Stifel Financial Corporation · NYSE:SF
Stifel Financial — Sidoti & Company Institutional Investor Forum (September 2010)
35 slides from Stifel Financial's conference presentation, Sep 24, 2010
Slide 1: Stifel Financial Investor Presentation
Stifel Financial Investor Presentation Sidoti & Company Institutional Investor Forum September 2010 STIFEL FINANCIAL
Slide 2: Forward-Looking Statements
STIFEL FINANCIAL Forward-Looking Statements This presentation may contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 that involve significant risks, assumptions, and uncertainties, including statements relating to the market opportunity an
Slide 3: I. Stifel Financial Overview
STIFEL FINANCIAL I. al Overview
Slide 4: Stifel Financial Overview
Stifel Financial Overview STIFEL FINANCIAL = Proven abilityto build Global Wealth Management Business * Grown from 86 branches and 621 Financial Advisors in 2004 to 278 branches and 1,916 Financial Advisors in 2010. + Proven Integrator of Acquisitions = Middle-market focus + Research driven, industr
Slide 5: A Growth Story
Stifel Financial Overview STIFEL FINANCIAL A Growth Story... Net Revenues ($MM) ® CAGR:29% an sue li “ “= “ “ os ws I al a" ax mm anna Total Client Assets (SBN) CAGR:25% m1 2 2002 2003 2004 2005 2006 2007 2008 2000 6/30 Core Net Income ($MM) @) CAGR:5#%4 1.000, | a al Financial Advisors © cae eet $8
Slide 6: Years of Growth - 2010E Net Revenues
STIFEL Stifel Financial Overview FINANCIAL 15 Years of Growth 1995 — 2010E Net Revenues (6M $1,600 $1400 i. ‘ 2010 set to be 15 consecutive year of Record Net Revenues CAGR since 1995: 21% $1,200 CAGR since 2005: 41% $1,000 - $800 $600 - $100 - 00 | sey is quo 69 fay AL 1995 1996 1997 1998 1999 2000
Slide 7: Stifel's Peer Analysis Shows Continued Strength
Stifel Financial Overview STIFEL FINANCIAL Stifel’s Peer Analy s Shows Continued Strength ‘soo ‘sm55 sgebeegges 8] 2005 206 «S 007, 2s 2092 Se inant Crp 6 CAE) — Peer Gaimy (LEE CAGE ser m2 cacy $49.02 892% e Beggs 8 yoo) sym ysyok Sys ysyoxysyio Prise aof 9/15/10, Peer Group conics of olloing fame:
Slide 8: Cumulative Price Appreciation
Stifel Financial Overview - Cumulative Price Appreciation STIFEL FINANCIAL of September 13, 2010 Since 19/31/07 - 3 Years Stifel Financial Corp. 39.9% Evercore Partners Ine. 36.19% Greenhill & CoIne. 21.40% Jefferies Group Ine. 7.03% KBWine. -0.78% Lazard Lid. -15.88% Raymond James Financial -22.84%
Slide 9: Consolidation and Industry Retrenchments Drive our Growth
STIFEL Stifel Financial Overview FINANCIAL Consolidation and Industry Retrenchiments Drive our Growth... Stifel Strateg: Continue to build client facing agency-only businesses in financial services Expand private client footprint in the U.S. Expand institutional equity business both domestically and
Slide 10: Stifel's Track Record in Integrating Transactions
Stifel Financial Overview STIFEL FINANCIAL Stifel’s Track Record in Integrating Transactions: Low Risk Opportunity CO Thomas Weisel Partners Experts in Growth a UBS (66 branches from UBS Financial Services) RYAN BECK&CO. LEGG MASON Builds the premier middle-market investment bank with the seale and
Slide 11: II. Global Wealth Management
STIFEL FINANCIAL II. Global Wealth Management
Slide 12: Global Wealth Management
STIFEL Global Wealth Management FINANCIAL Provides Securities Brokerage Services and Stifel Bank Products Client, m Stifel has grown from 600+ financial advisors in ont a Rewer: wc eee 2008 to over 1,900 financial advisors 1 Gitgioup/Smath Barney New York NY 19296 $1,034 . = 2 WellsFargo Securities
Slide 13: GWM Account Growth
STIFEL Global Wealth Management FINANCIAL GWM Account Growth = Since the acquisition of Butler Wick, 728 Financial ‘Advisors have joined Stifel, 397 through both the Butler Wick and UBS acquisitions m Stifel expects to see opportunities resulting from continued dislocation from competitors mergers G
Slide 14: Stifel Bank & Trust Overview
Global Wealth Management STIFEL FINANCIAL Stifel Bank & Trust Overview Low Risk Asset Growth Assets of $1.40 billion, up 22% from the prior yearend balance of $1.14 billion Investment portfolio of $740 million, up 28% from the prior year-end balance of $579 million Loan portfolio of $436 million, up
Slide 15: III. Institutional Group
STIFEL FINANCIAL III. Institutional Group
Slide 16: Institutional Group
STIFEL Institutional Group FINANCIAL = m Provides securities brokerage, trading, research services, as well as underwriting and corporate advisory caGRiiwh ies = SF has opportunistically expanded talent pool ‘om 3 + Victor Nesi, Director of Investment Banking and hat Co-Director of Capital Markets (
Slide 17: One of the Largest U.S. Equity Research Platforms
STIFEL Institutional Group FINANCIAL One of the Largest U.S. Equity Research Platforms #105. Equity Research Coverage Significant Coverage Across All Market Caps Companies Under Coverag aig tap) Rank Finn Overall _Small Cap ances, 26% P Morgen 3,086 2a7 Ba 2 Stifel Nicolaus & Co. 1073 40s 3. BofA Me
Slide 18: Research Accolades
STIFEL Institutional Group FINANCIAL Researchi Accolades Hin J “Best on the Street” Surve: Highlights m= #Lranked research group of investment banks by awards in 2010 Rank Broker # of Awards WallStreet Journal poll with 14 analysts oo 7; a #2U.S. Ranking for 2009FT/StarMine World’s Top Analysts a Ge
Slide 19: Powerful Institutional Equity Sales and Trading Platform
Institutional Group STIFEL FINANCIAL Powerful Institutional Equity Sales and Trading Platform In: nal Equity Sales 120 person sales force, commission based Experts in small and mid cap growth and value Team based sales model with 2-4 coverage sales people per account Team leaders have an average of
Slide 20: Strong Fixed Income Capital Markets Capabilities
Institutional Group STIFEL FINANCIAL Strong Fixed Income Capital Markets Capabilities Overview = Comprehensive platform + Approximately 50 traders averaging 14 years of experience + Annual client trade volume approaching $200 billion Institutional Investor All-Star nominated team Widespread distribu
Slide 21: Investment Banking Overview
Institutional Group STIFEL FINANCIAL Investment Banking Overview = Full-Service, Industry-Focused Middle-Market Investment Bank = Over 250 Investment Banking Professionals @ Operates under the Stifel Nicolaus Weisel (SNW) name Investment Ban Capital Markets m= Equity & Convertible Initial public off
Slide 22: Capital Markets Opportunities by Sector
Institutional Group STIFEL FINANCIAL Capital Markets Opportunities by Sector 2009 - 2010E% Sectors ($ in millions) 2005 2006 200720082009 2010E A Financial $1452 $1033 $1492 $3842 $3,842 $2,189 (43%) RealEstate $407 $777 $896 $487 $1,095 $768 (30%) Transportation $280 $153 «$212, $85 $152, $301 «97%
Slide 23: U.S. IPO Market is Cyclical
STIFEL Institutional Group FINANCIAL U.S. IPO Market is Cyclical 700 631 600 500 400 300 # of Transactions 200 100 ees &§ F RRR RRS SE Gm # Total U.S. IPOs © # U.S. TMT IPOs ——# Venture-backed IPOs 2010YTD 20105 Mote TAT sees technolpy, media and tlsom. Sou: Deslpie Fasuet ThomsonOne and SNWCapital
Slide 24: IPO Momentum is Building
STIFEL Institutional Group FINANCIAL SNWU.S. IPOs #9NW IPO: IPO Momentum is Building SNWU.S. Tech, Media, TelecomIPOs 2 1.00 nm any 7 25% 60 am 50 ae) SE 30 as “ 5 a3 s 3 3 * 20 n 3 2 “li | ae Ps a 1 ° 2008200 m007 «2008 «2009 ~2O10YID Hed» 200820082007 =< 20082009 «LOYD. Feds Mand et Mandated sent
Slide 25: Strong Backlog of Offerings
STIFEL Institutional Group FINANCIAL Strong Backlog - Current Completed, Filed, Announced and Mandated Offerings ci) ST a led + Mandated! #Managed) %Bookun |#Managed) \%Bookrun |#Managed) %Bookrun |#Manaaed) %Boolrun | #Managed) |%Bookrun #ot Transactions pos 2 9% 2 34% 18 1% 44 25% 68 20% Demutualz
Slide 26: Strong Momentum and Track Record as Bookrunner
Institutional Group STIFEL FINANCIAL Stroug Momentum and Track Record as Bookrinmer 7,900 6,000 ‘F 5000 § v0 | 2 a 3,000 S = 3g z = 200 4,00 ° aed se No.Desls —Denl Value Pipeline {bof Deals Bookrun 17% 23% 19% 24% 17% 26% 16% 20% 28% 550 ‘oaaiaem aoa aaron {s20n0%0 semen aoe rer ‘ama = 2 sf ORITANI
Slide 27: Leadership in the Venture Capital Community
STIFEL Institutional Group FINANCIAL Leadership in the Venture Capital Conmumity Selected Venture Capital-Backed IPOs 2004- 2010YTD U.S. Venture-Backed IPOs se3000000 75000000 715900000 557500000 @ inmailfiors) tof s c Rank Fim Des Volume sciQuest G@rgee Aiinphi | | prcciomia 2 BofAMemill Lynch 12,6
Slide 28: Accomplished U.S. Equity Underwriting Franchise
STIFEL Institutional Group FINANCIAL Accomplished U.S. Equity Underwriting Franchise - All Equity Transactions All Managed Equity Deals Since 2005 Bookrun Equity Deals Since 2005 (G in lions) tof 8 (G in Blions) of 8 Rank Fim Deal___Volume Rank Fira Deal___Volume 1 Bankof America Memill Lynch 106151
Slide 29: IV. Second Quarter 2010 Highlights
STIFEL FINANCIAL IV. Second Quarter 2010 Highlights
Slide 30: Six months ended June 30, 2010 results
Stifel Financial Corp. STIFEL FINANCIAL Six months ended June 30, 2010 results " Record net revenues of $640 million and record net mcome of $45 million " For the six months ended June 30, 2010, annualized return on average equity was 10% compared to 9% for the comparable period in 2009. Non-GAAP an
Slide 31: Segment Comparison
Segment Comparison STIFEL FINANCIAL Quarter Ended Six Months Ended ($ in thousands) 6/30/10 6/30/09 %Change | 6/30/10 6/30/09 % Change Net revenues: Global Wealth Management $ 199,940 $ 136,200 46.8% |$ 399,361 $251,252 58.9% Institutional Group 124,602 125,136 (0.4%) 237,894 230,608 3.2% Other 3,46
Slide 32: Statement of Financial Condition
Statement of Financial Condition STIFEL FINANCIAL ‘e000 5000 2000 ‘1000 pe ee ee ee ee ee eT) Total Capitalization © 1200 zoos 2004008007 2008200 ate sStoednotdrs Equity © Tse Prefer ee pe en) (a) Total Capitalisation’ defined az stocbbolde's gui pls the tt prefered ecwsitie (2) Lever em Book Value
Slide 33: FINANCIAL
STIFEL FINANCIAL
Slide 34: Looking Forward. We See Opportunity
STIFEL Looking Forward. FINANCIAL We See Opportunity Stifel is well-positioned in the current market: = Dislocationcreating opportunity for market share gains = Ability to add talented professionals = Expand Fixed Income /High Yield a Evolving regulatory framework (Stifelis already regulated by the
Slide 35: Stifel Financial
Stifel Financial Investor Presentation STIFEL FINANCIAL
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