Leonteq AG · SIX:LEON
Leonteq — Credit Suisse Swiss EQ Mid Cap Conference 2019
21 slides from Leonteq's conference presentation, Nov 14, 2019
Slide 1: Credit Suisse Swiss EQ Mid Cap Conference 2019 – Leonteq AG Presentation
14 NOVEMBER 2019 CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 LEONTEQ AG | PRESENTATION
Slide 2: Legal Disclaimer
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 LEGAL DISCLAIMER This presentation of Leonteq AG (the “Company”) serves for information purposes only and does not constitute research. This presentation and all materials, docu- ments and information used therein or distributed in the
Slide 3: Agenda
AGENDA CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 • OUR BUSINESS & STRATEGY • OUR PERFORMANCE • SUMMARY 3
Slide 4: Our Business & Strategy
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 OUR BUSINESS & STRATEGY 4
Slide 5: Our Business: Experts in Structured Products and Savings Solutions
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 OUR BUSINESS EXPERTS IN STRUCTURED PRODUCTS AND SAVINGS SOLUTIONS PEOPLE TWO DISTINCT BUSINESS LINES ~ 500 EMPLOYEES FROM >50 NATIONS 11%* • Founded in 2007 INSURANCE & WEALTH PLANNING SOLUTIONS • IPO in 2012 • Market cap of around CHFb
Slide 6: Transformation of Business Model: Leading Market Place for Structured Investment Solutions
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 TRANSFORMATION OF BUSINESS MODEL LEADING MARKET PLACE FOR STRUCTURED INVESTMENT SOLUTIONS PHASE 1 • Differentiate Leonteq through enhanced client services Client focus • Propositions centred around transparency on product documentation,
Slide 7: Strategic Priorities: Focused Execution Since Mid-2018
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 STRATEGIC PRIORITIES FOCUSED EXECUTION SINCE MID-2018 PRIORITIES DEFINED UPDATES & ACHIEVEMENTS • Simplified organisational structure Increase efficiency, reduce functional 1 Reduce complexity overlaps and clarify roles and responsibili
Slide 8: Smart Hedging Issuance Platform (SHIP)
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 SMART HEDGING ISSUANCE PLATFORM (SHIP) ON TRACK TO BE FULLY OPERATIONAL BY MID-2020 LEONTEQ PLATFORM • 3rd hedging counterparty ISSUERS connected to SHIP • Autocallables and barrier reverse convertibles with equity underlyings available
Slide 9: SHIP Statistics Q2 2019
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 SHIP STATISTICS Q2 2019 MORE THAN 600 TRADES WITH NOTIONAL OF CHFm 350¹ TRADES AND NOTIONAL EXECUTED ON SHIP (CUMULATIVE)2 FOCUS AREAS TO KEEP POSITIVE MOMENTUM • Today, SHIP covers approx. 800 350 40% of Leonteq’s product universe (aut
Slide 10: New Digital Marketplace
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 NEW DIGITAL MARKETPLACE REDEFINING THE INVESTMENT EXPERIENCE OF CLIENTS AND PARTNERS Leonteq CRM Private banks CRM EFG International • Digital access to one of the largest Raiffeisen Switzerland IV. I. CRM Invest Access Retail banks str
Slide 11: Our Performance
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 OUR PERFORMANCE 11
Slide 12: Business Metrics: Consistent Strong Double Digit Growth Rates
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 BUSINESS METRICS CONSISTENT STRONG DOUBLE DIGIT GROWTH RATES PLATFORM ASSETS* (CHFbn) TURNOVER (CHFbn) 15 40 CAGR CAGR 33% 23% 30 10 20 13.8 11.9 5 11.4 26.8 28.8 7.9 9.2 10 7.6 18.7 18.6 20.9 5.3 14.5 15.0 3.1 3.3 10.4 11.7 2.8 6.9 7.8
Slide 13: Income Statement: Focus on Sustainable, Profitable Growth
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 INCOME STATEMENT FOCUS ON SUSTAINABLE, PROFITABLE GROWTH TOTAL OPERATING INCOME (CHFm) TOTAL OPERATING EXPENSES (CHFm) 300 300 CAGR CAGR • Stable fee income generated in 29% 16% different set of market environment 200 200 • Cost line un
Slide 14: Solid Balance Sheet
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 SOLID BALANCE SHEET LOW RISK PROFILE AND LEVERAGE RATIO OF 7.7% ASSETS (CHFbn) LIABILITIES AND SHAREHOLDERS’ EQUITY (CHFbn) • Total assets decreased by 10% to CHFbn 9.6 Short-term credit Cash & receivables 1.7 1.7 & liabilities • Decrea
Slide 15: Strong Capital Position
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 STRONG CAPITAL POSITION TOTAL BIS ELIGIBLE CAPITAL OF CHFm 633.5 RISK-WEIGHTED ASSETS (IN CHFm) BIS TOTAL CAPITAL RATIO (IN %) 5,000 25 -0.7pp +7% 4,000 20 2,981 2,781 2,381 4% 3,000 15 2,138 2% 1,919 2% 15% 15% 2% 17% 15% 22.0 21.3 2,0
Slide 16: Summary
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 SUMMARY 16
Slide 17: Summary: Focus on Transforming Leonteq's Business Model
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 SUMMARY FOCUS ON TRANSFORMING LEONTEQ’S BUSINESS MODEL • Leonteq made important steps towards becoming a globally renowned platform for structured investment products • Solid performance in H1 2019 despite challenging start into the yea
Slide 18: Appendix
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 APPENDIX 18
Slide 19: Income Statement
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 INCOME STATEMENT CHFm FY 2015 FY 2016 FY 2017 FY 2018 H1 2018 H1 2019 CHANGE Y-O-Y Net fee income 228.7 209.0 247.0 272.5 145.7 120.9 (17%) Net trading result (4.1) 5.5 (25.8) 21.4 (3.7) 7.5 N/A Net interest result (4.9) (7.5) (8.8) (14
Slide 20: Key Performance Indicators
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 KEY PERFORMANCE INDICATORS GROUP KPIS FY 2015 FY 2016 FY 2017 FY 2018 H1 2018 H1 2019 Cost-income ratio 69% 91% 89% 67% 70% 76% Return on equity 17% 4% 6% 18% 19% 10% Investment Solutions Platform assets (CHFbn)1 7.9 9.2 11.4 11.9 13.2
Slide 21: Shareholder Structure
CREDIT SUISSE SWISS EQ MID CAP CONFERENCE 2019 14 NOVEMBER 2019 SHAREHOLDER STRUCTURE1 SIGNIFICANT SHAREHOLDERS2 SHAREHOLDER STRUCTURE1 Raiffeisen Switzerland3 29.02% Lukas Ruflin family interests 4 8.15% Sandro Dorigo 2.45% Subtotal shareholders’ agreement 39.62% Rainer-Marc Frey 5,6 12.15% 20% 29%
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