Malayan Banking Bhd. · MYX:MAYBANK
Malayan Banking Bhd — Investor Day (June 2012)
32 slides from Malayan Banking Bhd's investor day presentation, Jun 14, 2012
Slide 1: Investor Day with Global Wholesale Banking
Investor Day with Global Wholesale Banking Driving Maybank’s businesses to be ASEAN’s leading wholesale bank 14 June 2012
Slide 2: Table of Contents
Table of Contents Introduction Our Journey Expansion in ASEAN & Beyond Prospects Keyy Takeaways y 2
Slide 3: GWB is one of the pillars in the New House of Maybank
Introduction GWB is one of the pillars in the “New House of Maybank” Maybank Group CEO + Support Group Finance Office (GFO), Group Credit & Risk Management (GCRM), Group Strategy & Transformation Office, Group Human Capital (GHC), Legal, Compliance, Communications ISLAMIC Community Global Wholesale
Slide 4: …and is well represented in Maybank Group EXCO
Introduction …and is well represented in Maybank Group EXCO 4
Slide 5: Our Objective is to be the leading Wholesale Bank in ASEAN by 2015
Introduction Our Objective is to be the leading Wholesale Bank in ASEAN by 2015 By 2015 Our Vision To be a Regional Financial Services Leader Our Mission Humanising Financial Services Across Asia Providing people with convenient access to financing Having fair terms and pricing Advising custom
Slide 6: Our journey started with the launch of GWB pillar on 1st July 2010
Our Journey Our journey started with the launch of GWB pillar on 1st July 2010 Strengthen domestic Set up and operationalise GWB capabilities, which Transformation to the next level: sets the foundation for GWB pillar regionalisation g Regionalisation July 2010 Global Wholesale Banking Established
Slide 7: Our GWB vision will be driven by the GWB leadership team
Our Journey Our GWB vision will be driven by the GWB leadership team Zainal Adnan Zakaria Mohd Azura Nik Head, Abdul Farid Alias Head, GWB Compliance Head, GWB GWB Legal Products Client Relationship Enterprise T gk Dato’ Tengku D t ’ Zafrul Z f l John Chong CEO, Managing Director, Khalijah Ismail Ma
Slide 8: Significant progress in building GWB's capabilities and solutions
Expansion in ASEAN & Beyond We have since made significant progress in building GWB’s capabilities and solutions to provide differentiation against other regional players… Client Coverage is an integral part of GWB... In humanising banking, we have adopted a client centric approach, providing a sing
Slide 9: Regional coordination via Regional Governance Structure and matrix reporting
Expansion in ASEAN & Beyond Our regional coordination is enhanced through Regional Governance Structure & matrix reporting line between Group Head Office and Overseas Unit (subsidiary & branch) Matrix Reporting Illustration • Country Head develops Country Head Group Head in-country in country busine
Slide 10: Regional Governance Structure implemented for client coverage and products
Expansion in ASEAN & Beyond We have implemented the Regional Governance Structure & matrix reporting line for GWB client coverage & products function in our key home markets Head, Global Wholesale Banking (GWB) Abdul Farid Alias Group Head Group Head Group Head Group Head Client Coverage Transaction
Slide 11: Unified and regional Client Coverage team operationalised
Expansion in ASEAN & Beyond We have operationalised the unified Client Coverage team and setup the regional Client Coverage team, leveraging on our local insight to customise our solutions across the region… region We have assigned local regional coverage for • Our objective is to be able to respond
Slide 12: Structured client approach reinforces leading position; notable deals
Expansion in ASEAN & Beyond The structured client approach reinforces Maybank's leading position in the domestic market and is ggaining g momentum across regional g markets… 1Q FY2012 Maybank IB’s (Malaysia) Industry Position & Market Share NOTABLE DEALS COMPLETED IN 2011/2012 (REGIONAL) Indonesia H
Slide 13: The Maybank Kim Eng transaction has progressed smoothly as planned
Expansion in ASEAN & Beyond The Maybank Kim Eng transaction has progressed smoothly as planned… p Acquisition of call option over remaining 51.45% Vietnam stake in Kim Eng Vietnam Securities (KEVS) Execution and Announcement of Despatch of Offer Document / Exercise of right of Sale & Purchase Agreem
Slide 14: …with the deal being recognised for several awards
Expansion in ASEAN & Beyond …with the deal being recognised for several awards The total acquisition of Kim Eng Holdings was worth RM4.26 billion, excluding other non-wholly non wholly owned subsidiaries under Kim Eng Holdings The Asset Triple A Country Awards 2011 Southeast Asia – Best Deal, Singap
Slide 15: Maybank Kim Eng has set ambitious goals for the combined entity
Expansion in ASEAN & Beyond Maybank Kim Eng has set ambitious goals for the combined entity… Regional Financial Powerhouse by 2015 The premier investment banking service provider in ASEAN, in both conventional and Islamic finance Top 5 rankings in ASEAN league tables for fund raising, debt markets a
Slide 16: …led by a world-class management team
Expansion in ASEAN & Beyond … led by a world-class management team CEO, Investment Banking Group Tengku Dato’ Zafrul Compliance Risk Credit Advisor Supervision1 Management1 Management Ronald Ooi Zainal Zakaria TBD Tay Ai Khim Investment Regional Retail Institutional CEO’s Internation IT & Banking &
Slide 17: Key Strategies / Highlights
Expansion in ASEAN & Beyond Maybank Kim Eng has four core businesses, each with clear strategies and direction for the mid to long-term To be a regional financial powerhouse by 2015 Investment Banking Retail Equities Institutional Equities Derivatives and Advisory Retail stock broking Institutional
Slide 18: Post-Merger Integration is underway to capture identified synergies
Expansion in ASEAN & Beyond Post-Merger Integration is underway to capture identified synergies Revenue synergies Cost synergies Other synergies • Leverage Maybank’s • Obtain cheaper sources • Tap into and grow a Balance sheet to expand of funding, undertake regional talent pool regional investment
Slide 19: Phase 3 of the Post-merger integration has commenced
Expansion in ASEAN & Beyond Phase 3 of the Post-merger integration has commenced in January 2012 and 90% of the initiatives have kick started The merger of the two entities is planned to take place over a period of 2 years We are here 18 Months Estimated 6 Weeks 6 Months Timing I. Establish Merger I
Slide 20: Maybank Kim Eng has rebranded itself across the region
Expansion in ASEAN & Beyond Maybank Kim Eng has rebranded itself across the region to align with Maybank Group’s rebranding exercise The Regional Brand Local Country Company Names • Hong Kong • India • Indonesia • Vietnam www.maybank-ke.com Philippines Malaysia • Singapore • Thailand • United States
Slide 21: Maybank Kim Eng reported total income of RM340.1mil in Q1 FY2012
Expansion in ASEAN & Beyond Maybank Kim Eng reported a total income of RM340.1mil with Malaysia contributing 40% of its total income in Q1 FY2012 Total Income (RM mil.): Malaysia contributes 40% Total Income for Malaysia rose 77% YoY and 73% QoQ 160.0 Other income Fund based Fee based Others Malaysi
Slide 22: Global Market's aim is to continue building its regional capabilities
Expansion in ASEAN & Beyond Global Market’s aim is to continue building its regional capabilities… “Global Markets Division caters to clients’ treasury needs. Products and services include Foreign Exchange, Money Market, Fixed Income Markets, Derivatives and Investment alternatives” Our Aspirations
Slide 23: Corporate Banking's primary focus on driving business growth
Expansion in ASEAN & Beyond Corporate Banking’s primary focus will be on driving business growth and improving its credit processes… “Our Corporate Banking business provides funding solutions to all types of requirements for our clients g working including g capital, p , capital p investments and co
Slide 24: Transaction Banking's priorities: domestic and regional capabilities
Expansion in ASEAN & Beyond Transaction Banking’s priorities are to further strengthen its domestic capabilities and to build its regional capabilities… “Our Transaction Banking business comprises of six distinct and interlinked business units which g caters to all our clients’ transactional needs.
Slide 25: GWB's performance has grown from strength to strength since inception
Expansion in ASEAN & Beyond GWB’s performance has grown from strength to strength since inception… Domestic Loans (RM'Bil) 70.0 57.4 57.7 59.7 60.0 50.0 44.7 40.0 30 0 30.0 20.0 10.0 0.0 FY 09/10 FY 10/11 FY 2011 1QFY2012 Revenue (RM'Mil) Profit before tax (RM'Mil) 4,500 3,926 3,000 2,632 4,000 2,54
Slide 26: Most of GWB's Lines of Businesses have experienced continuous growth
Expansion in ASEAN & Beyond Most of GWB’s Lines of Businesses have experienced continuous growth in Income and PBT since inception… Revenue – by line of business (RM’Mil) Corporate Banking Investment Banking Global Markets FY10/11 FY2011 (Annualised) 1QFY2012 1,492 1,568 1,546 1,280 888 465 482 335
Slide 27: GWB continues to strengthen its domestic position
Expansion in ASEAN & Beyond GWB continues to strengthen its domestic position… No.1 in overall market share for Loans and Deposits We continue to be a main player in the FX market 25.00% M k t Share Market Sh ‐ Foreign F i Exchange E h 18.00% Deposit Growth: MBB vs Industry Loan Growth : MBB vs Indu
Slide 28: We have been getting due recognition beyond Malaysia
Expansion in ASEAN & Beyond We have been getting due recognition beyond Malaysia 2011 and Q1 2012 key awards Key regional awards Transaction Banking Awards Deal & Solution Awards The Leading Counterparty Best Trade Finance in Malaysia Thailand’s Best Retail Broker Bank in Asia Pacific, ASIAN
Slide 29: Risk management will be given higher priority
Expansion in ASEAN & Beyond Risk management will be given higher priority in view of the current tough g global g environment… GWB will continue to build on its existing capabilities to enhance and embed a right risk culture to better optimise our risk-return tradeoffs to enhance our shareholders va
Slide 30: Prospects
Prospects Prospects z 2012 will be a slightly g y more challenging g g yyear as compared p to 2011 with softer Malaysia economic growth as well as regulatory tightening z However, there is positive potential growth in particular from sectors that stand to benefit from the Economic Transformation Pro
Slide 31: Key Takeaways
Key Takeaways Key Takeaways z GWB is well on its way to achieving its objective of being the leading Wholesale Bank in ASEAN by b 2015 z We have established better engagement with our clients and continuously strive to provide better access to our services, which emphasises on mutually beneficial lo
Slide 32: Malayan Banking Berhad contact and disclaimer
MALAYAN BANKING BERHAD 14th Floor Floor, Menara Maybank 100, Jalan Tun Perak 50050 Kuala Lumpur, Malaysia Tel : (6)03-2070 8833 www.maybank.com Investor Relations Contact Narita Naziree Head, Group Strategy Management Contact: (6)03-2074 8101 Email: naritanaziree.a@maybank.com.my Raja Indra Putra He
Malayan Banking Berhad (Maybank) — Investor Day (June 2012) on 6ix