Citigroup, Inc. · NYSE:C
Citigroup — Investor Day (2022)
44 slides from Citigroup's investor day presentation, 2022
Slide 1: Investor Day
INVESTOR DAY PROPRIETARY AND PROTECTED INFORMATION. MAY NOT BE COPIED, SHARED OR DISTRIBUTED WITHOUT CITIGROUP WRITTEN CONSENT. ©2022 CITIGROUP INC.
Slide 2: Anand Selva and Jim O'Donnell
a @ ANAND SELVA JIM O'DONNELL CHIEF EXECUTIVE OFFICER HEAD OF GLOBAL WEALTH MANAGEMENT PERSONAL BANKING & PERSONAL BANKING & WEALTH MANAGEMENT WEALTH MANAGEMENT ) citi
Slide 3: Our Business Today - Personal Banking & Wealth Management (PBWM)
Our Business Today - Personal Banking & Wealth Management (PBWM) (FY 2021) $23B $446B $318B $940B 75M 23% / 13% Revenue Deposits Loans Client Assets’ Clients RoTCE? Inc. / ex ACL? REVENUE DEPOSITS LOANS (FY 2021) 26% Ee 22% mmm ioe 68% 7496 U.S. PERSONAL BANKING GLOBAL WEALTH MANAGEMENT Note: All ba
Slide 4: PBWM Positioning and Strategic Priorities
PBWM Positioning and Strategic Priorities POSITIONING 2017-2021 BUSINESS TODAY AVG. RoTCE! STRATEGIC PRIORITIES GLOBAL on #5 ; MENAGEMENT myane wrens ~20% Scale Wealth Management globally (GWM) #3 Asia Wealth? Strengthen leadership through 3 CLENnING #2 4 integrated set of payment & lending =z U.S.
Slide 5: Jim O'Donnell
JIM O'DONNELL HEAD OF GLOBAL WEALTH MANAGEMENT PERSONAL BANKING & WEALTH MANAGEMENT citi
Slide 6: Our Business Today - Global Wealth Management
Our Business Today - Global Wealth Management (FY 2021) $7.5B $814B $151B $329B $51B ~500K ~3K 16%/14% Revenue Client Assets’ Loans Deposits Net New Assets Clients? Client Advisors* RoTCE> Inc. / ex ACL& (FY 2021 Revenue) CLIENT SEGMENTS GEOGRAPHY PRODUCT Ml UHNW ME Banking HE Global Wealth MM Lendi
Slide 7: Our Value Proposition: A Total Wealth Solution
Our Value Proposition: A Total Wealth Solution CITIGOLD CITIGOLD PRIVATE CLIENT PRIVATE BANK GLOBAL WEALTH AT WORK Note: All footnotes are presented on slide 39. 7 INVESTMENT BANKING CAPITAL MARKETS CORPORATE BANKING PERSONAL BANKING FINANCIAL PLANNING INVESTMENTS LENDING WE DELIVER A TOTAL WEALTH S
Slide 8: Global Wealth Management: Driving Synergies & Connectivity Globally Across All of Citi
Driving Synergies & Connectivity Globally Across All of Citi LEVERAGING BROAD SET OF ASSETS WITHIN CITI Personal Banking Institutional Services Global Wealth Management Corporate Capital Banking & Markets Advisory All footnotes are presented on slide 40, 8 SELECT SYNERGIES (2021) S1Bt+ Revenue ~50K
Slide 9: Client Testimonial
Pf) CLIENT TESTIMONIAL ec
Slide 10: Targeted Growth Strategy
Targeted Growth Strategy UHNW' & AFFLUENT? GLOBAL WEALTH FAMILY OFFICES & HNW? AT WORK All footnotes are presented on slide 40, Tt fo citi
Slide 11: Making Strategic Investments to Grow & Scale
Making Strategic Investments to Grow & Scale TALENT TECHNOLOGY Client Advisors! CLIENT EXPERIENCE CLIENT ADVISOR Eg EXPERIENCE 2020 2021 Medium-Term PRODUCT CAPABILITIES All footnotes are presented on slide 40, nN * Intuitive Digital Tools * Seamless Onboarding * Enhanced CRM Systems ¢ Unified Works
Slide 12: Global Private Bank - UHNW & Family Offices
@ Global Private Bank - UHNW & Family Offices ry202) §3,0B $468B Revenue Client Assets! CURRENT STATE * Global presence in 50 cities across 18 countries * Relationships with over a quarter of the world’s billionaires? * Strength in financing products with opportunity to grow wallet in Investments *
Slide 13: Asia - Affluent & HNW Individuals
© Asia - Affluent & HNW Individuals’ ry2o2) §1,1B $87B Revenue Client Assets? CURRENT STATE * Focused on two key wealth hubs (HK & SG) and cross-border flows * Leading in Affluent & Core HNW segments * Strong Retail Banking & Lending products * Premier Brand and strong digital capabilities Note: All
Slide 14: U.S. - Affluent & HNW Individuals
© U.S. - Affluent & HNW Individuals (FY 2021) S1.7B $181B Revenue Client Assets! CURRENT STATE * Strong talent base, underrepresented in key markets * Significant synergies with the Retail Banking branch network * Leading Banking, Cards and Mortgage products * Widely recognized Citi brand Note: All
Slide 15: Global Wealth at Work - Workplace Banking
© Global Wealth at Work - Workplace Banking (FY 2021) ~40% Market Share with U.S. Law Firms! $0.7B Revenue CURRENT STATE ¢ Law Firm Group (LFG) delivers an integrated value proposition to law firms and employees across the wealth continuum Associate Partner Senior Partner / Law Firm All footnotes ar
Slide 16: Winning in Global Wealth Management
Winning in Global Wealth Management SCALE FOR GROWTH Invest in key client segments, geographies and product capabilities DRIVE SYNERGIES Leverage Retail Banking and ICG networks INVEST IN TECHNOLOGY & PLATFORMS Integrate and upgrade technology and product platforms DEPOSITS (SB) LOANS ($B) CLIENT AS
Slide 17: Anand Selva
ANAND SELVA CHIEF EXECUTIVE OFFICER PERSONAL BANKING & WEALTH MANAGEMENT citi
Slide 18: Our Business Today - U.S. Personal Banking
Our Business Today - U.S. Personal Banking (FY202) §15.8B $167B $219B 72M 27% | 13% Revenue Loans Deposits! Clients RoTCE? Inc. / ex ACL3 (FY 2021) REVENUE LOANS DEPOSITS! ($B) Reported in GWM “a HE Citigold + cPc MM UU.S. Personal Banking MB Branded Cards ME Retail Services HB Retail Bank MB Brande
Slide 19: Leader in Payments & Lending in the U.S.
Leader in Payments & Lending in the U.S. LEADER IN PAYMENTS & LENDING TOP 10 DEPOSIT FRANCHISE# (FY 2021, $B) (FY 2021, $B) CARD LOANS' AVERAGE RETAIL DEPOSITS 154 134 109 W035 976 a5 81 81 75 74 Bae rere 204 192 139 | mE ee ee oe ee Peer 1 citi Peer2 Peer3 Peer4 Peer5 Peer6é Peer 1 Peer 2 Peer 3 Pe
Slide 20: COVID-19 Impact on Our Business
COVID-19 Impact on Our Business STRONG REBOUND IN CARD SPEND VOLUME REVENUES IMPACTED BY PAYMENT RATES Card Spend Volume ($B) Card Revenues ($B) Pre COVID-19 Post COVID-19 Pre COVID-19 Post COVID-19 | H4% 7 HO% he 45% a 17% 1 $401 $431 $456 $416 O S154 a 3 a $14.8 $13.3 2017 2018 2019 2020 2021 2017
Slide 21: Recent Investments to Address Changing Consumer Behavior
Recent Investments to Address Changing Consumer Behavior COVID-19 ACCELERATED CHANGES IN CONSUMER BEHAVIOR OUR RECENT INVESTMENTS +30% increase in online credit / debit card spending since March 2020! DRIVING DIGITAL COMMERCE GETTING BASICS RIGHT Personalized Mobile native SHIFT TO offers account op
Slide 22: Integrated Set of Differentiated Solutions to Accelerate Growth
Integrated Set of Differentiated Solutions to Accelerate Growth 2018 - NARROWER SET OF CAPABILITIES TODAY —- COMPREHENSIVE SET OF SOLUTIONS Balance transfer focused Limited digital offerings Card-centric partnerships Financing at Point of Sale Integrated Set of Payment & Lending Solutions Rewards Ba
Slide 23: Growth Driven by Three Key Priorities
Growth Driven by Three Key Priorities LEAD IN MAXIMIZE VALUE DRIVE DIGITAL LEADERSHIP PAYMENTS & LENDING FROM RETAIL BANKING ENABLED BY NEXTGEN TECHNOLOGY 23 citi
Slide 24: Accelerate Growth in Proprietary Cards to Drive Higher Returns
Accelerate Growth in Proprietary Cards to Drive Higher Returns INVIGORATING THE PRODUCT PORTFOLIO DEEPENING LOYALTY New Launches and Refreshes in the Last 2 Years Curated offers and benefits from 200+ merchants ENHANCING REWARDS AND OFFERS INCREASING REDEMPTION OPTIONS WYNDHAM P REWARDS @ PayPal DEL
Slide 25: Deepen Our Partner Network to Drive Incremental Value
Deepen Our Partner Network to Drive Incremental Value LEADING PARTNER NETWORK DRIVING INCREMENTAL VALUE ~40 Strategic partnerships across a diverse set of industries 5 of the | eCommerce companies! top 10 partner with Citi Of receivables are covered by 97% partner agreements extending beyond 2024 Co
Slide 26: Partner Testimonial
Pf) PARTNER TESTIMONIAL ec
Slide 27: Scale Lending to Capture Emerging Opportunity
Scale Lending to Capture Emerging Opportunity BUILDING LENDING CONTINUUM: ON- & OFF-CARD ATTRACTIVE CLIENT PROFILE 2 Flex Loan Example: $ BUILDING & Point of Sale Personal Installment T ALIN i i 7 sc S [Aleman [Leen 57% of Flex Loan takers bring a (9) new balances! 4 Higher NPS for Flex Loan z ESTAB
Slide 28: Growth Driven by Three Key Priorities: Maximize Value from Retail Banking
Growth Driven by Three Key Priorities MAXIMIZE VALUE FROM RETAIL BANKING 28 citi
Slide 29: U.S. Retail Banking Fuels Our Strategic Priorities
U.S. Retail Banking Fuels Our Strategic Priorities FOCUSED ON 6 CORE URBAN CENTERS FOUNDATIONAL ASSET FOR PBWM ~72K ATMs and ~650 branches Chicago e (Rank: #8)! e New York e e8 oe Area , ; san oon (Rank: #4)' rancisco e i cisco ‘Washington D.C. (Rank: #5) e | Ss frank 10) Los Angeles e e (Rank: #4)!
Slide 30: Maximize Value By Leveraging Existing Footprint & Digital Assets
Maximize Value By Leveraging Existing Footprint & Digital Assets WE ARE FOCUSED ON... TO ACHIEVE... DEEPENING PRESENCE IN 6 CORE URBAN CENTERS DRIVING INCREMENTAL VALUE FROM BRANCHES AND DIGITAL ASSETS STRENGTHENING SYNERGY WITH WEALTH MANAGEMENT 30 > > Refresh and optimize branch network Modernize
Slide 31: Growth Driven by Three Key Priorities: Drive Digital Leadership
Growth Driven by Three Key Priorities DRIVE DIGITAL LEADERSHIP ENABLED BY NEXTGEN TECHNOLOGY a citi
Slide 32: Drive Digital Leadership with NextGen Technology
Drive Digital Leadership with NextGen Technology DIGITAL FIRST FRANCHISE ENABLED BY INTEGRATED PLATFORMS DRIVING TANGIBLE OUTCOMES New Customers 94% | Acquired Digitally! Branded Cards 23M | Active Users? 47% Yor | Branded Cards Growth | & Retail Bank Digital Commerce $135B Branded Cards (37%) | Spe
Slide 33: Leader in Payments & Lending within U.S. Personal Banking
Leader in Payments & Lending within U.S. Personal Banking LEAD IN PAYMENTS Accelerate proprietary cards, deepen partner relationships & LENDING and scale lending MAXIMIZE VALUE Deepen in existing footprint, strengthen synergy with FROM RETAIL BANKING Global Wealth Management and grow digital deposit
Slide 34: PBWM: Medium-Term Guidance
on PBWM: MEDIUM-TERM GUIDANCE al
Slide 35: PBWM Key Drivers and Projected Growth
PBWM Key Drivers and Projected Growth BUSINESS KEY PERFORMANCE REVENUE GROWTH BUSINESS FOCUS INDICATORS (Medium-Term CAGR) * Client Assets! 1) rapa Scale Wealth Management + Deposits High Single Digits MANAGEMENT globally - Loans to Low Teens Strengthen leadership a | < el evnine through integrated
Slide 36: Investor Day
INVESTOR DAY PROPRIETARY AND PROTECTED INFORMATION. MAY NOT BE COPIED, SHARED OR DISTRIBUTED WITHOUT CITIGROUP WRITTEN CONSENT. ©2022 CITIGROUP INC.
Slide 37: Forward-looking Statements
Forward-looking Statements Certain statements in this presentation are “forward-looking statements” within the Private Securities Litigation Reform Act of 1995, including statements made orally by Citi's management. Such statements may be identified by words such as believe, expect, anticipate, inte
Slide 38: Reported Net Income and RoTCE Reconciliation
2021 ($ in M) Reported Net Income (Loss) $7,734 Impact of 2021 ACL release (3,346) Net Income (Loss) excluding the impact of 2021 ACL release $4,388 Average TCE $33,239 RoTCE1 23.3% RoTCE2 excluding the impact of 2021 ACL release 13.2%
Slide 39: Footnotes
Footnotes Slide 3 1. Client assets include AUMs, deposits and trust and custody assets. 2. Return on Tangible Common Equity (RoTCE) is a non-GAAP financial measure. ROTCE represents annualized net income as a percentage of average allocated tangible common equity. For a reconciliation to reported re
Slide 40: Footnotes
Footnotes Slide 8 1. Client investment strategies are tailored to individual needs. Ultra-high net worth (UHNW) clients generally include those with a net worth over $25M. Slide 10 1. Client investment strategies are tailored to individual needs. Ultra-high net worth (UHNW) clients generally include
Slide 41: Footnotes
Footnotes Slide 15 1 2. Client investment strategies are tailored to individual needs. Affluent clients generally include those with a combined Citi relationship over $200k. 3. Client investment strategies are tailored to individual needs. High net worth (HNW) clients generally include those with a
Slide 42: Footnotes
Footnotes Slide 21 1 Source: “U.S, consumer sentiment and behaviors during the coronavirus crisis." McKinsey, 2021. 2. Source: “Online and Mobile Banking Adoption Soars, Setting New Benchmarks.” The Financial Brand, 2021. 3. Source: “U.S. lending at point of sale: The next frontier of growth.” McKin
Slide 43: Footnotes
Footnotes Slide 32 1, Based on 2021 acquisitions. 2. Active Digital Users represents customers of all online and/or mobile services within the last 90 days through December 2021. Excludes Citi Mortgage and Citi Retail Services reported in U.S. Personal Banking. Includes consumer wealth customers rep
Slide 44: Glossary of Terms
Glossary of Terms ACL API ANR AUM AVG CAGR cPc CRM EMEA EOP 44 Allowance for Credit Losses Application Programming Interfaces Average Net Receivables Assets Under Management Average Compound Annual Growth Rate Citigold Private Client Customer Relationship Management Europe, Middle East, & Africa End