Australian Finance Group Ltd. · ASX:AFG

Australian Finance — Investor Presentation (June 2016)

14 slides from Australian Finance's investor presentation, June 2016

  1. Slide 1: David Bailey, Chief Operating Officer: Insights and observations

    David Bailey CHIEF OPERATING OFFICER Insights and observations.

  2. Slide 2: Since we last met at Masterclass

    Broker market share continues to grow. People are voting with their feet Strong period of recruitment – Now over 2,600 brokers who have made the decision to work with AFG to grow their own businesses Since we last met Unprecedented levels of competition in the market place at Masterclass Low interes

  3. Slide 3: Broker Penetration - Australian Residential Mortgages

    Broker Penetration - Australian Residential Mortgages MFAA

  4. Slide 4: AFG broker network

    AFG broker network AFG has nation-wide distribution network of approximately 2,600 brokers – geographic diversity and lack of concentration of brokers has helped to provide ongoing consistency of AFG’s revenues Note: For reporting purposes, the Tasmania and Northern Territory components of the AFG L

  5. Slide 5: Percentage of Loans Funded by Majors

    Percentage of Loans Funded by Majors

  6. Slide 6: AFG has also been active (Business as usual)

    Launched our car loan model Continued to develop our referral arrangements AFG has also been active Added 344 credit reps (Business as usual) Improved FLEX and SMART offerings Completed first year as a listed company

  7. Slide 7: AFG has been active

    Undertaken a US research visit AFG has been active Expanded our board and executive base Pro-actively engaged with regulators

  8. Slide 8: Slide 8

  9. Slide 9: APATHY

    APATHY “The price of apathy towards public affairs is to be ruled by evil men” - Plato

  10. Slide 10: Looking ahead ... What indicators are we watching?

    There is only two • Unemployment Looking ahead ... • Credit Growth What indicators are we watching? But we are also watching • Apartments • Foriegn Residents and FSI

  11. Slide 11: Unemployment Rate

    % % 8 8 7 7 6 6 Unemployment Rate 5 5 4 4 1 1 1 i 1 1 L 1 1 L 1 1 1 1 1 1 L 1 1 L 1 3 1996 2000 2004 2008 2012 2016 Source: ABS AFG

  12. Slide 12: State Unemployment Rates

    State Unemployment AFG Rates % Trend New South Wales Victoria Queensland Tasmania South Australia Western Australia 1 L 1 1 2008 2012 201 6 1 L 2008 2012 201 6

  13. Slide 13: Credit and Broad Money Growth; Credit Growth by Sector

    Credit and Broad Money Growth Credit Growth by Sector Year-ended Year-ended %: % %| Housing 20 20 20) 15 15 10) 10 10 Business Credit 9 5 5 Personal qgee 508. 2000.-~S»D00d”Sté<~SSSC DSI 2000 2004 2008 2012 2016 1996 2000 2004 2008 2012 2016 Sources: ABS; APRA; RBA Sources: ABS; APRA, RBA AFG

  14. Slide 14: Concluding Comments

    Remain a benign interest rate environment Unemployment should hover around the 6% mark Credit growth - will still be positive but slightly subdued Concluding Competition to remain strong though cost of funding Comments expected to remain higher for banks Underlying uncertanties • Apartments • Non Re

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