Ally Financial Inc. · NYSE:ALLY
Ally Financial — Morgan Stanley Financials Conference 2016
12 slides from Ally Financial's conference presentation, Jun 15, 2016
Slide 1: Ally Financial Inc. Morgan Stanley Financials Conference
Ally Financial Inc. Morgan Stanley Financials Conference June 15, 2016 1
Slide 2: Forward-Looking Statements and Additional Information
Forward-Looking Statements and Additional Information The following should be read in conjunction with the financial statements, notes and other information contained in the Company’s Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K. In the presentation th
Slide 3: Approach to Banking Franchise
Approach to Banking Franchise • Brand that resonates with customers – Talk Straight, Do Right, Be Obviously Better – Best Online Bank by MONEY® Magazine • Leading Digital Interface – Simple, intuitive design integrated across channels – Expanding mobile capabilities • Superior Customer Experience –
Slide 4: Consistent Quarterly Deposit Growth
Consistent Quarterly Deposit Growth Driven by Strong Brand and Consumer Trends $59 billion $3.5 $1.9 $1.7 $2.7 $1.1 $1.2 $0.8 $2.0 $0.7 $1.5 $1.8 $3.7 $1.1 $2.9 $1.7 $1.6 $1.0 $1.4 $1.7 $1.1 $1.6 $1.3 $1.8 $1.0 $0.7 Quarterly Net Retail Deposit Growth ($ billions) 4
Slide 5: Consistent Customer Growth
Consistent Customer Growth Strong Foundation for Product Expansion 1.1 million 53k Average growth 37k 26k 35k of ~30k net 45k customers per 31k 24k 29k quarter 42k 29k 32k 31k 69k 43k 29k 25k 27k 27k 28k 324 23k 32k thousand 21k 26k 17k 20k Quarterly Net Customer Growth Ally Bank Deposit Customers 5
Slide 6: Strong Customer Loyalty
Strong Customer Loyalty Ally Bank Retail Deposit Vintage by Year ($ billions) $70 Vintages have $59 billion $60 remained steady or $50 grown since brand launch $40 $30 $20 $10 $- Pre-2009 2009 2010 2011 2012 2013 2014 2015 2016 6
Slide 7: Deposit Customer Profile
Deposit Customer Profile Loyal Attractive 94% 25% 50% Customer Retention Rate 1 Net Worth $1MM or more 2 Annual Income $75k or more2 (as-of Q1 2016) (compared to 2% of US Population) 4 (compared to 13% of US Population) 3 Growing Millennial Segment Digitally Savvy & Engaged 5 New Deposits Customers
Slide 8: Strategic Benefits of Product Expansion
Strategic Benefits of Product Expansion Capitalize on secular trends in digital financial services − Customer demographics and preferences are on our side Improve shareholder returns − Optimize auto finance and grow higher ROE products Drive incremental growth − Within capital allocation and r
Slide 9: Credit Card Customer Opportunity
Credit Card 1 Customer Opportunity Ally Bank’s most requested product 85% of existing Ally customers currently use credit cards 1 67% affluent millennials using credit cards 2 2 Drive Shareholder Value Deepen customer relationships Modest fee income with ability to expand over time 3 Appro
Slide 10: Direct-to-Consumer Mortgage Customer Opportunity
Direct-to-Consumer Mortgage 1 Customer Opportunity $8-10 trillion consumer mortgage market opportunity >30% home buyers are millennials 1 90% of Ally customers are Prime credit (FICO > 640) 2 Drive Shareholder Value Expect $2-3 billion of incremental annual originations, with potential upsid
Slide 11: Online Brokerage and Digital Wealth Management Customer Opportunity
Online Brokerage and Digital Wealth Management 1 Customer Opportunity Natural extension of deposits business from self-directed customer base Online wealth management currently ~25% of the market and growing rapidly 1 Significant opportunity to capture $30 trillion intergenerational wealth tra
Slide 12: Summary
Summary Ally has built a unique, modern banking franchise with a customer-centric focus − Highly loyal customer base − Digital − Branchless – scalable, efficient and no geographic constraints Ally is positioned to continue to benefit from secular shifts in consumer preferences − Demonstrated by
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