About Credit Suisse A brief presentation. December 2015

Transcription

1 About Credit Suisse A brief presentation

2 Disclaimer Cautionary statement regarding forward-looking statements This presentation contains forward-looking statements that involve inherent risks and uncertainties, and we might not be able to achieve the predictions, forecasts, projections and other outcomes we describe or imply in forward-looking statements. A number of important factors could cause results to differ materially from the plans, objectives, expectations, estimates and intentions we express in these forward-looking statements, including those we identify in "Risk Factors" in our Annual Report on Form 20-F for the fiscal year ended December 31, 2014 and in "Cautionary statement regarding forward-looking information" in our third quarter earnings release 2015 filed with the US Securities and Exchange Commission, and in other public filings and press releases. We do not intend to update these forward-looking statements except as may be required by applicable law. Statement regarding non-gaap financial measures This presentation also contains non-gaap financial measures, including adjusted cost run-rates. Information needed to reconcile such non-gaap financial measures to the most directly comparable measures under US GAAP can be found in the presentation to investors slides for the third quarter 2015, which is available on our website at credit-suisse.com. Statement regarding capital, liquidity and leverage As of January 1, 2013, Basel 3 was implemented in Switzerland along with the Swiss Too Big to Fail legislation and regulations thereunder. As of January 1, 2015, the Bank for International Settlements (BIS) leverage ratio framework, as issued by the Basel Committee on Banking Supervision (BCBS), was implemented in Switzerland by FINMA. Our related disclosures are in accordance with our interpretation of such requirements, including relevant assumptions. Changes in the interpretation of these requirements in Switzerland or in any of our assumptions or estimates could result in different numbers from those shown in this presentation. Capital and ratio numbers for periods prior to 2013 are based on estimates, which are calculated as if the Basel 3 framework had been in place in Switzerland during such periods. Unless otherwise noted, leverage exposure is based on the BIS leverage ratio framework and consists of period-end balance sheet assets and prescribed regulatory adjustments. Leverage amounts for 4Q14, which are presented in order to show meaningful comparative information, are based on estimates which are calculated as if the BIS leverage ratio framework had been implemented in Switzerland at such time. Beginning in 2015, the Swiss leverage ratio is calculated as Swiss total capital, divided by period-end leverage exposure. The look-through BIS tier 1 leverage ratio and CET1 leverage ratio are calculated as look-through BIS tier 1 capital and CET1 capital, respectively, divided by end-period leverage exposure. The re-segmented financial information is preliminary and subject to further review Unless otherwise noted, this presentation contains certain historical financial information that has been re-segmented to approximate what our results under our new structure would have been, had it been in place from January 1, Such information is preliminary in nature and subject to review, evaluation and refinement, has not been audited or reviewed by our independent public accountants and can be expected to change in certain respects before any final re-segmentation is published. In addition, Illustrative, Ambition and Goal presentations are not intended to be viewed as targets or projections, nor are they considered to be Key Performance Indicators. All such presentations are subject to a large number of inherent risks, assumptions and uncertainties, many of which are completely outside of our control. Accordingly, this information should not be relied on for any purpose. We may not achieve the benefits of our strategic initiatives We may not achieve all of the expected benefits of our strategic initiatives. Factors beyond our control, including but not limited to the market and economic conditions, changes in laws, rules or regulations and other challenges discussed in our public filings, could limit our ability to achieve some or all of the expected benefits of these initiatives. 2

3 Credit Suisse: an integrated global bank Founded in 1856 with headquarters in Zurich, Switzerland, Credit Suisse has operations in over 50 countries and employs 48,100 individuals from over 150 different nations Our integrated business model combines the resources of our divisions, allowing us to provide comprehensive solutions to our clients Global Markets Investment Banking & Capital Markets International Wealth Management Swiss Universal Bank Asia Pacific Sales & trading platforms covering the Americas and EMEA Advisory and underwriting platforms covering the Americas and EMEA Global wealth management arm serving non-swiss and non-asia Pacific domiciled (U)HNWI clients, and global asset management business, including Swiss products and clients Universal bank for our Swiss domiciled private clients (retail, wealth management), commercial and institutional clients (excl. asset management services) Integrated private and investment bank for our Asia Pacific domiciled (U)HNWI, corporate, and institutional clients Picture: Credit Suisse head office at Paradeplatz in Zurich, Switzerland. EMEA = Europe, Middle East and Africa. (U)HNWI = (Ultra)-high-net-worth individuals. 3

4 Credit Suisse Group: facts & figures Solid financial performance and A balanced business portfolio 2 strong asset gathering momentum 1 Pre-tax income Total reported results in CHF bn 9M Net revenues Pre-tax income Net income att. to shareholders Cost/income ratio 79% 86% 84% 90% Return on tangible equity attributable to shareholders 11% 5% 7% 5% Net new assets Assets under management 1,294 1,377 1,282 1,251 Net loans Sound capital foundation and capital ratios 1 on a Basel 3 look-through basis, in CHF bn Total eligible capital not applicable CET1 ratio 10.2% 10.1% 10.0% 8.0% CET1 leverage ratio 2.8% 2.5% Tier 1 leverage ratio 3.9% 3.5% not applicable not applicable not applicable not applicable 24% 13% 8% 27% 25% M15 annualized 19% 36% 17% 30% Return on capital 3 13% 14% SUB 27% 24% 10% 10% Swiss Universal Bank International Wealth Management Global Markets IBCM Asia Pacific 23% M15 annualized 5% IWM GM IBCM 14% 30% Asia Pacific Strong senior credit ratings 4 Credit Suisse AG (the Bank) Shortterm Moody s P-1 A1 S&P A-1 A Fitch Ratings F1 Longterm Outlook A Review for possible downgrade Stable Positive CET1 = Common equity tier 1. SUB = Swiss Universal Bank. IWM = International Wealth Management. GM = Global Markets. IBCM = Investment Banking & Capital Markets. 1 Figures are based on results under our current structure prior to our re-segmentation announcement on October 21, Divisional pre-tax income. Excluding Corporate Center and Strategic Resolution Unit results. 3 Divisional return on regulatory capital is the worst of return on 10% of spot risk-weighted assets (RWA) and return on 3.5% of spot Swiss leverage exposure; assumes tax rate of 30% in 2014; and is the worst of return on 10% of spot RWA and return on 3.5% of spot leverage exposure; assumes tax rate of 30% in 9M15. 4 Relate to senior unsecured debt and are subject to change without notice. Latest rating action on October 23,

5 With our local presence and global approach, we are well-positioned to respond to changing client needs and market trends, while coordinating our activities on a cross-divisional basis Net revenues 1 Pre-tax income 1 Employees Switzerland 6.8 bn 2.3 bn 17,100 27% 60% 37% 204 branches Europe, Middle East and Africa 5.7 bn 0.4 bn 9, offices 22% 9% 22% Americas 9.5 bn 0.4 bn 10,900 Centers of Excellence (CoEs) Our Centers of Excellence support our operations and are essential in the implementation of our strategy. Wroclaw in Poland, Mumbai and Pune in India and Raleigh-Durham in the US are home to our CoEs. At year-end 2014, they accounted for 17% of our global workforce. 42 offices Asia Pacific 38% 3.2 bn 13% 9% 0.9 bn 22% 24% 7,900 17% Note: Figures are based on results under our current structure prior to our re-segmentation announcement on October 21, All information for or as of year-end UHNWI = Ultra-high-net-worth individuals: total wealth > CHF 250 mn or AuM > CHF 50 mn. 1 In Swiss Francs. Reported Core results, excluding Corporate Center. 25 offices 5

6 New Group and business divisions targets Performance Targets Divisional performance targets pre-tax income in CHF bn M E 2020E CET 1 ratio look-through 10.1% 10.2% approx. 13% above 11% CET 1 leverage ratio look-through above 3.5% Swiss Universal Bank % OFCG from 4Q15 to 2020, in CHF bn Enablers approx. 23 to 25 International Wealth Management % Group net cost savings 1 in CHF bn 2.0 Global Markets riskweighted assets in USD bn Flat from approx. USD bn by end-2015 Global Markets leverage exposure in USD bn Asia Pacific M15 annualized target > double Dividend policy At least 40% of OFCG to be distributed to shareholders via dividend over a five year period Until we reach our capital target, we will recommend CHF 0.70 per share with a scrip alternative; we will discontinue the scrip once we have clarity on regulatory requirements and litigation risks. In any event, we will not continue with the scrip beyond 2017 CET1 = Common equity tier 1. OFCG = Operating Free Capital Generation. IWM = International Wealth Management. 1 By end 2018, based on 2015 cost base; cost reduction program based on new organizational structure and measured on constant FX rates and based on expense run rate excluding major litigation expenses in the Strategic Resolution Unit & restructuring costs, but including other costs to achieve savings. 6

7 Executive Board Business divisions James Amine Head of Investment Banking & Capital Markets Thomas Gottstein Head of Swiss Universal Bank Iqbal Khan Head of International Wealth Management Timothy O Hara Head of Global Markets Helman Sitohang Head of Asia Pacific Tidjane Thiam Chief Executive Officer Shared Services Pierre-Olivier Bouée Chief Operating Officer Romeo Cerutti General Counsel Peter Goerke Head of Human Resources, Communications and Branding David Mathers Chief Financial Officer Joachim Oechslin Chief Risk Officer Lara Warner Chief Compliance and Regulatory Affairs Officer 7

8 Board of Directors Urs Rohner Chairman, Chairman of the Chairman's and Governance Committee Jassim Bin Hamad J.J. Al Thani Iris Bohnet Noreen Doyle Vice-Chair and Lead Independent Director Andreas N. Koopmann Jean Lanier Chairman Compensation Committee Seraina Maag Kai S. Nargolwala Severin Schwan Richard E. Thornburgh Vice-Chair and Chairman Risk Committee Sebastian Thrun John Tiner Chairman Audit Committee Members of the: Chairman s and Governance Committee Compensation Committee Audit Committee Risk Committee 8

9 Credit Suisse s strategy: an integrated global bank with a strong local presence Client focus Employees Capital and risk management Efficiency Collaboration Corporate responsibility We put our clients needs first. We aspire to be a reliable and trusted partner to our clients at all times We strive to attract, develop and retain top talent in order to deliver outstanding financial products and services to our clients Prudent risk-taking aligned with our strategic priorities is fundamental to our business. We maintain a conservative framework to manage liquidity and capital We strive for superior efficiency levels, while not compromising growth or reputation Close collaboration between our divisions and regions is essential to delivering comprehensive solutions to meet the complex financial needs of our clients As a member of global economy and society, we are committed to assuming our responsibilities as a bank, an employer and towards the economy, society and the environment 2.1 million clients served worldwide as of end ,100 employees worldwide as of 3Q % look-through CET1 ratio as of 3Q15 CHF 3.5 bn target cost savings 1 17% of collaboration revenues in million people who have benefited of Credit Suisse s microfinance activities 1 By end 2018, based on 2015 cost base; cost reduction program based on new organizational structure and measured on constant FX rates and based on expense run rate excluding major litigation expenses in the Strategic Resolution Unit & restructuring costs, but including other costs to achieve savings. 2 Figures based on results under the structure prior to the re-segmentation announced on October 21, Revenues from transactions in which the Private Banking & Wealth Management and the Investment Banking divisions, or more than one business within PB&WM, were involved. 9

10 Corporate Responsibility at Credit Suisse: our responsible approach to business is a key factor in determining our long-term success Responsibility in Banking Responsibility in Economy and Society CHF 8,974 mn transactions or client relationships were assessed for potential environmental and social risks Business Conduct Behaviors were introduced to guide our employees in their daily work and to help reduce the potential for operational or conduct losses is our volume of assets under management with high social and environmental benefits around CHF 156 bn 73,468 over CHF 6 bn is Credit Suisse s volume of loans outstanding in Switzerland hours were dedicated to skillsbased voluntary work by our employees is the value of goods, services and licenses purchased from suppliers globally Responsibility as an Employer 42% 45,800 1,200 of all vacancies were filled through internal appointments individuals from over 150 different nations work at Credit Suisse young talents are taking part in our training programs in Switzerland Responsibility for the Environment ,362 1,084 gigawatt-hours of energy were saved globally as a result of increasing our server virtualization rate to 60% worldwide over the past 4 years hours of video conferencing were used as an alternative to business travel, helping to reduce our CO 2 emissions employees were trained in environmental management All information for or as of year-end 2014, as applicable, unless noted otherwise. 10

11 Credit Suisse with a diverse international shareholder base Share price development from 2009 through in CHF Credit Suisse (CSGN VX) EURO STOXX Banks index (rebased as of January 1, 2009) 0 Jan Jan Jan Jan Jan Jan Jan Shareholder base 6 as of end 2Q15 8% 10% Private investors Other investors Institutional investors 82% Credit Suisse shares are listed on the SIX Swiss Exchange and on the New York Stock Exchange in the form of American Depositary Shares 2 Since January 1, 2009 Credit Suisse shares outperformed the EURO STOXX Banks index by 16 percentage points Significant shareholders 3 Share ownership Harris Associates L.P % Norges Bank 5.0% Qatar Holding LLC 5.0% Dodge & Cox 5 5.0% Olayan Group 5.0% Franklin Resources Inc. 3.7% BlackRock, Inc. 3.0% Capital Group Companies, Inc. 3.0% 9% 16% 48% 12% 15% Switzerland Europe United Kingdom & Ireland North America Other (predominantly Middle East) 1 Through December 4, One American Depositary Share represents one common share. 3 Share ownership of at least 3% as per latest available notification to the SIX Swiss Exchange. 4 Harris Associates L.P. s position includes the reportable position (4.21% shareholding) of Harris Associates Investment Trust, which is managed by Harris Associates L.P., as published by the SIX on November 26, Dodge & Cox s position includes the reportable position (3.03% shareholding) of Dodge & Cox International Stock Fund, which is managed by Dodge & Cox, as published by the SIX on June 11, Source: IPREO. 11

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