Nedbank Group · JSE:NED

Nedbank — RMB Morgan Stanley CIB Conference 2014

15 slides from Nedbank's conference presentation, May 2014

  1. Slide 1: RMB Morgan Stanley CIB conference

    NEDBANK GROUP LIMITED RMB Morgan Stanley CIB conference May 2014

  2. Slide 2: Corporate & Investment Banking at Nedbank

    Corporate & Investment Banking at Nedbank Advances (R579bn) Deposits (R603bn) Headline earnings (R8,7bn) 51% 53% 54% 19% 18% 20% 30% 29% 26% Nedbank Corporate (ROE: 26,4%) Nedbank Capital (ROE: 29,4%) Nedbank Corporate Nedbank Capital  Commercial Property Finance  Investment Banking − Commercial p

  3. Slide 3: Nedbank Capital – good competitive positioning & growth potential

    Nedbank Capital – good competitive positioning & growth potential Competitive positioning Markets income distribution Leadership & expertise in: 50%  Mining & resources 2011 % of trading days 2012  Infrastructure 2013 25%  Energy  Telecoms 0%  Oil & gas -10 to -5 0 to 5 -5 to 0 15 to 20 20 to 2

  4. Slide 4: Nedbank Capital – good competitive positioning & growth potential

    Nedbank Capital – good competitive positioning & growth potential General Bloomberg Listed M&A Listed M&A Listed M&A Listed M&A Corporate Underwriter Investment Investment Investment Investment Finance Rankings advisors advisors sponsors sponsors Investment (excluding advisors self-led) Rank Value (

  5. Slide 5: Nedbank Corporate – leading position in corporate banking & commercial property finance

    Nedbank Corporate – leading position in corporate banking & commercial property finance Top 2 SA Market leader in Corporate Bank Commercial Property Finance Core commercial advances market share1 CPF market share (%) (%) 14 19 24 Nedbank Nedbank 5 40 19 17 22 21 19  Quality client relationships  E

  6. Slide 6: Nedbank Corporate – leadership position supported by client surveys

    Nedbank Corporate – leadership position supported by client surveys Survey ranking: #1 #2 #3 #4 Main bank market share1 Client service1 Net promoter score1 Channel performance & servicing1 Transactional banking product offering2 (from 4th in 2010) Electronic banking product offering2 Commercial prop

  7. Slide 7: Opportunities & risks in corporate & investment banking

    Opportunities & risks in corporate & investment banking Opportunities Risks  SA’s infrastructure investment  Macro economic risks potential  Regulatory changes  Corporate investment cycle (wholesale advances growth ahead of retail growth)  Increased competition − Pressure on margins  Rest of A

  8. Slide 8: SA infrastructure potential

    SA infrastructure potential Large SA capital project schedule (R billion - constant 2012 prices) 800  R3 trillion potential by 2030, but announced projects still at multi- year lows post the 600 Soccer World Cup  Potential as illustrated 400 in the Renewable Energy successes 200 0 93 95 97 99 01 0

  9. Slide 9: SA infrastructure potential

    SA infrastructure potential Key: Nedbank’s success in REIPPP Additional Nedbank Market All technologies (10) Wind (3) Solar photovoltaic (6) Solar CSP (1) share Nedbank through Market Purchase Share 10% originally awarded 33% 49% Round 1 = Rest of 67% Market All technologies (6) Wind (4) Solar photo

  10. Slide 10: Corporate credit picking up

    Corporate credit picking up Corporate credit growth ahead of retail growth Private sector credit growth , although low, (%) ahead of public sector (%) 40 60 35 50 30 40 25 30 20 15 20 10 10 5 0 0 -10 -5 -10 -20 03 04 05 06 07 08 09 10 11 12 13 14 03 04 05 06 07 08 09 10 11 12 13 General government P

  11. Slide 11: Rest of Africa growth potential

    Rest of Africa growth potential Deal footprint across Africa1 Nedbank Capital advances As at December 2013 – 22 countries (Rbn) 100% 2009 2010 2011 2012 2013 Africa footprint as at December 2012 South Africa Rest of World 2013 Africa footprint expansion to Dec 1. Graphs are based on committed risk l

  12. Slide 12: Non interest revenue growth

    Non interest revenue growth Nedbank Capital & Corporate NIR Key drivers: (Rbn)  Increased collaboration and cross-sell 10,2% CAGR  Nedbank Capital focus on flow trading & 5022 generating greater NIR off credit extension 4518 − leverage new world class trading platform − lowest VAR to revenue in pe

  13. Slide 13: Quality CIB portfolio

    Quality CIB portfolio Credit loss ratio Corporate & Capital defaulted advances (Rm) (bps) and defaulted advances as % of book (%) 2,4% 2,3% 20-35bps 24 29 2,1% 19 24 23 1,4% 1,2% 2009 2010 2011 2012 2013 Nedbank Corporate 5 140 5 137 4 171 127 123 3 544 3 405 106 51 10-55bps 36 2009 2010 2011 2012 2

  14. Slide 14: Nedbank Group well diversified across multiple industries

    Nedbank Group well diversified across multiple industries Nedbank Group advances (Rbn) Government & public Other services Agriculture, forestry & sector 6% fishing 4% 1% Mining & quarrying Wholesale & trade 5% 2% Retailers, catering & Individuals accommodation 37% 3% Transport, storage & communicati

  15. Slide 15: Disclaimer

    Disclaimer Nedbank Group has acted in good faith & has made every reasonable effort to ensure the accuracy & completeness of the information contained in this document, including all information that may be defined as 'forward-looking statements' within the meaning of United States securities legisl

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