Oppenheimer Holdings, Inc. · NYSE:OPY

Oppenheimer — Shareholder Meeting (May 2020)

19 slides from Oppenheimer's shareholder meeting presentation, May 11, 2020

  1. Slide 1: Annual Stockholders' Meeting

    OPPENHEIMER HOLDINGS INC. Annual Stockholders’ Meeting: Virtual New York, NY May 11, 2020

  2. Slide 2: Welcome to Oppenheimer's 2020 Annual Stockholders' Meeting

    WELCOME to Oppenheimer’s 2020 Annual Stockholders’ Meeting May 11, 2020

  3. Slide 3: Safe Harbor Statement

    SAFE HARBOR STATEMENT This presentation and other written or oral statements made from time to time by representatives of Oppenheimer Holdings Inc. (the “company”) may contain “forward‐looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of

  4. Slide 4: Business Overview

    BUSINESS OVERVIEW A Preeminent Wealth Manager and Investment Bank Oppenheimer is a leading investment bank and full-service investment firm that provides financial services and advice to high net worth investors, individuals, businesses and institutions. Wealth Management Capital Markets Oppenheimer

  5. Slide 5: COVID-19 Pandemic

    COVID-19 PANDEMIC COVID‐19 PANDEMIC:  COVID‐19 quickly spread in the U.S. with cases reaching more than 1.2 million and more than 75,000 deaths (May 8th)  States enforced regulatory mandates such as closures of non‐essential businesses, "shelter‐in place", school closures, and social distancing 

  6. Slide 6: Global Footprint

    GLOBAL FOOTPRINT Strong presence in the U.S. and Internationally  93 offices in the U.S.  6 international offices  2,946 employees – 1,029 financial advisors – 185+ institutional sales professionals – ˜40 senior research analysts Hong St. US London Tel Aviv Geneva Frankfurt Kong Helier Wealth Eur

  7. Slide 7: Full Year 2019 Highlights

    FULL YEAR 2019 HIGHLIGHTS  Highest gross revenue since 2010  Highest net income and earnings per share since 2007  Record assets under management of $32.1 billion at December 31, 2019  Record client assets under administration of $91.0 billion at December 31, 2019  Incentive fees of $38.3 milli

  8. Slide 8: Summary Operating Results – Full Year

    SUMMARY OPERATING RESULTS – FULL YEAR ($000’s) For the 12‐Months Ended Highlights REVENUE 12‐31‐19 12‐31‐18 % Change Commissions $ 320,114 $ 329,668 (2.9)  Year‐to‐date revenues up Advisory fees 353,671 314,349 12.5 approximately 8% Investment banking 126,211 115,353 9.4  Advisory fees higher due

  9. Slide 9: Summary Operating Results – First Quarter

    SUMMARY OPERATING RESULTS – FIRST QUARTER ($000’s) For the 3‐Months Ended Highlights REVENUE 3‐31‐20 3‐31‐19 % Change Commissions $ 103,249 $ 79,409 23.1%  Commissions higher due to clients repositioning their portfolios during Advisory fees 86,164 73,647 14.5% market volatility related to COVID‐19

  10. Slide 10: Select Financial Measures

    SELECT FINANCIAL MEASURES Shareholders’ Equity(1) Return on Equity (%) Earnings per Share ($) Book Value & Tangible Book Value per Share ($)(1) (1) Reduction in Shareholders’ Equity during the 1Q‐20 primarily due to repurchases of stock and vesting of employee share plan awards partially offset by i

  11. Slide 11: Capital Structure

    CAPITAL STRUCTURE Conservative risk profile with strong balance sheet Liquidity & Capital As of March 31, 2020 ($ in thousands)  The Company’s level 3 assets were $nil at March 31, 2020 (compared with $21.8 million at March 31, 2019) Total Assets: $2,139,633  Regulatory Net Capital and Excess Net

  12. Slide 12: OPY Corporate Class A Buyback Activity

    OPY CORPORATE CLASS A BUYBACK ACTIVITY Shares Average Price Amount Paid ($M) Shares Outstanding ($M) Note: The Company bought back a total of 409,504 shares for $8.4 million (average price of $20.60 per share) during the 1Q‐20. 12

  13. Slide 13: Interest and Fee Revenue

    INTEREST AND FEE REVENUE FDIC Insured Bank Deposit Program Margin Lending  Client funds swept into deposit accounts at  Credit extended to clients on a collateralized participating banks and eligible for FDIC deposit basis insurance  Average customer margin debits were $764.7  +45 participating

  14. Slide 14: Business Segment Results

    BUSINESS SEGMENT RESULTS For the 12‐Months Ended For the 3‐Months Ended ($000's) 12‐31‐19 12‐31‐18 % Change 3‐31‐20 3‐31‐19 % Change Revenue Wealth Management(1)(2) 742,164 689,567 7.1% 160,694 180,113 12.1% Capital Markets 290,830 272,719 6.2% 75,542 70,961 6.1% Corporate ‐ Other 385 (4,132) * (1,4

  15. Slide 15: Leading Wealth Management Platform

    LEADING WEALTH MANAGEMENT PLATFORM Well recognized brand and one of the few independent, non-bank broker-dealers with full service capabilities Wealth Management Services Wealth Management Revenue ($M)  Retail services: – Full‐Service Brokerage – Financial Planning, Retirement Services, Corporate &

  16. Slide 16: Wealth Management Metrics

    WEALTH MANAGEMENT METRICS Increasing shift to Fee-Based Revenue Advisory Fees as a Percentage of Wealth Management Advisory Fees and Commissions Client Assets Under Administration ($B) Client Assets Under Management ($B) 16

  17. Slide 17: Capital Markets

    CAPITAL MARKETS A leading capital markets business providing sophisticated investment banking, research and trading solutions Summary Capital Markets Revenue Breakdown Capital Markets segment includes: FY 2019 ($290.8M) – Investment Banking • Mergers & Acquisitions • Equity Capital Markets • Debt Ca

  18. Slide 18: Opportunities Moving Forward

    OPPORTUNITIES MOVING FORWARD SHARE REPURCHASE PROGRAM: INORGANIC GROWTH OPPORTUNITIES:  Purchased 409,504 shares for $8.4 million  Will continue to pursue opportunities in the at an average price of $20.60 during the independent channel. 1Q‐20.  Re‐pricing of the sector improves likelihood  Will

  19. Slide 19: Thank You!

    THANK YOU! 19

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