FinecoBank

Earnings Release • May 9, 2017

Informazione Regolamentata n. 1615-46-2017		Data/Ora Ricezione 09 Maggio 2017 12:49:17	MTA
Societa'	:	FINECOBANK
Identificativo Informazione Regolamentata	:	89118
Nome utilizzatore	:	FINECOBANKN01 - Spolini
Tipologia	:	IRAG 03
Data/Ora Ricezione	:	09 Maggio 2017 12:49:17
Data/Ora Inizio Diffusione presunta	:	09 Maggio 2017 12:49:19
Oggetto	:		PR INTERIM FINANCIAL REPORT 1Q17
Testo del comunicato

Vedi allegato.

FinecoBank will voluntarily publish an "Interim Financial Report - Press Release" for Q1 and Q3 of each year in order to ensure continuity with the previous quarterly reports.

Results at March 31st, 2017 approved

• Net profit: €51.7 million, +0.9% y/y (+8.0% y/y excluding the sale of government securities¹ in Q1 2016)
• Operating income: €141.8 million, +1.2% y/y (+5.0% y/y excluding the sale of government securities in Q1 2016)
• Operating costs: €60.7 million, essentially stable y/y
• CET1 ratio at 22.24% (transitional)

FIGURES AT APRIL 30TH, 2017

• Net sales April 2017: €592 million (+59% y/y) of which €308 million Assets under Management (+182% y/y)
• Total net sales: €1,972 million (+9% y/y), of which Guided Products €1,384 million (+72% compared to 2016). Guided Products at 59% of AUM stock (+11 p.p. y/y)
• Total financial assets: €62.97 billion (+12.8% y/y)
• Over 1,149,000 total clients, +7% y/y (o/w 9,452 new clients in April alone, +23% y/y)

Milan, May 9th, 2017

The Board of Directors of FinecoBank S.p.A. has approved the results at March 31st, 2017. Alessandro Foti, CEO and General Manager of FinecoBank, stated:

"The first quarter of year ends once again with very solid results, thanks to a well diversified and sustainable business model, able to face every market phase. We're particularly satisfied with April total net sales, as it confirms the high quality in the mix of new inflows thanks to our cyborg-advisory approach and to the growing interest of our customers towards our advanced advisory services.

Moreover, the new initiatives launched by the Bank, in particular on lending area, had a very positive feedback from our customers, confirming the appreciation for our 'one stop solution' model, able to meet all their financial needs".

¹ €3.4 million net (€5 million gross) profit deriving from the sale of government securities recorded in the "Available-for-sale financial assets" portfolio. This sale (€704 million nominal value, at floating rate, with average remaining maturity of less than 3 years) was made with a view to mitigating exposure to interest rate risk. A corresponding amount of government securities was purchased in the same quarter (€706 million nominal value with maturity between three and six years).

TOTAL FINANCIAL ASSETS AND NET SALES

Total Financial Assets at March 31st, 2017 totalled €62.2 billion, up 13% compared to March 2016 with a constant improvement of the asset mix and of the quality of total net sales. At this regard, the growth of "Guided Products & Services" continued to increase as a percentage of total AUM, reaching 59% compared to 47% in March 2016 and 56% in December 2016.

Total net sales came to €1.4 billion in the first quarter of 2017, of which €0.8 billion in Assets under Management (+€0.9 billion y/y) and €0.5 billion in Assets under Custody, and direct deposits amounted to €76 million. Net sales of "Guided Products & Services" since the beginning of the year totalled €1.0 billion (+145% y/y).

The balance of Assets under Management increased by 4.0% compared to year-end 2016, and amounted to €29.7 billion at March 31st, 2017; Assets under Custody totalled €13.9 billion (+6.2% compared to year-end 2016); direct deposits totalled €18.6 billion, up compared to year-end 2016 due to the continuous growth in new clients and "transactional" deposits.

The TFA related to Private Banking clients, i.e. with assets above €500,000, totalled €23.3 billion, up 19% y/y.

As at March 31st, 2017, the network is composed of 2,639 Personal Financial Advisors (2,628 at the end of 2016) operating countrywide through 365 Fineco Centers. Net sales through the network of PFA in the first three months of the year totalled €1,246 million, up 2% on the same period of 2016.

New clients acquired since the beginning of the year were 32,075, of which 10,644 in the month of March alone (+14% y/y). The number of total clients at March 31st, 2017 was higher than 1,142,000, up 6% on March 2016.

INCOME STATEMENT RESULTS FOR THE 1ST QUARTER 2017

Operating income of the first three months of 2017 amounted to €141.8 million, higher than the €138.4 million of Q4 2016 (+2.5% q/q) and the €140.1 million of Q1 2016 (+1.2% y/y). Excluding the revenues from the sale of government securities for €5 million in Q1 2016, operating income rose by 5.0% y/y.

Net interest income totalled €62.9 million, posting a slight drop compared to the €63.4 million of the last quarter of the year (-0.8% q/q) for higher costs related to commercial initiatives and accounted in net interest income² , but higher than the €62.2 million of Q1 2016 (+1.1% y/y). The double-digit increase in transactional liquidity, the reduction in cost of the term deposits and the greater incidence of lending more than offset the lower interest income associated with the drop in market rates. The average lending rate for the financial investment of all deposits (both demand and term) amounted to 1.25% in Q1 2017 compared to 1.42% in the same period of 2016.

Net fee and commission income of Q1 2017 amounted to €64.7 million, slightly lower than the previous quarter (-1.7% q/q), but 11.2% higher than Q1 2016.

² Costs related to commercial initiatives booked in Net interest income as linked to current accounts

Compared to the fourth quarter of 2016, higher net fees from trading and order collection for financial instruments (+2.7% q/q) and net fees for asset management products and financial advisory (+3.3% q/q) were recorded. These were offset by lower net commissions for payment systems and higher passive commissions for financial advisors mostly due to the expected annual bonus matured in the period.

The increase compared to Q1 2016 is mainly due to the higher net commissions for asset management products and financial advisory (+15.9% y/y).

Commissions for asset management products and advisory recorded an increase compared to both Q4 2016 and Q1 2016 owing to the continuous increase in AuM inflows and in the percentage of Guided Products & Services on total AUM, equal to 59% as at March 31st, 2017, compared to 56% of the previous quarter and to 47% of the same period last year.

Net trading, hedging and fair value income amounted to €13.7 million in Q1 2017 (+20.9% q/q and -30.2% y/y). The increase compared to the previous year is mainly due to the income realised thanks to the internalisation of securities, CFDs and financial instruments used for the operational hedging of CFDs, which recorded a positive change of €1.5 million (+14%). With reference to the reduction compared to the same period of the previous year, in the first quarter of 2016 profit coming from the sale of government securities recorded in the "Available-for-sale financial assets" portfolio, amounting to €5 million, was recorded. This transaction was carried out in order to mitigate exposure to interest rate risk and to extend the duration of the investment.

Operating costs of the first three months of 2017 totalled €60.7 million, basically stable compared to the €60.2 million of the first three months of 2016 (+0.8% y/y) thanks to the Bank's strong operating leverage. Comparison with Q4 2016 (+9.8% q/q) reflects the typical seasonal factor and it is mainly attributable to contributions paid for the activity of Financial Advisors. Contributions to the ENSARCO Foundation have a fixed annual limit that is mainly filled in the early months of the year, while contributions to the FIRR termination compensation fund entail decreasing rates as specific thresholds are reached. The cost/income ratio was 42.80%.

Payroll costs amounted to €19.2 million in Q1 2017 (+15.5% q/q, +2.7% y/y).

Other administrative expenses net of Recovery of expenses amounted to €39.2 million (+9% q/q, -0.4% y/y).

Operating profit came to €81.1 million, lower than the €83.1 million of Q4 2016 (-2.3% q/q) and higher than the €79.9 million of Q1 2016 (+1.5% y/y).

Net write-downs of loans and provisions for guarantees and commitments totalled €0.5 million (-20.4% q/q, -62.5% y/y) in Q1 2017. Cost of risk was recorded at 20 bp (66 bp in Q1 2016 and 43 bp in the year 2016). The decrease is linked to the increase of the outstanding, with secured and low risk products, and extraordinary write-backs partly coming from the improvement of the quality of the portfolio.

Provisions for risks and charges of the first quarter of 2017 were €2.4 million.

Profit before tax from continuing operations came to €78.2 million in the first quarter of 2017, higher than the €74.1 million of Q4 2016 (+5.6% q/q) and higher than the €77.1 million of Q1 2016 (+1.5% y/y).

The Profit for the period amounted to €51.7 million in Q1 2017, marking a 4.5% increase over the €49.5 million recorded in Q4 2016, and a 0.9% increase over the €51.2 million recorded in Q1 2016. Net of profit

deriving from the sale of government securities for €5 million in Q1 2016, the profit for the period rose by 8.0% y/y.

SHAREHOLDERS' EQUITY AND CAPITAL RATIOS

Shareholders' equity amounted to €732 million and includes the net profit for the year 2016 distributed to shareholders' in April 2017, which totalled €170.2 million.

The Bank confirms its capital strength with a CET1 ratio (transitional) at 22.24% (22.94% at year-end 2016). The Total capital ratio (transitional) came to 22.24% (22.94% at year-end 2016).

The leverage ratio was 7.89% (8.26% at year-end 2016) and was calculated in accordance with EU Delegated Regulation 2015/62 of October 10, 2014. As required by Circular No. 285 of the Bank of Italy, Part Two, Chapter 12, Section III Exercise of national discretion, exposures to the UniCredit Group companies based in Italy and weighted at 0% pursuant to Article 113, par. 6 of the CRR have not been included in the calculation of total exposure, in accordance with Article 429 (7) of the CRR amended by the Delegated Regulation (EU) 2015/62.

SIGNIFICANT EVENTS IN Q1 2017 AND SUBSEQUENT EVENTS

No significant events were recorded after during Q1 2017 and after period end.

MONITORING OF NEW INDUSTRIAL INITIATIVES

During the Q1 2017 it is worth mentioning the reinforcement of the Credit area. In particular, the new offer of residential mortgages, which has completed FinecoBank's range of products within the "one-stop solution" model, has been much appreciated by customers. Moreover, the new Rolling Lombard has been launched during the current month, allowing to change pledged assets without closing and re-opening the credit line.

Fineco is ready to extend its services to UK residents, as the "Family and Friends" initiative launched in the month of April is over.

Within the Investing area, it is noteworthy the re-launch of Private Banking, with the aim to strengthen even more the positioning of the Bank in that segment.

As for Asset Management, FinecoBank is considering the opportunity and feasibility to integrate the existing business model with the constitution of a management house within its own holding perimeter.

CONDENSED BALANCE SHEET

		Amounts as at
ASSETS	12/31/2016	03/31/2017	Amount	%
Cash and cash balances	5	615	610	12200.0%
Financial assets held for trading	6,044	5,714	(330)	-5.5%
Loans and receivables with banks	15,735,540	15,461,841	(273,699)	-1.7%
Loans and receivables with customers	1,016,798	1,166,180	149,382	14.7%
Financial investments flow	3,757,529	3,906,456	148,927	4.0%
Hedging instruments	9,211	12,410	3,199	34.7%
Property, plant and equipment	14,451	14,379	(72)	-0.5%
Goodwill	89,602	89,602	-	-
Other intangible assets	7,731	7,702	(29)	-0.4%
Tax assets	13,165	14,486	1,321	10.0%
Other assets	336,300	247,202	(89,098)	-26.5%
Total assets	20,986,376	20,926,587	(59,789)	-0.3%

(Amounts in € thousand)

	Amounts as at	Changes
LIABILITIES AND SHAREHOLDERS' EQUITY	12/31/2016	03/31/2017	Amount	%
Deposits from banks	1,111,106	980,245	(130,861)	-11.8%
Deposits from customers	18,801,073	18,883,826	82,753	0.4%
Financial liabilities held for trading	2,626	2,228	(398)	-15.2%
Hedging instruments	11,371	16,738	5,367	47.2%
Provisions for risks and charges	111,756	113,060	1,304	1.2%
Tax liabilities	10,048	36,073	26,025	259.0%
Other liabilities	257,097	162,730	(94,367)	-36.7%
Shareholders' Equity	681,299	731,687	50,388	7.4%
- capital and reserves - revaluation reserves (available-for-sale financial assets	476,249	690,077	213,828	44.9%
and actuarial gains (losses) for defined benefits plans)	(6,794)	(10,084)	(3,290)	48.4%
- net profit (loss)	211,844	51,694	(160,150)	-75.6%
Total liabilities and shareholders' equity	20,986,376	20,926,587	(59,789)	-0.3%

CONDENSED BALANCE SHEET - QUARTERLY FIGURES

ASSETS	03/31/2016	06/30/2016	09/30/2016	12/31/2016	03/31/2017
Cash and cash balances	7	11	8	5	615
Financial assets held for trading	6,996	6,879	5,547	6,044	5,714
Loans and receivables with banks	15,404,458	15,299,291	14,441,864	15,735,540	15,461,841
Loans and receivables with customers	827,395	880,232	971,888	1,016,798	1,166,180
Financial investments flow	2,622,251	2,926,175	3,586,682	3,757,529	3,906,456
Hedging instruments	6,682	9,018	7,559	9,211	12,410
Property, plant and equipment	13,471	13,896	14,366	14,451	14,379
Goodwill	89,602	89,602	89,602	89,602	89,602
Other intangible assets	7,691	7,608	7,557	7,731	7,702
Tax assets	11,775	5,880	5,578	13,165	14,486
Other assets	274,182	322,264	321,867	336,300	247,202
Total assets	19,264,510	19,560,856	19,452,518	20,986,376	20,926,587

(Amounts in € thousand)

LIABILITIES AND SHAREHOLDERS' EQUITY	03/31/2016	06/30/2016	09/30/2016	12/31/2016	03/31/2017
Deposits from banks	1,503,755	1,361,666	1,139,241	1,111,106	980,245
Deposits from customers	16,693,126	17,133,049	17,249,625	18,801,073	18,883,826
Financial liabilities held for trading	4,218	6,300	4,822	2,626	2,228
Hedging instruments	20,441	17,657	15,304	11,371	16,738
Provisions for risks and charges	120,515	119,258	117,360	111,756	113,060
Tax liabilities	62,222	23,046	47,409	10,048	36,073
Other liabilities	167,984	296,926	222,813	257,097	162,730
Shareholders' Equity	692,249	602,954	655,944	681,299	731,687
- capital and reserves	624,119	471,789	474,255	476,249	690,077
- revaluation reserves (available-for-sale financial assets and actuarial gains (losses) for defined benefits plans) - net profit (loss)	16,908 51,222	13,383 117,782	19,316 162,373	(6,794) 211,844	(10,084) 51,694
Total liabilities and shareholders' equity	19,264,510	19,560,856	19,452,518	20,986,376	20,926,587

CONDENSED INCOME STATEMENT

	1st Quarter		Changes
	2016	2017	Amount	%
Net interest	62,249	62,906	657	1.1%
Dividends and other income from equity investments	-	6	6	n.c.
Net fee and commission income	58,161	64,681	6,520	11.2%
Net trading, hedging and fair value income	19,645	13,710	(5,935)	-30.2%
Net other expenses/income	89	531	442	496.6%
OPERATING INCOME	140,144	141,834	1,690	1.2%
Payroll costs	(18,713)	(19,216)	(503)	2.7%
Other administrative expenses	(60,555)	(62,442)	(1,887)	3.1%
Recovery of expenses	21,230	23,277	2,047	9.6%
Value adjustments to property, plant and equipment and intangible assets	(2,173)	(2,330)	(157)	7.2%
Operating costs	(60,211)	(60,711)	(500)	0.8%
OPERATING PROFIT (LOSS)	79,933	81,123	1,190	1.5%
Net impairment losses on
loans and provisions for guarantees and commitments	(1,440)	(540)	900	-62.5%
NET OPERATING PROFIT (LOSS)	78,493	80,583	2,090	2.7%
Provisions for risks and charges	(1,439)	(2,377)	(938)	65.2%
Integration costs	(3)	(14)	(11)	366.7%
Net income from investments	-	8	8	n.c.
PROFIT (LOSS) BEFORE TAX
FROM CONTINUING OPERATIONS	77,051	78,200	1,149	1.5%
Income tax for the period	(25,829)	(26,506)	(677)	2.6%
PROFIT (LOSS) AFTER TAX FROM CONTINUING OPERATIONS	51,222	51,694	472	0.9%
NET PROFIT (LOSS) FOR THE PERIOD	51,222	51,694	472	0.9%

CONDENSED INCOME STATEMENT – QUARTERLY FIGURES

	2016	2016	2017	Changes
	1st Quarter	4th Quarter	1st Quarter	Y/Y	Q/Q
Net interest	62,249	63,412	62,906	1.1%	-0.8%
Dividends and other income from equity investments	-	6	6	n.c.	0.0%
Net fee and commission income	58,161	65,786	64,681	11.2%	-1.7%
Net trading, hedging and fair value income	19,645	11,343	13,710	-30.2%	20.9%
Net other expenses/income	89	(2,176)	531	496.6%	n.c.
OPERATING INCOME	140,144	138,371	141,834	1.2%	2.5%
Payroll costs	(18,713)	(16,633)	(19,216)	2.7%	15.5%
Other administrative expenses	(60,555)	(57,254)	(62,442)	3.1%	9.1%
Recovery of expenses Impairment/write-backs on	21,230	21,311	23,277	9.6%	9.2%
intangible and tangible assets	(2,173)	(2,733)	(2,330)	7.2%	-14.7%
Operating costs	(60,211)	(55,309)	(60,711)	0.8%	9.8%
OPERATING PROFIT (LOSS)	79,933	83,062	81,123	1.5%	-2.3%
Net write-downs of loans and provisions for guarantees and commitments	(1,440)	(678)	(540)	-62.5%	-20.4%
NET OPERATING PROFIT (LOSS)	78,493	82,384	80,583	2.7%	-2.2%
Provisions for risks and charges	(1,439)	3,914	(2,377)	65.2%	n.c.
Integration costs	(3)	(5,493)	(14)	366.7%	-99.7%
Net income from investments	-	(6,724)	8	n.c.	n.c.
PROFIT (LOSS) BEFORE TAX
FROM CONTINUING OPERATIONS	77,051	74,081	78,200	1.5%	5.6%
Income tax for the period	(25,829)	(24,610)	(26,506)	2.6%	7.7%
PROFIT (LOSS) AFTER TAX
FROM CONTINUING OPERATIONS	51,222	49,471	51,694	0.9%	4.5%
NET PROFIT (LOSS) FOR THE PERIOD	51,222	49,471	51,694	0.9%	4.5%

SOVEREIGN EXPOSURES

The following table shows the book value of the sovereign exposures in debt securities at March 31st, 2017, classified in the "Available-for-sale financial assets" and "Held-to-maturity investments" portfolio; they accounted for 18.65% of the Bank's total assets.

Please note that the Bank also holds sovereign exposures in debt instruments classified in the "Financial Assets held for trading" portfolio amounting to €6 thousand.

	Book value as at 03/31/2017	% of financial statement item
Italy	2,643,603
Available-for-sale financial assets	1,080,856	76.25%
Held-to-maturity investments	1,562,747	62.79%
France	10,253
Available-for-sale financial assets	10,253	0.72%
Spain	1,176,091
Available-for-sale financial assets	249,938	17.63%
Held-to-maturity investments	926,153	37.21%
USA	72,544
Available-for-sale financial assets	72,544	5.12%
Total Sovereign exposures - AFS and HTM	3,902,491	18.65%

(Amounts in € thousand)

OPERATING STRUCTURE

		Figures as at
	03/31/2016	12/31/2016	03/31/2017
No. of Employees	1,057	1,086	1,080
No. of Human Resources(1)	1,065	1,096	1,089
No. Personal financial advisors	2,634	2,628	2,639
No. Financial shops (2)	344	358	365

(1) Number of human resources: includes permanent employees, atypical employees, Directors and Group employees seconded to FinecoBank, net of FinecoBank employees seconded to the Group.

(2) Number of operating financial shops: financial shops managed by the Bank and financial shops managed by personal financial advisors (Fineco Centers).

BASIS OF PREPARATION

This Interim Financial Report as at March 31, 2017 - Press Release has been prepared on a voluntary basis to ensure consistency with previous quarterly reports. Under Legislative Decree 25/2016, implementing Directive 2013/50/EU, it is no longer obligatory to provide financial reporting more frequently than the half-year and annual reports. This Interim Financial Report at March 31st, 2017 - Press Release as well as the press releases on the significant events of the period, presentation to the market of the results of the first quarter of 2017 and the database are all available on FinecoBank's website.

The items in the condensed accounts of the balance sheet and income statement were prepared starting from the formats provided in the instructions in Circular 262/2005 issued by the Bank of Italy, to which the

reconciliations explained under the section "Reconciliation of condensed accounts to mandatory reporting" of the 2016 Financial Statements were introduced.

In order to provide additional information on the Bank's performance, several alternative performance indicators have been used - APM (such as Cost/income ratio, Cost of Risk, Guided products & services/AUM and Guided products & services/TFA), whose description is found in Attachment 2 "Glossary of technical terminology and acronyms used" of the 2016 Financial Statements, in line with the guidlines published by the European Securities and Markets Authority (ESMA/2015/1415) on October 5th, 2015.

The information disclosed in the Interim Financial Report at March 31st, 2017 - Press Release was not prepared according to the international accounting standard applicable to interim financial reports (IAS 34). The Interim Financial Report at March 31st, 2017 - Press Release, stated reclassified format, was prepared on the basis of the IAS/IFRS international accounting standards in force today, as explained in the "accounting policies" found in the Notes to the Accounts - Part A - Accounting Policies of the 2016 Financial Statements, except for the elements pointed out below. The recoverable value of the tangible and intangible assets, including goodwill and the assets whose valuation depends on the same estimates, was not remeasured for the purposes of the Interim Financial Report at March 31st, 2017 - Press Release. If necessary, the update of these valuations will be adopted in the Six-monthly Report at June 30th, 2017.

If the accounting recognition has not fully appreciated the pertinent period of the items not characterised by the "pro rata temporis" accrual such as, in particular, the administrative expenses, the accounting figure was integrated with budget-based estimates.

With reference to the ordinary contributions due to the Single Resolution Fund for the year 2017, this cost was estimated at zero on the basis of the information available at March 31st, 2017.

This Interim Financial Report at March 31st, 2017 - Press Release is not subject to audit by the external auditors.

CERTIFICATIONS AND OTHER COMMUNICATIONS

Related-Party Transactions

With reference to paragraph 8 of Article 5 "Disclosure of related-party transactions" of the Consob Regulation on related-party transactions (adopted by Consob with resolution no. 17221 of March 12th, 2010 and subsequently amended with Resolution no. 17389 of June 23rd, 2010), please note that the following transaction was carried out in the first quarter of 2017:

• on February 7th, 2017 the Board of Directors, upon recommendation by the Audit and Related Parties Committee, approved the renewal of the "Framework Resolution related to the entering into of hedging derivative contracts with the Parent Company or companies in the UniCredit Group", an ordinary Significant Transaction at market conditions with validity up until February 7th, 2018, which enables the Bank to enter into hedging derivatives with the Parent Company and with UniCredit Bank AG for commercial assets or liabilities that, for ALM purposes, require interest rate hedging for a maximum amount of €1,000 million with the Parent Company and €1,300 million with UniCredit Bank AG.

In relation to the above transaction, the Bank provided a simplified disclosure to CONSOB pursuant to Art. 13, paragraph 3, letter c) of CONSOB Regulation 17221/2010.

During the first quarter of 2017, no other transactions were undertaken with related parties that could significantly affect the Bank's asset situation and results, or atypical and/or unusual transactions, including intercompany and related party transactions.

Minor transactions were carried out with the Parent Company, other Group Companies and/or with related parties in general, both Italian and foreign, within the ordinary course of business and related financial activities of the Bank, at market or standard conditions.

Declaration of the nominated official in charge of drawing up company accounts

The undersigned Lorena Pelliciari, as Nominated Official in charge of drawing up Company Accounts of FinecoBank S.p.A.,

DECLARES

in compliance with the provisions of the second paragraph of Article 154-bis of the "Consolidated Finance Act", that the accounting information contained in this Interim Financial Report as at March 31st, 2017 corresponds to results in the Company's accounts, books and records.

Milan, May 9th, 2017

Nominated official in charge of

drawing up

company accounts

FIGURES AT APRIL 30TH, 2017

Net sales in the month of April alone came to €592 million (+59% y/y), with a marked improvement in the asset mix compared to the previous year, as has already been witnessed in the previous months. Assets under Management totalled €308 million (+182% y/y).

Total net sales came to €1,972 million, of which €1,155 million Assets under Management (+€1,100 million y/y) and €229 million Assets under Custody (-68% y/y), and direct deposits amounted to €589 million (-43% y/y). Total sales for "Guided Products & Services" came to €1,384 million (+72% y/y), making their percentage of total AUM rise to 59% compared to 48% in April 2016 and to 56% compared to December 2016.

Net sales through the network of Personal Financial Advisors in the first four months of the year totalled €1,780 million, up 14% on the same period of 2016.

New clients acquired since the beginning of the year were 41,527, of which 9,452 in the month of April alone (+23% y/y). The total number of clients at April 30th, 2017 was greater than 1,149,000, up 7% on April 2016.

Total assets were €62,965 million (+13% y/y).

Tables showing the figures for April 2017 are provided below.

TOTAL NET SALES	APRIL	JAN - APR	JAN - APR
	2017		2016
Assets under management	308	1,155	55
Assets under custody	$-229$	229	722
Direct deposits	513	589	1,030
TOTAL NET SALES	592	1,972	1,806

PFA NETWORK NET SALES	APRIL	JAN - APR	JAN - APR
	2017	2017	2016
Assets under management	305	1,145	67
Assets under custody	$-159$	160	561
Direct deposits	389	476	934
TOTAL NET SALES PFA NETWORK	534	1.780	1,562

TOTAL FINANCIAL ASSETS	APRIL	DECEMBER	APRIL
	2017	2016	2016
Assets under management	30,144	28,608	25,937
Assets under custody	13,743	13,078	13,246
Direct deposits	19,078	18,509	16,662
TOTAL FINANCIAL ASSETS	62,965	60,195	55,845

PFA NETWORK TFA	APRIL	DECEMBER	APRIL
	2017	2016	2016
Assets under management	29,628	28,105	25,442
Assets under custody	10,245	9,736	9,819
Direct deposits	14,049	13,593	12,274
PFA NETWORK TFA	53,922	51,434	47,535

FinecoBank

FinecoBank is the direct, multi-channel bank of the UniCredit Group. It has one of the largest advisory networks in Italy* and is the leading bank in Italy for equity trades**. FinecoBank offers an integrated business model combining direct banking and financial advice. With a single free-of-charge account including a full range of banking, credit, trading and investment services, which are also available through

applications for smartphone and tablet. With its fully integrated platform, FinecoBank is the benchmark for modern investors.

* Source: Assoreti

** Source: Assosim

Contact info: Fineco - Media Relations Fineco - Investor Relations Tel.: +39 02 2887 2256 Tel. +39 02 2887 3295 mediarelations@finecobank.com investors@finecobank.com

Barabino & Partners Tel. +39 02 72023535 Emma Ascani e.ascani@barabino.it +39 335 390 334

Tommaso Filippi t.filippi@barabino.it +39 366 644 4093