Macquarie Group, Ltd. · ASX:MQG
Macquarie — Investor Day (February 2018)
61 slides from Macquarie's investor day presentation, Feb 6, 2018
Slide 1: Operational Briefing
For personal use only Operational Briefing Presentation to Investors and Analysts 6 February 2018
Slide 2: Disclaimer
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 2 Disclaimer For personal use only The material in this presentation has been prepared by Macquarie Group Limited ABN 94 122 169 279 (“Macquarie”, “the Group”) and is gener
Slide 3: Agenda
Agenda For personal use only 10:00 – 10:05 Introduction – Sam Dobson 10:05 – 10:30 Update since the interim result – Nicholas Moore 10:30 – 11:00 Infrastructure 11:00 – 11:30 Energy 11:30 – 12:00 Technology MACQUARIE 2018
Slide 4: Introduction
Introduction 01 For personal use only Sam Dobson – Head of Investor Relations MACQUARIE 2018
Slide 5: Update since the interim result
Update since the interim result 02 For personal use only Nicholas Moore – Managing Director and Chief Executive Officer MACQUARIE 2018
Slide 6: About Macquarie: Building for the long term
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 6 ABOUT MACQUARIE Building for the long term For personal use only Macquarie Asset Management (MAM) • Top 50 global asset manager with $A483.5b1 of assets under management
Slide 7: 3Q18 Overview
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 7 3Q18 Overview For personal use only • Satisfactory trading conditions in 3Q18 across the Group • Macquarie’s annuity-style businesses’ (Macquarie Asset Management, Corpor
Slide 8: 3Q18 Overview: Annuity-style businesses
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 8 3Q18 Overview For personal use only Annuity-style businesses 1H18 contribution1 Activity during the quarter • AUM of $A483.5b at Dec 17, up 2% on Sep 17 predominately dri
Slide 9: 3Q18 Overview: Capital markets facing businesses
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 9 3Q18 Overview For personal use only Capital markets facing businesses 1H18 contribution1 Activity during the quarter • Stronger results in North American Gas and Power, w
Slide 10: 14,234 staff in over 25 countries
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 10 14,234 staff in over 25 countries For personal use only Americas STAFF Europe, Middle East and Africa Asia 2,608 STAFF STAFF CANADA USA 1,707 3,404 Calgary Montreal Aust
Slide 11: Funded balance sheet remains strong
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 11 Funded balance sheet remains strong For personal use only 31 Mar 17 30 Sep 17 31 Dec 17 $Ab $Ab $Ab 140 140 140 ST wholesale issued 120 ST wholesale issued paper (5%) 12
Slide 12: Strong regulatory ratios
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 12 Strong regulatory ratios For personal use only Bank Group (Dec 17) 17.5% 7.5% 190% 115% 6.6% 14.0% 13.0% 6.0% 160% 110% 153% 109% 10.5% 4.5% 5.8% 130% 105% 10.7% 7.0% 3.
Slide 13: Basel III capital position
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 13 Basel III capital position For personal use only •APRA APRA Basel Basel III Group III Group capitalcapital at Dec at Dec 17 17 of $A18.2b, of $A18.2b, Group Group capita
Slide 14: Regulatory and capital management update
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 14 Regulatory and capital management update For personal use only • Regulatory capital – In Jul 17 APRA provided guidance on the level of CET1 capital ratios for Australian
Slide 15: US tax reform
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 15 US tax reform For personal use only • Following changes to US corporate tax effective 1 Jan 18, and based on information available, Macquarie currently expects that ther
Slide 16: Factors impacting short-term outlook
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 16 Factors impacting short-term outlook For personal use only FY18 combined net profit contribution from operating groups expected to be slightly up on FY17 Annuity-style b
Slide 17: Short-term outlook
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 17 Short-term outlook For personal use only • We currently expect the FY18 combined net profit contribution1 from operating groups to be slightly up on FY17 • Given substan
Slide 18: Medium-term
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 18 Medium-term For personal use only • Macquarie remains well positioned to deliver superior performance in the medium-term • Deep expertise in major markets • Build on our
Slide 19: Approximate business Basel III Capital & ROE
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 19 Approximate business Basel III Capital & ROE For personal use only As at 30 Sep 17 1 APRA Basel III Capital Approximate 1H18 Return Approximate 11-Year Average Operating
Slide 20: Medium-term
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 20 Medium-term For personal use only Macquarie Asset Management (MAM) • Annuity-style business that is diversified across regions, products, asset classes and investor type
Slide 21: Infrastructure, Energy and Technology
03 Infrastructure, Energy and Technology For personal use only MACQUARIE 2018
Slide 22: Macquarie's evolution is driven by our people
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 22 Macquarie’s evolution is driven by our people For personal use only EVOLUTION IN THE BUSINESS We seek to identify opportunity and realise it for our clients, community,
Slide 23: Unbroken profitability through adjacent growth
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 23 Unbroken profitability through adjacent growth For personal use only FY07 Profit Thames Water1 FY13 Staff number Organic growth Acquisitions Regional expansion Received
Slide 24: Where our people currently see opportunity
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 24 Where our people currently see opportunity For personal use only balance potential AI footprint China presence industry infrastructure developing wealth trading technolo
Slide 25: Why these opportunities?
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 25 Why these opportunities? For personal use only Infrastructure Energy Technology Infrastructure investment required globally Investment in new power generation Economic v
Slide 26: Infrastructure
04 Infrastructure For personal use only MACQUARIE 2018
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For personal use only
Slide 28: Macquarie's Infrastructure capability
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 28 Macquarie’s Infrastructure capability For personal use only Broad infrastructure Link global Deep sector expertise Adapt to client needs and Strong track record, Deliver
Slide 29: A pioneer of Infrastructure growing through adjacent evolution
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 29 A pioneer of Infrastructure growing through adjacent evolution For personal use only Social infrastructure (since ‘07) Ports (since ‘05) Energy Infrastructure (since ‘04
Slide 30: Case study: Thames Water and Northern China water
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 30 Case study For personal use only MAM: Thames Water MAM: Water portfolio in Northern China Core strengths in Infrastructure MIRA is a leader in alternative asset MIRA’s A
Slide 31: Case study: Copenhagen Airport and MIDIS
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 31 Case study For personal use only MAM: Copenhagen Airport MAM: MIDIS Core strengths in Infrastructure MIRA-managed businesses provide Since its establishment in 2012, MID
Slide 32: Case study: Energetics and toll road
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 32 Case study For personal use only CAF Principal Finance: Energetics CAF Principal Finance: Toll road Core strengths in Infrastructure Between 2013 and 2015, CAF acquired
Slide 33: Case study: CGM infrastructure and Teesside
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 33 Case study For personal use only CGM: Deep sector expertise and capability CGM: Teesside Core strengths in Infrastructure CGM has deep expertise and a leading With MGT P
Slide 34: Case study: MacCap leading advisor and global sponsor
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 34 Case study For personal use only MacCap: Leading advisor MacCap: Global sponsor Core strengths in Infrastructure MacCap is a global market leader in MacCap is a global i
Slide 35: What's next?
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 35 What’s next? For personal use only MACQUARIE ASSET MANAGEMENT CORPORATE AND ASSET FINANCE MACQUARIE CAPITAL Continue to raise and deploy regional-focused flagship infras
Slide 36: Energy
05 Energy For personal use only MACQUARIE 2018
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For personal use only
Slide 38: Macquarie's Energy capability
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 38 Macquarie’s Energy capability For personal use only Full spectrum offering Growth and expansion into Sourcing capital Project development and Strong track record Deliver
Slide 39: Growth of our Energy business
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 39 Growth of our Energy business For personal use only Coal (since ‘08) Started commodities Agriculture (since ‘07) platform Renewables (since ‘05) Energy Infrastructure (s
Slide 40: Case study: Viesgo and MEIF renewables
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 40 Case study For personal use only MAM: Viesgo MAM: MEIF renewables Core strengths A Macquarie-led consortium acquired a MEIF renewables, a portfolio of renewable in Energ
Slide 41: Case study: EDC and UK Green Investment Bank
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 41 Case study For personal use only MAM: EDC MAM: UK Green Investment Bank Core strengths A MIRA-led consortium made a voluntary Macquarie completed the acquisition of the
Slide 42: Case study: Meters and rooftop solar PV
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 42 Case study For personal use only CAF Asset Finance: Meters CAF Principal Finance: Rooftop solar PV Core strengths in Energy A market leader in UK meter provision From 20
Slide 43: Case study: Heide Refinery and Cargill
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 43 Case study For personal use only CGM: Heide Refinery CGM: Cargill Core strengths CGM provides financing, risk management Completed the acquisitions of Cargill in Energy
Slide 44: Case study: Green energy platform and Quadrant
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 44 Case study For personal use only MacCap: Green energy infrastructure platform MacCap: Quadrant Core strengths Initiated and jointly underwrote the The global transition
Slide 45: What's next?
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 45 What’s next? For personal use only MACQUARIE ASSET MANAGEMENT CORPORATE AND ASSET FINANCE COMMODITIES AND GLOBAL MARKETS MACQUARIE CAPITAL Facilitate growing investor de
Slide 46: Technology
06 Technology For personal use only MACQUARIE 2018
Slide 47: For personal use only
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Slide 48: Macquarie's Technology capability
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 48 Macquarie’s Technology capability For personal use only Investment in people and Business-focused strategy Deep expertise in technology Open API architecture Cloud-first
Slide 49: Investing in our people and platforms, and partnering with entrepreneurs
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 49 Investing in our people and platforms, and partnering with entrepreneurs For personal use only Investment Award winning Workplace by Facebook workplace experience Enterp
Slide 50: Operating Groups supported by Corporate Operations Group
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 50 Case study: Operating Groups are supported and enabled by the Corporate Operations Group For personal use only Corporate Operations Group manages Macquarie’s core infras
Slide 51: Case study: CAF investment in platforms
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 51 Case study For personal use only CAF: investment in platforms Core strengths in Technology Creating an engaging and seamless customer journey Business-focused strategy b
Slide 52: Case study: BFS Digital Banking
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 52 Case study For personal use only BFS: Digital Banking Core strengths in Technology Digital Banking More than 1.1 million Australian clients Investment in people and cult
Slide 53: Case study: CGM investment in platforms
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 53 Case study For personal use only CGM: investment in platforms Core strengths in Technology Electronic execution The cost to provide innovative Business-focused platform
Slide 54: Case study: PEXA and Nuix
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 54 Case study For personal use only MacCap: PEXA MacCap: Nuix Core strengths in Technology Supported PEXA since 2012 including MacCap has supported Nuix, an Australian prov
Slide 55: What's next?
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 55 What’s next? For personal use only MACQUARIE ASSET MANAGEMENT CORPORATE AND ASSET FINANCE BANKING AND FINANCIAL SERVICES Further leveraging data and analytics in portfol
Slide 56: Operational Briefing
For personal use only Operational Briefing Presentation to Investors and Analysts 6 February 2018
Slide 57: Glossary
A Glossary For personal use only MACQUARIE 2018
Slide 58: Glossary
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 58 Glossary For personal use only $A / AUD Australian Dollar CAF Corporate and Asset Finance $C / CAD Canadian Dollar CAGR Compound Annual Growth Rate $US / USD United Stat
Slide 59: Glossary
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 59 Glossary For personal use only GW Gigawatt MIRA Macquarie Infrastructure and Real Assets GWH Gigawatt Hours mmboe Million Barrels of Oil Equivalent HK Hong Kong MSIS Mac
Slide 60: Glossary
Macquarie 2018 Operational Briefing macquarie.com Update since the interim result Infrastructure Energy Technology Appendix 60 Glossary For personal use only UK United Kingdom UK GIB United Kingdom Green Investment Bank US / USA United States of America yr Year YTD Year To Date
Slide 61: Operational Briefing
For personal use only Operational Briefing Presentation to Investors and Analysts 6 February 2018