FinecoBank — Investor Presentation 2017

Nov 7, 2017

Fineco: 3Q17 Results

Milan, November 7th 2017 Alessandro Foti, CEO and General Manager

Disclaimer

• This Presentation may contain written and oral "forward-looking statements", which includes all statements that do not relate solely to historical or current facts and which are therefore inherently uncertain. All forward-looking statements rely on a number of assumptions, expectations, projections and provisional data concerning future events and are subject to a number of uncertainties and other factors, many of which are outside the control of FinecoBank S.p.A. (the "Company"). There are a variety of factors that may cause actual results and performance to be materially different from the explicit or implicit contents of any forward-looking statements and thus, such forwardlooking statements are not a reliable indicator of future performance. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable law. The information and opinions contained in this Presentation are provided as at the date hereof and are subject to change without notice. Neither this Presentation nor any part of it nor the fact of its distribution may form the basis of, or be relied on or in connection with, any contract or investment decision.
• The information, statements and opinions contained in this Presentation are for information purposes only and do not constitute a public offer under any applicable legislation or an offer to sell or solicitation of an offer to purchase or subscribe for securities or financial instruments or any advice or recommendation with respect to such securities or other financial instruments. None of the securities referred to herein have been, or will be, registered under the U.S. Securities Act of 1933, as amended, or the securities laws of any state or other jurisdiction of the United States or in Australia, Canada or Japan or any other jurisdiction where such an offer or solicitation would be unlawful (the "Other Countries"), and there will be no public offer of any such securities in the United States. This Presentation does not constitute or form a part of any offer or solicitation to purchase or subscribe for securities in the United States or the Other Countries.
• Pursuant the consolidated law on financial intermediation of 24 February 1998 (article 154-bis, paragraph 2) Lorena Pelliciari, in her capacity as manager responsible for the preparation of the Company's financial reports declares that the accounting information contained in this Presentation reflects FinecoBank's documented results, financial accounts and accounting records.
• This Presentation has been prepared on a voluntary basis since the financial disclosure additional to the half-year and annual ones is no longer compulsory pursuant to law 25/2016 in application of Directive 2013/50/EU, in order to grant continuity with the previous quarterly presentations. FinecoBank is therefore not bound to prepare similar presentations in the future, unless where provided by law.
• Neither the Company nor any of its representatives, directors or employees accept any liability whatsoever in connection with this Presentation or any of its contents or in relation to any loss arising from its use or from any reliance placed upon it.

Agenda

Focus on product areas

Key messages and Initiatives monitoring

Executive Summary

3Q17 gross operating profit strongly up (+20.7% y/y, +17.8% q/q), 9M17 at 256.2mln (+9.3% y/y net of non recurring items(1) ) confirming our sustainable growing path

9M17 net profit at 151.0mln (+7.8% y/y net of non recurring items(1) ), 3Q17 at 46.8mln (+18.1% y/y, +0.2% q/q net of non recurring items(1) ) despite Deposit guarantee scheme contribution (-12.4mln gross) Relentless and sound revenue growth boosted by net interest income and fees and commissions: 9M17 revenues reaching 430.9mln (+6.3% y/y net of non recurring items(1) ) and 3Q17 at 148.2mln

(+12.5% y/y and 5.3% q/q) with all the businesses performing strong

9M17 Operating Costs well under control at 174.7mln (+2.1% y/y) and C/I ratio net of non recurring items(1) down 1.7p.p. confirming operating leverage as a key strength of the bank

Strong capital position: CET1 ratio transitional at 20.74%

Solid and sustainable commercial activity with a relentless improvement in the asset mix:

• Net sales at 4.7bn (+19% y/y) as of Oct.17, of which 61% AuM (36% as of Oct.16)
• Guided Products & Services increased the penetration rate on AuM stock at 62% (+7 p.p. y/y)
• Total Financial Assets at 66.3bn (+14% y/y) as of Oct.17
• Over 1.188 mln clients (+7% y/y), 97,307 new clients in the first ten months of 2017 (+7% y/y), of which 10,257 new clients in Oct.17 (+10% y/y)

Results

Strong growth in Operating profit both q/q and y/y. Net profit affected by systemic charges, but up +7.8% y/y net of voluntary scheme one-off

(1) 9M16 non recurring items: Visa sale(revenues) +15.3mln gross, +10.3mln net in 2Q16; positive closing of tax dispute +6.5mln tax release. 9M17 non recurring items: FITD/ Voluntary Scheme -8.8mln gross, -5.9mln net. Delta y/y calculated on 9M16 and 3Q16 net of non recurring items. Adj. Cost/Income and adj. RoE calculated net of non recurring items. See page 33 for details.

5 (2) Voluntary Scheme): -8.8mln gross (-5.9mln net) in 3Q17. See page 33 for details

Revenues and Operating Costs

Operating leverage constantly delivered thanks to a relentless revenue growth and operating costs well under control

Operating Leverage

(1) gain on Visa sale in 2Q16: +15.3mln gross . Adj. Cost/Income calculated net of non recurring items. See page 33 for details.

(2) in 1Q16, 704mln (nominal value) of Spanish and Italian government bonds at variable rate and residual maturity <3yrs sold. Govies at fixed rate

6

Net interest income (1/2)

Remarkable net interest income dynamics in a negative rate environment. The announced focus on high quality lending is starting to pay-off

(1) Financial investments include interest income coming from the reinvestments of deposits (both sight and term) in: Government bonds, UC bonds and Other Financial Investments (repos and immediate available liquidity)

(2) Lending: only interest income

7

(3) Other net interest income includes Security Lending, Leverage and other (mainly marketing costs), other interest-earning assets include Security Lending and Leverage. See page 35 for details.

(4) Gross margins: interest income related to financial investments, lending, leverage, security lending on interest-earning assets

Net interest income (2/2)

More diversification and further opportunities coming from the maneuvering on current accounts. Sensitivity analysis +100bps parallel shift: +132 mln

Focus on Government Bonds

Manoeuvring on current account rates

Starting from Jan. 2018, current accounts under the old pricing structure(2) (variable rate, client's remuneration at 75% of 1month

Euribor with floor at zero) will be transformed from variable to fixed rate equal to zero.

As of Sep. 30th 2017, 59% of sight deposits (~11.6 bn), is linked to the Euribor.

Benefits

• Rebalancing the Balance Sheet structure (ALM) through a new balance between funding costs and investment rates structure
• No impacts for clients as 1M Eur is still negative
• New Sensitivity analysis: +100bps parallel shift (1M Eur) -> +132mln additional Net Interest Income

(1) Other includes 10mn of French Government Bonds and 44mln of Polish Government Bonds

(2) Current accounts opened before 2012. Starting from March 19th 2012, Fineco has been offering to its banking clients only "zero costs and zero

Sustainability analysis

Sight deposits growth to offset lower rates and bond portfolio run-off

Minimum sight deposits growth to maintain interest income from UC bonds ptf quite aligned to 2016

Commissions and Trading Income

Sound and diversified stream of revenues thanks to our one-stop-solution model. Management fees strongly up +14.5% y/y

(1) 2Q16 non recurring items: gain on Visa sale (revenues): +15.3mln gross

(2) In 1Q16: sale of 704mln (nominal value) Spanish and Italian Govies at variable rate and residual maturity <3yrs and consequent purchase of Govies at fixed rate with maturities between 3 and 6 years

10

Costs

Cost efficiency and operating leverage confirmed in our DNA

Staff expenses and FTE Stock Granting post IPO

(1) Breakdown between development and running costs: managerial data

Other administrative expenses(1) Write-down/backs and depreciation

Capital Ratios

Best in class capital position and low risk balance sheet.

Note: As intra-semester results are not review by external auditor firm,Sept.17 CET1 is affected by a temporary effect related to deductions of LLP and write-down of Volutary Scheme (~10mln). Net of these deductions, Sept.17 CET1 Capital at 464 mln and CET1 Ratio transitional at 21.22%.

TFA

Relentless TFA growth thanks to a healthy expansion in net sales. Guided products & Services increased at 61% of total AuM

TFA breakdown

Successful shift towards high added value products

Guided Products includes Advice service which comprises a small component of AuC and Deposits (0.5bn in Sep.17, 0.4bn in Jun.17, 0.4bn in Dec.16, 0.3bn in Dec.15 and 0.3bn in Dec.14)

Net sales breakdown

Net sales highlights the continuous improvement in the asset mix thanks to the increasing productivity of the network

Organic growth

Net sales organically generated confirmed as key in our strategy of growth

of PFAs recruited in the period

Agenda

Fineco Results

Focus on product areas

Key messages and Initiatives monitoring

17

Revenues by Product Area

Well diversified stream of revenues allow the bank to successfully face any market environment

9M17 weight on total revenues for each product area

18

Managerial Data. Revenues attributable to single each product area, generated by products / services offered to customers according to the link between products and product area. Banking includes revenues generated by direct deposits and credit products; Investing includes revenues generated by asset under management products; Brokerage includes revenues from trading activity

Banking

Sound performance driven by strong volume growth and customer acquisition thanks to high quality services and customer satisfaction

Managerial Data

Brokerage

Outstanding brokerage results despite the lowest volatility since 2013 confirming the strong potential of this business

Managerial Data

20 (1) Volatility calculated as average volatily of FTSEMIB, DAX, SP500, weighted on related executed orders by our clients. Revenues calculated as brokerage gross core revenues (NII excluded).

Investing

Successful strategy on cyborg advisory approach drove a better asset mix and increasing fees

+13.9% +2.4%

Mar.17

Dec.16

Sep.16

27.5

28.6

29.7

Jun.17

30.6

31.3

Sep.17

Managerial Data

(1) Mainly PFAs annual bonus

Agenda

Fineco Results

Focus on product areas

Key messages and Initiatives monitoring

3 Pillars: Efficiency, Innovation and Transparency The keys of our strategy, still leading our sustainable growth

Strong focus on IT & Operations, more flexibility, less costs

EFFICIENCY INNOVATION TRANSPARENCY Anticipate new needs simplifying customers' life

We built everything from scratch

Freedom: Freedom to start over «from scratch», build a new bank, the best you can imagine Proprietary back-end: In-house development and automated processes allow an efficient cost structure and fast time to market

Excellent offer: Unique customer user experience, top quality in all services

We were true pioneers

Fineco anticipated a main market trend: digitalization Moving customer's focus from proximity to service and quality

We believe in a "Quality" One Stop Solution

Providing all services in a single account is a distinctive feature but it's not enough. Gaining a competitive edge requires high quality on each single service and product

In July Standard Ethics(1) upgraded our Standard Ethics Rating(2) to "EE", a "full investment grade" given to sustainable companies with low reputational risk profile and strong prospects for long-term growth

(1) Standard Ethics is an independent agency which assigns Solicited Sustainability Ratings to companies and sovereign issuers. Fineco is included in the Standard Ethics Italian Banks Index© and in the Standard Ethics Italian Index, among the major environmental, social and governance performance indices and benchmarks.

(2) The Standard Ethics Rating is an assessment of sustainability and governance based on the principles and voluntary directions of the United Nations, the Organization for Economic Cooperation and Development (OECD) and the European Union.

9M17 key messages

Healthy growth and sustainability at the heart of Fineco's business model

Clients' acquisition leveraging on high quality services. Cost of funding close to zero

• Organic growth as main engine of growth. Selected recruits to improve the quality and related costs well under control
• High quality Lending with low cost of risk, strong competitive advantage leveraging on Big Data analytics

Delivery of consistent results in every market condition

• Growing revenues thanks to a very well diversified business model with smooth quarterly path
• Sound Brokerage performance in the period, despite the lowest volatility since 2013
• Costs under control on the wave of a huge operating leverage, strong IT internal culture

(1) Net Profit adjusted net of Deposit Guarantee Scheme (2015 DGS: -3.1mln net, 2016 DGS : -7.1mln net, 2017 DGS: -8.3 mln net)

Boost in high quality lending volume offered exclusively to the existing base of clients, leveraging on our internal Big Data analytics

(1) Other loans include current receivables associated with the provisions of financial services (91 mln in Sep.17 vs 82 mln in Dec.16), collateral deposits and initial and variation margins (38 mln in Sep.17 vs 34mln in Dec.16), bad loans (2 mln in Sep.17 vs 3 mln in Dec.16), other (-0.1 mln in Sep.17 vs -1mln in Dec.16)

(2) Cost of risk: ratio between annualized net write-downs of loans and provisions for guarantees and commitments to Loans and receivables with customers (average of the balance at period end and the balance at Dec.31st of the previous year)

25

Initiatives monitoring - Banking Area

Boost in high quality lending volume offered exclusively to the existing base of clients, leveraging on our internal Big Data analytics

Mortgages Personal loans Lombard loans

Very low expected Cost of Risk (~10 bps)

26

Initiatives monitoring - Investing Area

Increase network's productivity and Private Banking

Private Banking Total Financial Assets

• Private Banking area is experiencing a huge growth both in terms of assets and clients. Through Private Banking we want to create a deeper relationship with the client, combining advanced technology with the unique professional skills of our advisors to achieve client's life goals
• Tailor-made solutions, portfolio analysis and monitoring, investment advisory, fund research and selection

Fineco Asset Management - FAM (1/3) Process update

The project is on track as expected (go live by the end of 2Q 2018):

• Implementation phase started, all internal approvals have been collected and company's registration obtained
• Authorization process with Central Bank of Ireland started. Formal submission by the end of November (expected closing in 4-6 months)
• Official tax ruling with Italian and Irish Tax Authorities expected to start within the end of November

The asset migration agreement related to 'old' Core Series is ongoing

Fineco Asset Management - FAM (2/3)

Focus on products and services

FAM Single Funds FAM Single Funds

Description: sub-adviced single funds, with best brands and best portfolio managers

Destination: all retail's offer range: à la carte, Advice and Stars (portfolio solutions)

FAM Building Blocks FAM Building Blocks

Description: FAM Funds of Funds. Solutions with internal rebalancing. No cost of mandate

Composition: FAM single funds (Institutional Class), third parties Institutional funds, ETFs

Destination: all retail's offer range: à la carte, Advice and Stars (portfolio solutions)

«Old» Core Series

Description: existing multi-segment and multi-class Funds of Funds (~7bn)

RETAIL CLASS INSTITUTIONAL CLASS

Description: sub-adviced single funds, with best brands and best portfolio managers

Destination: wrappers (insurance wrappers, «old» Core Series, Building Blocks)

Description: FAM Funds of Funds. Solutions for insurance wrappers. No cost of mandate

Composition: FAM single funds (Institutional Class), third parties Institutional funds, ETFs

Destination: Insurance offer: Core Unit, Advice Unit, etc.

(1) Consolidated margins, net of taxes

Underlying assumptions: Retail class -> hp revenue split: 60% Italy - 40% remains in FAM (Ireland); Institutional class -> 100% revenues remains in FAM (Ireland), no PFAs involvement

Cooperative Compliance Scheme:

FinecoBank admitted in the Cooperative Compliance Scheme with the Revenue Agency

In July 2017, FinecoBank has been admitted to the Cooperative Compliance Scheme(1) , which allows the Bank to take part to a register of taxpayers (published on the Revenue Agency's official website) operating in full transparency with the Italian tax Authorities. This is a fundamental milestone for our Bank

Until now, only 4 companies have been admitted in Italy: Fineco, UniCredit, Leonardo and Ferrero

Key requirements to be admitted:

• subjective and objective requirements (resident legal entities with specific sizing thresholds)
• effective system in place for identifying, measuring, managing and controlling tax risk in line with the "essential" requirements of the Tax Control Framework envisaged by law, Revenue Agency ordinances and by the OECD documents published on the subject

Several advantages:

• closer relationship of trust and cooperation with the Revenue Agency
• Increase of the level of certainty on significant tax issues under conditions of full transparency
• agreed and preventive risk assessment of situations likely to generate tax risks
• fast track ruling

Annex

P&L

mln	1Q16	2Q16	3Q16	4Q16	FY16	1Q17	2Q17	3Q17	9M16	9M17
Net interest income	62.2	61.2	62.5	63.4	249.4	62.9	64.3	67.4	186.0	194.6
Net commissions	58.2	59.7	59.3	65.8	242.9	64.7	65.0	69.7	177.1	199.4
Trading profit	19.6	27.3	10.8	11.3	69.1	13.7	12.3	11.1	57.7	37.1
Other expenses/income	0.1	0.7	-0.8	-2.2	-2.2	0.5	-0.8	0.1	0.0	-0.2
Total revenues	140.1	148.8	131.8	138.4	559.1	141.8	140.8	148.2	420.7	430.9
Staff expenses	-18.7	-19.0	-19.3	-16.6	-73.7	-19.2	-19.7	-19.8	-57.1	-58.7
Other admin.exp. of recoveries net	-39.3	-36.1	-31.4	-35.9	-142.7	-39.2	-38.2	-31.1	-106.8	-108.5
D&A	-2.2	-2.4	-2.6	-2.7	-10.0	-2.3	-2.5	-2.6	-7.2	-7.5
Operating expenses	-60.2	-57.5	-53.4	-55.3	-226.4	-60.7	-60.4	-53.5	-171.1	-174.7
operating profit Gross	79.9	91.3	78.4	83.1	332.7	81.1	80.4	94.7	249.7	256.2
Provisions	-1.4	-1.1	-11.3	3.9	-10.0	-2.4	-0.8	-21.0	-13.9	-24.2
LLP	-1.4	-1.4	-0.7	-0.7	-4.2	-0.5	-1.0	-1.5	-3.5	-3.1
Integration costs	0.0	0.0	0.0	-5.5	-5.5	0.0	0.0	0.0	0.0	0.0
Profit from investments	0.0	0.0	0.0	-6.7	-6.7	0.0	-0.4	-1.4	0.0	-1.8
Profit before taxes	77.1	88.8	66.4	74.1	306.3	78.2	78.3	70.7	232.3	227.2
Income taxes	-25.8	-22.3	-21.8	-24.6	-94.5	-26.5	-25.7	-23.9	-69.9	-76.1
Net profit for the period	51.2	66.6	44.6	49.5	211.8	51.7	52.6	46.8	162.4	151.0
Income(1) Normalised Net	51.2	49.8	44.6	55.1	200.7	51.7	52.6	52.7	145.6	156.9

recurring items (mln, gross) Non	1Q16	2Q16	3Q16	4Q16	FY16	1Q17	2Q17	3Q17	9M16	9M17
VISA (Trading Profit) sale		15.3			15.3		0.0		15.3	0.0
(2) Extraord systemic charges (Provisions)				3.7	3.7			-7.4	0.0	-7.4
(3) Extraord systemic charges (Profit from investm)				-6.7	-6.7			-1.4	0.0	-1.4
Integration costs				-5.5	-5.5				0.0	0.0
of Release taxes		6.5			6.5		0.0		6.5	0.0
Total	0.0	21.9	0.0	-8.5	13.3	0.0	0.0	-8.8	21.9	-8.8

(1) Net of non recurring items

(2) 4Q16: related to Solidarity fund for retail clients invested in subordinated bonds issued by 4 Italian banks rescued in 2016. 3Q17 write-down related to the residual commitment to the Voluntary Scheme (Cassa di Risparmio Rimini and Cassa di Risparmio San Miniato)

33 (3) 4Q16: FITD (Voluntary scheme) for Cassa di Risparmio di Cesena (aucap). 3Q17: write-down related to Voluntary Scheme (contribution for the capital increase of Cassa di Risparmio Rimini and Cassa di Risparmio San Miniato)

P&L net of non recurring items

mln	3Q16	9M16 Adj. (1)	2Q17	3Q17 Adj. (1)	9M17 Adj. (1)	9M17/ 9M16	3Q17/ 3Q16	3Q17/ 2Q17
Net interest income	62.5	186.0	64.3	67.4	194.6	4.6%	7.7%	4.8%
Net commissions	59.3	177.1	65.0	69.7	199.4	12.6%	17.6%	7.2%
Trading profit	10.8	42.4	12.3	11.1	37.1	-12.4%	3.2%	-9.4%
Other expenses/income	-0.8	0.0	-0.8	0.1	-0.2	n.m.	n.m.	n.m.
Total revenues	131.8	405.4	140.8	148.2	430.9	6.3%	12.5%	5.3%
Staff expenses	-19.3	-57.1	-19.7	-19.8	-58.7	2.9%	2.2%	0.3%
Other admin.expenses	-31.4	-106.8	-38.2	-31.1	-108.5	1.6%	-0.8%	-18.6%
D&A	-2.6	-7.2	-2.5	-2.6	-7.5	3.4%	0.7%	5.0%
Operating expenses	-53.4	-171.1	-60.4	-53.5	-174.7	2.1%	0.3%	-11.4%
Gross operating profit	78.4	234.3	80.4	94.7	256.2	9.3%	20.7%	17.8%
Provisions	-11.3	-13.9	-0.8	-13.6	-16.8	20.8%	20.3%	n.m.
LLP	-0.7	-3.5	-1.0	-1.5	-3.1	-12.8%	112.2%	52.6%
Integration costs	0.0	0.0	0.0	0.0	0.0	n.m.	n.m.	n.m.
Profit from investments	0.0	0.0	-0.4	0.0	-0.4	n.m.	n.m.	n.m.
Profit before taxes	66.4	216.9	78.3	79.5	236.0	8.8%	19.8%	1.6%
Income taxes	-21.8	-71.3	-25.7	-26.8	-79.0	10.8%	23.2%	4.5%
Net profit adjusted 1	44.6	145.6	52.6	52.7	156.9	7.8%	18.1%	0.2%

¹ Adj. Net Profit net of non recurring items (see page 33)

Details on Net Interest Income

mln	1Q16	Volumes & Margins	2Q16	Volumes & Margins	3Q16	Volumes & Margins	1Q17	Volumes & Margins	2Q17	Volumes & Margins	3Q17	Volumes & Margins	9M16	Volumes & Margins	9M17	Volumes & Margins
Sight Deposits	55.4	15,328	54.2	16,105	54.6	16,663	55.4	18,193	55.6	18,824	57.2	19,321	164.2	16,032	168.3	18,779
Net Margin		1.45%		1.35%		1.30%		1.24%		1.18%		1.18%		1.37%		1.20%
Term Deposits	-0.3	628	-0.3	540	-0.2	413	-0.1	131	0.0	50	0.0	26	-0.8	527	-0.2	69
Net Margin		-0.19%		-0.22%		-0.20%		-0.31%		-0.39%		-0.42%		-0.21%		-0.34%
Security Lending	1.0	1,094	1.0	1,217	0.8	1,037	0.7	938	0.6	831	0.5	764	2.8	1,116	1.8	844
Net Margin		0.37%		0.33%		0.31%		0.30%		0.30%		0.24%		0.34%		0.28%
Leverage - Long	1.8	118	1.6	106	1.6	103	1.9	130	2.2	152	2.6	173	5.0	109	6.6	152
Net Margin		6.20%		6.19%		6.11%		6.18%		6.13%		6.29%		6.16%		6.21%
Lendings	5.1	511	5.4	555	5.7	674	6.5	794	7.5	1,010	8.0	1,261	16.1	580	22.0	1,022
Net Margin		3.98%		3.88%		3.35%		3.33%		2.97%		2.52%		3.71%		2.88%
o/w Current accounts 1.4		222	1.4	241	1.5	264	1.7	312	1.8	340	1.9	410	4.3	242	5.3	354
Net Margin		2.53%		2.34%		2.20%		2.15%		2.09%		1.86%		2.35%		2.02%
o/w Cards	1.1	141	1.1	142	1.1	217	1.1	207	1.1	216	1.2	232	3.3	166	3.5	219
Net Margin		3.13%		3.13%		2.10%		2.22%		2.12%		2.04%		2.68%		2.12%
o/w Personal loans	2.6	148	2.9	173	3.2	194	3.7	257	3.9	297	4.0	317	8.8	171	11.6	290
Net Margin		7.18%		6.84%		6.52%		5.78%		5.31%		5.03%		6.82%		5.35%
o/w Mortgages							0.1	18	0.6	158	0.9	301	0.0	0	1.6	159
Net Margin								1.60%		1.59%		1.15%		0.00%		1.32%
(1) Other	-0.7		-0.7		0.0		-1.5		-1.5		-0.9		-1.4		-3.9
Total	62.2		61.2		62.5		62.9		64.3		67.4		186.0		194.6

Volumes and margins: average of the period Net margin calculated on real interest income and expenses

UniCredit bonds underwritten

ISIN	Currency	Amount (€ m)	Maturity	Indexation	Spread
1 IT0004307861 Amortizing	Euro	150.0	2-Oct-17	Euribor 1m	0.51%
IT0004307861 Amortizing	Euro	150.0	2-Jan-18	Euribor 1m	0.51%
2 IT0005010258	Euro	382.5	27-Jul-17	Euribor 1m	1.94%
3 IT0005010738	Euro	382.5	25-Oct-17	Euribor 1m	2.01%
4 IT0005010266	Euro	382.5	24-Jan-18	Euribor 1m	2.08%
5 IT0005010274	Euro	382.5	23-Apr-18	Euribor 1m	2.14%
6 IT0005010290	Euro	382.5	23-Jul-18	Euribor 1m	2.19%
7 IT0005010357	Euro	382.5	19-Oct-18	Euribor 1m	2.24%
8 IT0005010373	Euro	382.5	18-Jan-19	Euribor 1m	2.29%
9 IT0005010613	Euro	382.5	1-Apr-19	Euribor 1m	2.33%
10 IT0005010282	Euro	382.5	15-Jul-19	Euribor 1m	2.37%
11 IT0005010399	Euro	382.5	14-Oct-19	Euribor 1m	2.40%
12 IT0005010324	Euro	382.5	13-Jan-20	Euribor 1m	2.44%
13 IT0005010365	Euro	382.5	10-Apr-20	Euribor 1m	2.47%
14 IT0005010308	Euro	382.5	9-Jul-20	Euribor 1m	2.49%
15 IT0005010381	Euro	382.5	7-Oct-20	Euribor 1m	2.52%
16 IT0005010332	Euro	382.5	6-Jan-21	Euribor 1m	2.54%
17 IT0005010316	Euro	382.5	6-Apr-21	Euribor 1m	2.56%
18 IT0005010340	Euro	382.5	5-Jul-21	Euribor 1m	2.58%
19 IT0005010225	Euro	382.5	18-Oct-21	Euribor 1m	2.60%
20 IT0005010142	USD1	42.4	19-Apr-18	USD Libor 1m	2.34%
21 IT0005010134	USD1	42.4	1-Apr-19	USD Libor 1m	2.53%
22 IT0005010860	USD1	42.4	7-Apr-20	USD Libor 1m	2.66%
23 IT0005010217	USD1	42.4	1-Apr-21	USD Libor 1m	2.75%
24 IT0005158503	USD1	42.4	23-Dec-22	USD Libor 1m	1.93%
25 IT0005040099	Euro	100.0	24-Jan-22	Euribor 1m	1.46%
26 IT0005057994	Euro	200.0	11-Apr-22	Euribor 1m	1.43%
27 IT0005083743	Euro	300.0	28-Jan-22	Euribor 1m	1.25%
28 IT0005106189	Euro	230.0	20-Apr-20	Euribor 1m	0.90%
29 IT0005114688	Euro	180.0	19-May-22	Euribor 1m	1.19%
30 IT0005120347	Euro	700.0	27-Jun-22	Euribor 1m	1.58%
31 IT0005144065	Euro	450.0	14-Nov-22	3m2 Euribor	1.40%
32 IT0005144073	Euro	350.0	15-Nov-21	3m2 Euribor	1.29%
33 IT0005158412	Euro	250.0	23-Dec-22	3m2 Euribor	1.47%
34 IT0005163180	Euro	600.0	11-Feb-23	3m2 Euribor	1.97%
35 IT0005175135	Euro	100.0	24-Mar-23	3m2 Euribor	1.58%
36 IT0005217606	Euro	350.0	11-Oct-23	3m2 Euribor	1.65%
37 IT0005241317	Euro	622.5	2-Feb-24	3m2 Euribor	9M17 1.52%
Total	Euro	11,617.5		Euribor 1m	1.987%
	1 USD	211.8		USD Libor 1m	2.442%

Amounts expressed at EUR/USD 1.1806 exchange rate (as of September 30th)

In order to calculate an average spread on Eur1m, a basis swap of 0.06% is considered

Details on Net Commissions

mln	1Q16	2Q16	3Q16	1Q17	2Q17	3Q17	9M16	9M17
Brokerage	20 3	18 5	16 6	20 3	18 3	16 8	55 3	55 3
o/w
Equity	16 5	15 2	12 9	16 7	15 2	13 5	44 6	45 4
Bond	1 1	1 1	0 9	1 0	0 9	0 7	3 2	2 7
Derivatives	3 2	2 6	2 4	2 4	2 0	1 9	8 1	6 3
commissions(1) Other	-0 5	-0 5	0 4	0 1	0 2	0 6	-0 6	0 9
Investing	5 37	40 2	41 0	43 7	44 6	47 1	118 6	135 4
o/w
Placement fees	1 8	2 8	2 4	3 1	2 9	2 3	0 7	8 3
Management fees	40 0	40 5	43 0	45 3	47 4	48 5	123 5	141 3
PFA's to	-4 3	-3 2	-4 4	-4 7	-5 7	-3 7	-11 9	-14 2
Banking	0 3	0 8	1 6	0 6	1 9	5 7	2 7	8 2
Other	0 1	0 3	0 1	0 1	0 2	0 2	0 5	0 5
Total	58 2	59 7	59 3	64 7	65 0	69 7	177 1	199 4

(1) Other commissions include security lending and other PFA commissions related to AuC

Revenue breakdown by Product Area

mln	1Q16	2Q16	3Q16	1Q17	2Q17	3Q17	9M16	9M17
Net interest income	59 7	58 9	59 9	61 9	63 0	65 5	178 5	190 4
Net commissions	0 3	0 8	1 6	0 6	1 9	5 7	2 7	8 2
Trading profit	0 9	1 1	0 9	1 3	1 0	0 8	2 9	3 1
Other	0 0	0 1	0 1	0 1	0 1	0 1	0 1	0 3
Total Banking	61 0	60 8	62 5	64 0	66 1	72 0	184 2	202 1
Net interest income	0 0	0 0	0 0	0 0	0 0	0 0	0 0	0 0
Net commissions	37 5	40 2	41 0	43 7	44 6	47 1	118 6	135 4
Trading profit	0 0	0 0	0 0	0 0	0 0	0 0	0 0	0 0
Other	0 0	0 0	0 0	0 0	0 0	0 0	0 0	0 0
Total Investing	5 37	40 2	41 0	43 7	44 6	47 1	118 6	135 4
Net interest income	3 0	2 8	2 6	2 8	3 2	3 4	8 4	9 4
Net commissions	20 3	18 5	16 6	20 3	18 3	16 8	3 55	3 55
Trading profit	13 3	11 1	9 6	11 5	10 4	9 7	33 9	31 6
Other	0 0	0 0	0 0	0 0	0 0	0 0	0 0	0 0
Total Brokerage	36 6	32 3	28 7	34 6	31 9	29 9	97 6	96 3

Managerial Data

Breakdown Total Financial Assets

mln	Mar 16	Jun 16	Sep 16	Dec 16	Mar 17	Jun 17	Sep 17
AUM	25 565 ,	25 911 ,	27 522 ,	28 608 ,	29 742 ,	30 614 ,	31 339 ,
o/w Funds and Sicav	22 332 ,	22 395 ,	23 645 ,	24 258 ,	24 984 ,	25 461 ,	25 901 ,
o/w Insurance	3 219 ,	3 505 ,	3 865 ,	4 339 ,	4 749 ,	5 145 ,	5 431 ,
o/w GPM	14	12	12	11	9	9	7
AUC	12 889 ,	12 688 ,	051 13 ,	13 078 ,	895 13 ,	13 870 ,	14 341 ,
o/w Equity	6 718 ,	6 526 ,	6 877 ,	7 135 ,	7 969 ,	8 110 ,	8 531 ,
o/w Bond	6 086 ,	6 081 ,	6 091 ,	5 859 ,	5 858 ,	5 700 ,	5 763 ,
o/w Other	85	82	83	84	68	60	47
Direct Deposits	16 527 ,	16 965 ,	16 989 ,	18 509 ,	18 566 ,	19 142 ,	19 674 ,
o/w Sight	15 915 ,	16 491 ,	16 638 ,	18 296 ,	18 504 ,	19 105 ,	19 659 ,
o/w Term	612	475	351	213	62	38	15
Total	54 980 ,	55 564 ,	57 562 ,	60 195 ,	62 202 ,	63 627 ,	65 355 ,
o/w Guided Products & Services	12 082 ,	13 298 ,	14 949 ,	16 135 ,	17 470 ,	18 399 ,	19 190 ,

Balance Sheet

mln	Mar 16	Jun 16	Sep 16	Dec 16	Mar 17	Jun 17	Sep 17
from Due Banks	15 404 ,	15 299 ,	14 442 ,	15 736 ,	15 462 ,	14 827 ,	14 293 ,
Customer Loans	827	880	972	1 017 ,	1 166 ,	1 504 ,	1 716 ,
Financial Assets	2 629 ,	2 933 ,	3 592 ,	3 764 ,	3 912 ,	4 770 ,	429 5 ,
Tangible and Intangible Assets	111	111	112	112	112	113	113
Derivatives	7	9	8	9	12	15	16
Other Assets	286	328	327	349	262	284	249
Total Assets	19 265 ,	19 561 ,	19 453 ,	20 986 ,	20 927 ,	21 513 ,	21 815 ,
Customer Deposits	16 693 ,	17 133 ,	17 250 ,	18 801 ,	18 884 ,	19 441 ,	20 008 ,
Due Banks to	1 504 ,	1 362 ,	1 139 ,	1 111 ,	980	930	697
Derivatives	20	18	15	11	17	16	19
Funds and other Liabilities	355	446	392	382	314	506	421
Equity	692	603	656	681	732	621	672
Total Liabilities and Equity	19 265 ,	19 561 ,	19 453 ,	20 986 ,	20 927 ,	21 513 ,	21 815 ,

	Mar	Jun	Sep	Dec	Mar	Jun	Sep
	16	16	16	16	17	17	17
PFA TFA/ PFA (mln) (1)	17 8	17 9	18 8	19 6	20 2	20 7	21 4
Guided / Products TFA (2)	22%	24%	26%	27%	28%	29%	29%
Cost / (3) income Ratio	43 0%	43 0%	42 2%	41 6%	42 8%	42 9%	40 5%
CET	21	22	23	22	22	22	20
1	3%	7%	1%	9%	2%	1%	7%
Ratio
(4)	43	42	40	40	39	39	39
Adjusted	4%	1%	0%	8%	5%	3%	0%
RoE
Ratio	10	9	8	8	7	6	5
(5)	14%	46%	23%	26%	89%	79%	95%
Leverage

(1) PFA TFA/PFA: calculated as end of period Total Financial Assets related to the network divided by number of PFAs eop

(2) Calcuated as Guided Products eop divided by Total Financial Assets eop

(3) C/I ratio net of non recurring items (see page 33) calculated as Operating Costs divided by Revenues net of non recurring items

(4) Adjusted RoE: annualized Net Profit, net of non recurring items (see page 33) divided by the average book shareholders' equity for the period (excluding dividends expected to be distributed and the revaluation reserves)

(5) Leverage ratio based on CRR definition, according to the EC Delegated Act 2015/62 regarding the exclusion of intra-group exposure

Highly scalable operating platform

Platform excellence and cost discipline providing strong operating leverage

Stated Revenues, Operating Costs, Cost/Income Ratio as of December 2016 Financial Income Statement.