 14: Becoming One Nordea is a continuation of the journey we have already set out
Becoming One Nordea is a continuation of the journey we have already set out… Future relationship bank P Overall strategic direction and targets remain unchanged Universal banking P Financial targets 2016-18 P 13 •
Slide 15: Accelerating transformation drivers and the current macro economic environment
Accelerating transformation drivers and the current macro economic environment only adds to this challenge Digitalisation continues to accelerate Compliance requirements No tailwind in support still increasing of transformation Economic environment remains unfavorable 14 •
Slide 16: Execution of four main strategic priorities will be key to delivering the transformation
Execution of four main strategic priorities will be key to delivering the transformation of our business model Risk & compliance Cost & capital Simplification Digital strategy setup efficiency Prerequisites for creating greater shareholder value 15 •
Slide 17: Future operating model of a digital bank – the vision
Future operating model of a digital bank – the vision RELEVANT PERSONALISED AGILE TRUST CUSTOMER FACING ANYTHING, EASY ANYTIME, ANYWHERE WELL INNOVATIVE STRUCTURED “DIGITAL FACTORY” One operating model RELIABLE COST EFFECTIVE for product and service delivery END-TO-END SCALABLE AUTOMATED COMMON PROC
Slide 18: Truly living up to our values will be critical
Truly living up to our values will be critical The safe and trusted partner, acknowledged for its people, creating The safesuperior shareholder and trusted value partner, acknowledged for its people, creating superior shareholder value Great customer It’s all about people One Nordea team experiences
Slide 19: Shaping the future relationship bank
Shaping the future relationship bank Analyst and investor presentation Casper von Koskull, President and Group CEO
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