Barclays Plc · LSE:BARC
Barclays — Debt Investor Presentation (February 2020)
73 slides from Barclays's debt investor presentation, Feb 13, 2020
Slide 1: Barclays PLC Fixed Income Investor Presentation
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Barclays PLC Fixed Income Investor Presentation Q4 2019 Results Announcement 13 February 2020
Slide 2: Strategy, Targets and Guidance
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Strategy, Targets and Guidance
Slide 3: Continued delivery of financial targets
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Continued delivery of financial targets Delivering attractive capital returns to shareholders remains a key priority whilst also continuing to improv
Slide 4: Increased RoTE and cash returns to shareholders
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Increased RoTE and cash returns to shareholders Improved RoTE year-on-year Ordinary dividend tripled 9.0%2 9.0p 8.5%2 6.5p 5.6%1,2 4.4%1 3.0p 3.0p 20
Slide 5: Continuing to deliver
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Continuing to deliver FY19 Financial highlights 9.0% RoTE1 Delivered improved Group RoTE of 9.0%, in line with target +50bps £21.6bn Income Cost disc
Slide 6: Diversification is a key strength of Barclays
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Diversification is a key strength of Barclays 47% Consumer Banking Diversified by customer and client, 27% & Payments 35% product, geography and curr
Slide 7: Three consecutive years of Group returns progression
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Three consecutive years of Group returns progression RoTE1 Improved returns year-on-year for 20172 2018 2019 the last three years Group3 8.5% 9.0% 5.
Slide 8: Continued efficiencies driving positive operating leverage
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Continued efficiencies driving positive operating leverage Delivered 2019 cost guidance and continue to target <60% cost: income ratio over time Abso
Slide 9: Creating capacity through transforming the way we operate
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Creating capacity through transforming the way we operate c.£550m Examples of BX generated Capacity drivers savings in 2019 productivity savings Tech
Slide 10: Steady improvement in CIB returns with increased income, despite a lower industry wallet
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Steady improvement in CIB returns with increased income, despite a lower industry wallet 248 12 240 Industry 233 CIB RoTE improved by Wallet1 6%230 2
Slide 11: Market share gains and returns discipline across CIB
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Market share gains and returns discipline across CIB MARKETS: Consistent trend of share gains BANKING: Fee share growth to rank 6th CORPORATE: Focuse
Slide 12: Improving share in the CIB
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Improving share in the CIB Gaining share in Markets and Banking Markets1 Banking fees2 2% 20bps 10bps 5% $159bn $156bn 4.4% 4.2% 4.1% 4.2% $81bn $77b
Slide 13: Markets: Managing the business for improved returns
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Markets: Managing the business for improved returns • Continue to grow client financing balances to build a large and stable income base, which Lever
Slide 14: Consumer, Cards & Payments opportunities
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Consumer, Cards & Payments opportunities Portfolio of leading franchises with high returns and growth potential Cards & Payments #9 US credit card re
Slide 15: Think digital, think Barclays UK
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Think digital, think Barclays UK Building meaningful relationships with our customers Front end digitisation Changing the shape of our business Deliv
Slide 16: Investing in less capital intensive, technology-led, annuity businesses
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Investing in less capital intensive, technology-led, annuity businesses Growth businesses that have the potential to differentiate Barclays over the
Slide 17: Unique footprint with significant non-capital intensive growth potential
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Payments Unique footprint with significant non-capital intensive growth potential • Develop further commercial opportunities as the only bank-owned m
Slide 18: Focusing on non-capital intensive, annuity income growth
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Transaction Banking Focusing on non-capital intensive, annuity income growth • Within Corporate Banking, rebalancing income mix, building on annuity,
Slide 19: Creating a leading integrated platform for banking, advice and investments
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Advice & Investments Creating a leading integrated platform for banking, advice and investments • Significant opportunity to increase scale and marke
Slide 20: Environmental, Social and Governance Highlights
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Environmental, Social and Governance Highlights Managing ESG factors to strengthen our franchise and deliver sustainable returns for all our stakehol
Slide 21: Growing green and sustainable finance franchise
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Growing green and sustainable finance franchise Increased activity across business lines, geographies and client segments Increasing range of product
Slide 22: ESG Highlights – Group Treasurer's perspective
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES ESG Highlights – Group Treasurer’s perspective Managing ESG factors to strengthen our franchise and deliver sustainable returns for all our stakehold
Slide 23: Performance
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Performance
Slide 24: FY19 Group highlights
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES FY19 Group highlights Delivered on FY19 Group RoTE target and cost guidance, while increasing capital distribution to shareholders • Income increased
Slide 25: Q419 Group highlights
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q419 Group highlights Improved income with continued positive operating leverage Financial performance1 • Income increased 4% driven by improvement a
Slide 26: Q419 Barclays UK
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q419 Barclays UK Strong RoTE of 18.7%, with positive cost: income jaws for both Q419 and FY19 • Income increased 5% YoY despite a challenging income
Slide 27: Q419 Barclays International
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q419 Barclays International Improved returns with focused investment in the business • Income grew 7% to £3.5bn reflecting improved Income balanced a
Slide 28: Q419 Barclays International: Corporate & Investment Bank
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q419 Barclays International: Corporate & Investment Bank Strong performance with improved RoTE and a disciplined approach to costs • Strong positive
Slide 29: Q419 Barclays International: Consumer, Cards & Payments
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q419 Barclays International: Consumer, Cards & Payments RoTE of 16.3% with steady growth in US co-branded cards balances • Income increased 6% with c
Slide 30: Head Office
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Head Office Q418 Q319 Q419 • Q419 negative income of £110m included: − c.£30m residual negative income impact from legacy capital instruments − Negat
Slide 31: Capital & Leverage
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Capital & Leverage
Slide 32: YoY CET1 ratio progression
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES YoY CET1 ratio progression CET1 ratio1 • CET1 ratio of 13.8% reflecting: − 63bps from the benefit of 76bps removing the operational 15bps risk RWA fl
Slide 33: Q419 CET1 ratio progression
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q419 CET1 ratio progression CET1 ratio increased to 13.8% reflecting capital generation from profits and lower RWAs CET1 ratio1 • CET1 ratio of 13.8%
Slide 34: Prudently managing the Group's capital position
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Prudently managing the Group’s capital position Group’s CET1 managed to be prudently above the regulatory minimum and to pass stress tests Illustrati
Slide 35: Demonstrated ability to pass stress tests
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Demonstrated ability to pass stress tests Favourable drawdown in 2019 BoE stress test compared to major UK peers FY19 CET1 ratio 13.8% Barclays Bank
Slide 36: Prudently managed leverage ratio
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Prudently managed leverage ratio A material portion of our leverage exposure is short term or liquid in nature Minimum leverage requirements and Prov
Slide 37: Managing evolving future Group minimum leverage requirements
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Managing evolving future Group minimum leverage requirements Minimum leverage requirements and buffers under the UK regime Q419 UK leverage ratios1:
Slide 38: Capital structure well established
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Capital structure well established Expect to hold prudent headroom above AT1 and Tier 2 minimums Illustrative evolution of regulatory capital structu
Slide 39: Managing the call and maturity profiles of BPLC and BBPLC capital instruments
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Managing the call and maturity profiles of BPLC and BBPLC capital instruments BPLC capital call and maturity profile (£bn) BPLC AT1 capital as at 31
Slide 40: 2019 pension triennial valuation
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES 2019 pension triennial valuation The latest triennial valuation of the UK Retirement Fund (UKRF) has been completed • As at 30 September 2019, the tr
Slide 41: MREL, Funding and Liquidity
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES MREL, Funding and Liquidity
Slide 42: Successfully transitioning to a HoldCo funding model
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Successfully transitioning to a HoldCo funding model Currently expect £7-8bn of MREL issuance in 2020 HoldCo MREL position and expected requirement W
Slide 43: Continued progress in HoldCo issuance
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Continued progress in HoldCo issuance Annual HoldCo issuance volume materially lower vs 2016-18 (£bn)1 2019 HoldCo issuance by currency3 AT1 Tier 2 S
Slide 44: Balanced HoldCo funding profile by debt class and tenor
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Balanced HoldCo funding profile by debt class and tenor Barclays PLC AT1 Tier 2 Senior unsecured 21% By product 15% £53bn 64% BPLC AT1 capital BPLC T
Slide 45: High quality liquidity position
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES High quality liquidity position Prudently positioned liquidity pool, LDR and lower reliance on short-term wholesale funding Highly liquid, comfortabl
Slide 46: Illustrative UK approach to resolution
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Illustrative UK approach to resolution1 OpCo waterfall Intercompany investments HoldCo waterfall • Total OpCo losses which exceed its equity • Losses
Slide 47: Divisions and Legal Entities
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Divisions and Legal Entities
Slide 48: Legal entity structure of the Group since April 2018
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Legal entity structure of the Group since April 2018 Barclays PLC Barclays International Barclays UK and Head Office1 Market leading UK retail bank,
Slide 49: Strong legal entity capital and liquidity positions
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Strong legal entity capital and liquidity positions Group expects to accommodate all legal entity capital requirements within Group CET1 ratio target
Slide 50: Diversified Funding Sources across all legal entities
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Diversified Funding Sources across all legal entities1 Majority of funding within legal entities through deposits Barclays PLC 54 26 8% 4% 416 67 65%
Slide 51: Deposit and wholesale funding sources of Barclays Bank UK PLC and Barclays Bank PLC
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Deposit and wholesale funding sources of Barclays Bank UK PLC and Barclays Bank PLC Barclays PLC Barclays Bank UK PLC Barclays Bank PLC (and subsidia
Slide 52: Wholesale funding composition as at 31 December 2019
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Wholesale funding composition as at 31 December 20191 <1 1-3 3-6 6-12 Total 1-2 2-3 3-4 4-5 As at 31 December 2019 (£bn) >5 years Total month months
Slide 53: Credit Ratings
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Credit Ratings
Slide 54: Ratings remain a key priority
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Ratings remain a key priority Focus on strategy execution and performance targets to improve ratings Current Senior Long and We solicit ratings from
Slide 55: Barclays rating composition for senior debt
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Barclays rating composition for senior debt Moody’s Standard & Poor’s Fitch BPLC BBPLC BBUKPLC BPLC BBPLC BBUKPLC BPLC BBPLC BBUKPLC Adj. Baseline Cr
Slide 56: Barclays rating composition for subordinated debt
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Barclays rating composition for subordinated debt Moody’s Standard & Poor’s Fitch Adj. Baseline Stand-alone Stand-Alone Viability Credit baa2 baa2 bb
Slide 57: Asset Quality
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Asset Quality
Slide 58: Prudently managing credit risk in both the UK and US
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Prudently managing credit risk in both the UK and US Conservatively positioned in both the UK and US consumer credit markets FY18 H119 FY19 £136.5bn
Slide 59: Appendix
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Appendix
Slide 60: Interest rate sensitivity
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Interest rate sensitivity Illustrative sensitivity of Group NII to a 25bps parallel upward and downward shift in interest rates1 Change in NII based
Slide 61: Other items of interest – FY19 and Q419 vs. prior year
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Other items of interest – FY19 and Q419 vs. prior year Material items (£m) FY19 FY18 Q419 Q418 Litigation and conduct DoJ RMBS - (1,420) - - Head Off
Slide 62: FY19 Group
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES FY19 Group Year ended (£m) Dec-19 Dec-18 % change Excluding L&C – year ended (£m) Dec-19 Dec-18 % change Income 21,632 21,136 2% PBT 6,206 5,701 9% I
Slide 63: Q419 Group
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q419 Group Three months ended (£m) Dec-19 Dec-18 % change Excluding L&C – three months ended (£m) Dec-19 Dec-18 % change Income 5,301 5,073 4% PBT 1,
Slide 64: FY19 Barclays UK
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES FY19 Barclays UK Year ended (£m) Dec-19 Dec-18 % change Excluding L&C – year ended (£m) Dec-19 Dec-18 % change – Personal Banking 4,009 4,006 PBT 2,6
Slide 65: Q419 Barclays UK
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q419 Barclays UK Three months ended (£m) Dec-19 Dec-18 % change Excluding L&C – three months ended (£m) Dec-19 Dec-18 % change – Personal Banking 1,0
Slide 66: FY19 Barclays International
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES FY19 Barclays International Year ended (£m) Dec-19 Dec-18 % change Excluding L&C – year ended (£m) Dec-19 Dec-18 % change – CIB 10,231 9,765 5% PBT 4
Slide 67: Q419 Barclays International
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q419 Barclays International Three months ended (£m) Dec-19 Dec-18 % change Excluding L&C – three months ended (£m) Dec-19 Dec-18 % change – CIB 2,314
Slide 68: FY19 Barclays International: Corporate & Investment Bank and Consumer, Cards & Payments
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES FY19 Barclays International: Corporate & Investment Bank and Consumer, Cards & Payments CIB business performance – CC&P business performance – Dec-19
Slide 69: Q419 Barclays International: Corporate & Investment Bank and Consumer, Cards & Payments
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Q419 Barclays International: Corporate & Investment Bank and Consumer, Cards & Payments CIB business performance – CC&P business performance – Dec-19
Slide 70: Head Office – FY19 and Q419
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Head Office – FY19 and Q419 Year ended (£m) Dec-19 Dec-18 Three months ended (£m) Dec-19 Dec-18 Income (396) (273) Income (110) (11) Impairment (char
Slide 71: Abbreviations
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Abbreviations ABS Asset-backed Securities ECM Equity Capital Markets PPI Payment Protection Insurance ACS Annual Cyclical Scenario EPS Basic Earnings
Slide 72: Contact – Debt Investor Relations Team
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Contact – Debt Investor Relations Team Version 1 Dan Colvin Lis Nguyen Robert Georgiou +44 (0)20 7116 6533 +44 (0)20 7116 1065 +44 (0)20 7116 0446 da
Slide 73: Disclaimer
STRATEGY, TARGETS CAPITAL MREL, FUNDING DIVISIONS PERFORMANCE CREDIT RATINGS ASSET QUALITY APPENDIX & GUIDANCE & LEVERAGE & LIQUIDITY & LEGAL ENTITIES Disclaimer Important Notice The terms Barclays or Group refer to Barclays PLC together with its subsidiaries. The information, statements and opinion
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