FinecoBank — Investor Presentation 2017

Feb 7, 2017

Fineco: 4Q16 Results

Milan, February 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 the FinecoBank's documented results, financial accounts and accounting records.
• In order to provide further guidance concerning the performance achieved by the Bank, some alternative performance indicators IAP (such as Cost/Income ratio, Cost of Risk, PFA TFA/TFA, Guided Products/AUM, Guided Products/TFA, Organic Net Sales, Adj. RoE) and their descriptions are included in Press Release of 31st December 2016 and in this Presentation, in accordance with guidelines published on October 5th, 2015 by European Securities and Markets Authority (ESMA/2015/1415)
• 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.

Executive Summary

2016 net profit at 211.8mln (+10.9% y/y), 200.7mln (+3.7% y/y) excluding non-recurring items(1) despite -10.6mln gross related to Deposit Guarantee Scheme (-4.7mln DGS in 2015). On a comparable basis, 2016 net profit at 207.8mln (+5.7% y/y), confirming the effectiveness of a unique business model able to generate strong and sustainable performance in every market condition

4Q16 net profit at 49.5 mln (+10.9% q/q, +17.2% y/y), 55.1mln excluding non-recurring items(2) (+23.5% q/q, +23.5% y/y), the best quarter of the year

Cost/income excluding non-recurring items down 1p.p. y/y at 42% mainly thanks to positive dynamics on net interest income (+3.6% y/y) and investing fees (+3.9% y/y) coupled with lower operating costs (-2.7% y/y) confirming operating leverage as a key strength of the bank

Strong capital position: CET1 ratio transitional at 22.9% with a proposal of 28 cents dividend per share (+9.8% y/y), pay-out ratio at 80%

Sustainable and high-quality commercial performance: over 1.1mln customers in 2016 (+7% y/y) and net sales at 5.0bn with Guided products and services as lion share in the growth: 3.9bn net sales out of 1.8bn AuM, strong acceleration in the penetration rate (56% on total AuM, +11 p.p. y/y)

⁽¹⁾ 2016 non-recurring items: gain on Visa sale (revenues): +10.3mln net; positive closing of tax dispute: +6.5mln tax release; releases of provisions: Solidarity Fund +1.5mln net and Tercas +1.0mln net; Integration costs: -3,7mln net; write-down of Cassa di Risparmio di Cesena stake: -4.5mln net. 2015 non-recurring items: Provisions for risk and charges (Solidarity fund) -1.5mln net; Integration costs: -0.83mln net

3 (2) 4Q16 non-recurring items: releases of provisions: Solidarity Fund +1.5mln net and Tercas +1.0mln net; Integration costs: -3,7mln net; write-down

of Cassa di Risparmio di Cesena stake: -4.5mln net

Agenda

Focus on product areas

Key messages and further opportunities

Results

2016 Net Profit adjusted(1) grew +3.7% y/y despite increased systemic charges, +5.7% y/y net of Deposit Guarantee Scheme. Cost/Income adjusted(1) down 1p.p. at 42%

Revenues, mln Operating Costs, mln

138.4 559.1 2016 +1.1% 544.3 +5.0% 4Q15 4Q16 2015 136.8 3Q16 131.8 3Q16 4Q16 -2.6% +3.7% 55.3 226.4 -6.2% 2016 232.5 2015 53.4 4Q15 58.9 excluding non recurring items(1) -0.1% 543.8

(1) 2016 non recurring items: gain on Visa sale (revenues): +10.3mln net; positive closing of tax dispute: +6.5mln tax release; releases of provisions: Solidarity Fund +1.5mln net and Tercas +1.0mln net; Integration costs: -3,7mln net; write-down of Cassa di Risparmio di Cesena stake: -4.5mln net. 2015 non recurring items: Provisions for risk and charges (Solidarity fund) -1.5mln net; Integration costs: -0.8mln net (2) C/I ratio calculated as Operating Cost divided by Revenues net of non recurring items (see page 27)

5 (3) Adj. RoE: Net Profit net of non recurring items (see page 27) divided by the average book shareholders' equity for the period (excluding dividends and donations expected to be distributed and the revaluation reserves)

Revenues by P&L Items

Resilient y/y revenue generation, despite the complex environment, mainly supported by net interest and investing fees (up to 162.7mln in 2016, +3.9% y/y)

Net interest

Sustainable and high quality volume dynamics more than offset lower margins y/y and declining interest rates. Resilient margins in 4Q compared to 3Q

Investment policy

Net interest: focus on UniCredit bonds portfolio

Sustainability analysis: 2.3% 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

Costs

Cost efficiency and operating leverage confirmed in our DNA.

Development costs down y/y mainly due to lower marketing and PFAs related costs

Other administrative expenses, mln (1)

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

1.90.8 4Q15 2.7 2.0 1.40.7 2016 9.6 6.9 2.7 2015 13.6 10.2 3.3 4Q16 2.1 1.50.7 3Q16 Other administrative expenses, related to PFAs Staff expenses, related to top managers and key employees

Write-down/backs and depreciation, mln

Capital Ratios

Best in class capital position and low risk balance sheet and 28 cents dividend distribution (+9.8% y/y)

CET1 Ratio transitional, %

CET1 Capital, mln

TFA

Relentless TFA growth thanks to a healthy expansion in net sales Guided products and services increased at 56% of total AuM

TFA and Net sales - breakdown

Successful shift towards high added value products reaching record high 3.9bn net sales in Guided products (+14% y/y)

Personal Financial Advisors (PFA) network – Total Net sales

Net sales organically generated confirmed as a key pillar in our growing strategy

Agenda

Fineco Results

Focus on product areas

Key messages and further opportunities

14

Revenues by Product Area

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

FY16 weight on total revenues for each product area

15 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

Outstanding y/y results driven by strong volume growth and new clients. 2016 fees affected by new regulation on interchange fees(1)

113 82 110 10 12

Managerial Data

(1) Regulation (EU) 2015/751 on Credit and Debt cards fees

Brokerage

Executed orders in line with 2015 record levels confirming an unmatched leading position in this segment. 4Q revamped on the wave of rebound in volatility

Revenues, mln

Volatility Index - Ftse Mib

Executed orders, mln

Managerial Data

Investing

Investing fees up mainly thanks to a successful strategy on cyborg advisory approach

Guided products on total AuM, %

Managerial Data

Agenda

Fineco Results

Focus on product areas

Key messages and further opportunities

2016 key messages

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

• Cost of funding close to zero
• Clients' acquisition leveraging on high quality services
• Organic growth as main engine of growth (89%(1) out of total inflows)
• Selected recruits to improve the quality and related costs well under control

Delivery of consistent results in every market condition

• Growing revenues thanks to a very well diversified business model with smooth quarterly path
• Cost reduction on the way of a strong operating leverage and best-in-class IT platform
• Increased Net Profit confirming the effectiveness of a unique business model

(1) Organic Net Sales calculated as total Net Sales minus Net Sales coming from Recruiting

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

Further opportunities: BANKING AREA High quality deposits growth as main pillar in our banking business

	KEY STRENGTH
COST OF FUNDING	 Sustainable clients' acquisition with cost of funding close to zero leveraging to best in class services delivered
	FURTHER OPPORTUNITIES
MORE FOCUS ON LENDING (see next slide for details)	 Mortgages  Rolling Lombard  Personal loans
INTEREST RATE INCREASE	 Sensitivity: +100bps parallel shift equal to almost +88mln Net interest income  Steepening of the interest rate curve

Further opportunities: BANKING AREA More focus on lending

MORTGAGES

• New law 119/2016 for repossession of new residential mortgage collateral (Decreto banche/ Patto Marciano) 1 makes mortgages business more appealing reducing CoR
• The current interest rate environment reduces prepayment risk close to zero
• Proven and positive track record: almost 7bn portfolio of mortgages between 2000 and 2008
• Fineco's clients own 8.4bn of mortgages in other banks

ROLLING LOMBARD

• Revised Lombard loan with floating pledge allowing clients to change pledged assets without closing the credit line
• Several benefits to clients, PFAs and the bank:
• flexibility and efficiency: possibility to rebalance clients' portfolios without closing the credit line
• increased maximum lending limit: 1.5mln (3x compared to traditional Lombard as of today)
• low cost of risk
• Expected huge opportunities in terms of increasing penetration and volumes with attractive margins

PERSONAL LOANS

• Limited portfolio so far with very high margins (one of the most profitable businesses): 246mln with 660 bps as of December 2016
• Identified pool of potential clients: 230 thousands
• Efficient and real time process, new instant approval platform for eligible clients' requests thanks to a deep knowledge of clients

22 ¹ New rules approved on July 3rd 2016 applicable (by choice) only to new contracts when 18 monthly installments are not paid the borrower's home can be directly sold at an auction without passing through the involvement of the Italian courts

Personal loans – eop, mln

Further opportunities: INVESTING AREA

Successful growing strategy based on sustainability and recurrent revenues

KEY STRENGTH

INCREASE

PRODUCTIVITY

SUSTAINABILITY Organic inflows as main driver of growth and limited recruits to improve the quality of the network

FURTHER OPPORTUNITIES

• Strategy of increasing PFAs productivity to cope with expected pressure on margins and incoming regulation (Mifid 2)
• Cyborg-advisory (more structured asset allocation based on algorithmic /quantitative approach) leveraging on a best-in-class internal IT culture to free up PFAs time to manage the relationship with clients, understanding needs and goals
• X-Net: new revolutionary platform dedicated to PFAs. Through the new 'tool Needs' the banks is able to estimate clients' financial gaps (retirement, children school, second home..) and build up personalized proposal: a perfect hook for PFAs to develop clients not yet approached or not fully developed

Further opportunities: BROKERAGE AREA Continuous healthy client base enlargement and best-in-class offer lead to unrivalled leading position

KEY STRENGTH

COUNTERCYCLICAL BUSINESS

Countercyclical contributor in revenue generation benefitting from spikes in markets' volatility

Daily trades in medium volatility weeks (VIX 14.5 - 20)

FURTHER OPPORTUNITIES

Attractive and innovative value proposition based on one stop solution approach

• Light cost approach, very low Capex leveraging on existing platform
• post "Brexit": Brexit will not affect the current operational framework at least for the 2 years (EU pass-porting laws)
• UK is a "blueprint" that allow us to experience new boundaries and to export in a faster and more effective way our brokerage platform abroad, leveraging on our leadership in Brokerage with regards to number of executed orders and customer experience

EXPANSION ABROAD: UK

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

25 From Jan 1, 2015 the item "Adjustments of leasehold improvements" have been reallocated from revenues to costs (from "Net other expenses/income" to "Other administrative expenses"). Previous periods have been recasted accordingly

Annex

P&L

mln	1Q15	2Q15	3Q15	4Q15	FY15	1Q16	2Q16	3Q16	4Q16	FY16
Net interest income	56.5	59.3	62.9	62.1	240.8	62.2	61.2	62.5	63.4	249.4
Net commissions	62.8	64.2	62.0	63.6	252.6	58.2	59.7	59.3	65.8	242.9
Trading profit	17.1	11.0	13.2	12.6	53.9	19.6	27.3	10.8	11.3	69.1
Other expenses/income	0.4	-3.4	1.6	-1.5	-3.0	0.1	0.7	-0.8	-2.2	-2.2
Total revenues	136.7	131.0	139.7	136.8	544.3	140.1	148.8	131.8	138.4	559.1
Staff expenses	-18.4	-18.8	-19.0	-18.9	-75.0	-18.7	-19.0	-19.3	-16.6	-73.7
Other admin.exp. net of recoveries	-39.4	-38.8	-32.9	-37.5	-148.5	-39.3	-36.1	-31.4	-35.9	-142.7
D&A	-2.0	-2.2	-2.2	-2.5	-9.0	-2.2	-2.4	-2.6	-2.7	-10.0
Operating expenses	-59.8	-59.7	-54.1	-58.9	-232.5	-60.2	-57.5	-53.4	-55.3	-226.4
Gross operating profit	76.9	71.3	85.7	77.9	311.7	79.9	91.3	78.4	83.1	332.7
Provisions	-3.1	-0.8	-1.3	-10.5	-15.7	-1.4	-1.1	-11.3	3.9	-10.0
LLP	-1.6	-1.1	-1.4	-2.6	-6.7	-1.4	-1.4	-0.7	-0.7	-4.2
Integration costs	0.0	0.0	0.0	-1.2	-1.2	0.0	0.0	0.0	-5.5	-5.5
Profit from investments	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	-6.7	-6.7
Profit before taxes	72.2	69.4	82.9	63.6	288.1	77.1	88.8	66.4	74.1	306.3
Income taxes	-24.4	-23.5	-27.8	-21.4	-97.0	-25.8	-22.3	-21.8	-24.6	-94.5
Net profit for the period	47.8	45.9	55.1	42.2	191.1	51.2	66.6	44.6	49.5	211.8
Normalised Net Income(1)	47.8	45.9	55.1	44.6	193.4	51.2	49.8	44.6	55.1	200.7

Non recurring items (mln, gross)	1Q15	2Q15	3Q15	4Q15	FY15	1Q16	2Q16	3Q16	4Q16	FY16
VISA sale (Trading Profit)							15.3			15.3
(2) Extraord systemic charges (Provisions)				-2.3	-2.3				3.7	3.7
Integration costs				-1.2	-1.2				-5.5	-5.5
Cassa di Risp di Cesena (Profit from investm)									-6.7	-6.7
Release of taxes							6.5			6.5
Total	0.0	0.0	0.0	-3.5	-3.5	0.0	21.9	0.0	-8.5	13.3

(1) Net of non recurring items

(2) Solidarity fund for retail clients invested in subordinated bonds issued by 4 Italian banks rescued

Starting from Jan1 2016, within the securities lending transactions with cash guarantee, the earnings component relating to the service provided/received for the provision of the security has been recognised under Net commissions, whereas it was previously recognised under Net

27 interest income. Previous periods have been restated accordingly

Details on Net Interest Income

mln	1Q15	Volumes & Margins	2Q15	Volumes & Margins	3Q15	Volumes & Margins	4Q15	Volumes & Margins	FY15	Volumes & Margins	1Q16	Volumes & Margins	2Q16	Volumes & Margins	3Q16	Volumes & Margins	4Q16	Volumes & Margins	FY16	Volumes & Margins
Sight Deposits	51.6	12,729	52.2	13,522	54.5	14,084	54.4	14,537	212.7	13,718	55.4	15,328	54.2	16,105	54.6	16,663	55.7	17,193	219.9	16,322
Net Margin		1.65%		1.55%		1.53%		1.49%		1.55%		1.45%		1.35%		1.30%		1.29%		1.35%
Term Deposits	-2.3	1,358	-1.0	1,014	-0.6	793	-0.4	673	-4.3	960	-0.3	628	-0.3	540	-0.2	413	-0.1	284	-0.9	466
Net Margin		-0.68%		-0.39%		-0.32%		-0.21%		-0.45%		-0.19%		-0.22%		-0.20%		-0.16%		-0.20%
Security Lending	1.2	1,221	1.3	1,283	1.4	1,261	1.3	1,199	5.2	1,241	1.0	1,094	1.0	1,217	0.8	1,037	0.7	995	3.6	1,086
Net Margin		0.39%		0.40%		0.44%		0.44%		0.42%		0.37%		0.33%		0.31%		0.30%		0.33%
Leverage - Long	2.0	137	2.9	195	2.9	193	3.0	195	10.9	180	1.8	118	1.6	106	1.6	103	1.7	112	6.8	110
Net Margin		5.98%		5.99%		6.05%		6.08%		6.03%		6.19%		6.19%		6.10%		6.23%		6.18%
Lendings	4.1	380	4.4	422	4.6	460	4.7	486	17.8	437	4.7	511	4.9	555	5.2	674	5.6	723	20.4	616
Net Margin		4.38%		4.16%		3.94%		3.85%		4.07%		3.71%		3.58%		3.08%		3.06%		3.32%
Other	-0.2		-0.5		0.1		-1.0		-1.5		-0.4		-0.3		0.5		-0.2		-0.4
Total	56.5		59.3		62.9		62.1		240.8		62.2		61.2		62.5		63.4		249.4

Volumes and margins: average of the period

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	IT0005010241	Euro	382.5	28-Apr-17	Euribor 1m	1.87%
3	IT0005010258	Euro	382.5	27-Jul-17	Euribor 1m	1.94%
4	IT0005010738	Euro	382.5	25-Oct-17	Euribor 1m	2.01%
5	IT0005010266	Euro	382.5	24-Jan-18	Euribor 1m	2.08%
6	IT0005010274	Euro	382.5	23-Apr-18	Euribor 1m	2.14%
7	IT0005010290	Euro	382.5	23-Jul-18	Euribor 1m	2.19%
8	IT0005010357	Euro	382.5	19-Oct-18	Euribor 1m	2.24%
9	IT0005010373	Euro	382.5	18-Jan-19	Euribor 1m	2.29%
10	IT0005010613	Euro	382.5	1-Apr-19	Euribor 1m	2.33%
11	IT0005010282	Euro	382.5	15-Jul-19	Euribor 1m	2.37%
12	IT0005010399	Euro	382.5	14-Oct-19	Euribor 1m	2.40%
13	IT0005010324	Euro	382.5	13-Jan-20	Euribor 1m	2.44%
14	IT0005010365	Euro	382.5	10-Apr-20	Euribor 1m	2.47%
15	IT0005010308	Euro	382.5	9-Jul-20	Euribor 1m	2.49%
16	IT0005010381	Euro	382.5	7-Oct-20	Euribor 1m	2.52%
17	IT0005010332	Euro	382.5	6-Jan-21	Euribor 1m	2.54%
18	IT0005010316	Euro	382.5	6-Apr-21	Euribor 1m	2.56%
19	IT0005010340	Euro	382.5	5-Jul-21	Euribor 1m	2.58%
20	IT0005010225	Euro	382.5	18-Oct-21	Euribor 1m	2.60%
21	IT0005009490	USD1	47.4	25-Apr-17	USD Libor 1m	2.06%
22	IT0005010142	USD1	47.4	19-Apr-18	USD Libor 1m	2.34%
23	IT0005010134	USD1	47.4	1-Apr-19	USD Libor 1m	2.53%
24	IT0005010860	USD1	47.4	7-Apr-20	USD Libor 1m	2.66%
25	IT0005010217	USD1	47.4	1-Apr-21	USD Libor 1m	2.75%
26	IT0005040099	Euro	100.0	24-Jan-22	Euribor 1m	1.46%
27	IT0005057994	Euro	200.0	11-Apr-22	Euribor 1m	1.43%
28	IT0005083743	Euro	300.0	28-Jan-22	Euribor 1m	1.25%
29	IT0005106189	Euro	230.0	20-Apr-20	Euribor 1m	0.90%
30	IT0005114688	Euro	180.0	19-May-22	Euribor 1m	1.19%
31	IT0005120347	Euro	700.0	27-Jun-22	Euribor 1m	1.58%
32	IT0005144065	Euro	450.0	14-Nov-22	Euribor 3m2	1.40%
33	IT0005144073	Euro	350.0	15-Nov-21	Euribor 3m2	1.29%
34	IT0005158412	Euro	250.0	23-Dec-22	Euribor 3m2	1.47%
35	IT0005158503	USD1	47.4	23-Dec-22	USD Libor 1m	1.93%
36	IT0005163180	Euro	600.0	11-Feb-23	Euribor 3m2	1.97%
37	IT0005175135	Euro	100.0	24-Mar-23	Euribor 3m2	1.58%	2016
38	IT0005217606	Euro	350.0	11-Oct-23	Euribor 3m2	1.65%
39	IT0005241317	Euro	622.5	2-Feb-24	Euribor 3m2	1.52%	2017
	Total	Euro	12,000.0		Euribor 1m	1.992%
		USD1	284.6		USD Libor 1m	2.378%

Details on Net Commissions

mln	1Q15	2Q15	3Q15	4Q15	1Q16	2Q16	3Q16	4Q16	FY15	FY16
Brokerage	25.0	20.8	20.3	19.2	20.3	18.5	16.6	19.5	85.3	74.9
o/w
Equity	19.9	17.3	16.4	15.1	16.5	15.2	12.9	16.0	68.7	60.6
Bond	2.5	1.2	1.1	1.3	1.1	1.1	0.9	1.2	6.0	4.4
Derivatives	2.5	2.3	2.6	2.4	3.2	2.6	2.4	2.4	9.9	10.6
Other commissions(1)	0.1	0.0	0.2	0.4	-0.5	-0.5	0.4	-0.1	0.7	-0.7
Investing	36.5	40.6	38.5	40.9	37.5	40.2	41.0	44.1	156.5	162.7
o/w
Placement fees	3.0	2.5	1.4	2.9	1.8	2.8	2.4	2.9	9.7	9.9
Management fees	38.5	43.0	41.4	41.9	40.0	40.5	43.0	44.0	164.8	167.4
to PFA's	-5.0	-4.9	-4.2	-3.9	-4.3	-3.2	-4.4	-2.7	-18.0	-14.6
Banking	1.5	2.8	3.2	3.3	0.3	0.8	1.6	2.0	10.9	4.7
Other	-0.2	0.0	0.0	0.1	0.1	0.3	0.1	0.1	-0.1	0.6
Total	62.8	64.2	62.0	63.6	58.2	59.7	59.3	65.8	252.6	242.9

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

Revenue breakdown by Product Area

mln	1Q15	2Q15	3Q15	4Q15
Net interest income	52.8	54.8	58.0	58.1
Net commissions	1.5	2.8	3.2	3.3
Trading profit	1.9	1.3	1.1	1.2
Other	-0.1	-0.1	-0.1	-0.1
Total Banking	56.1	58.8	62.2	62.6
Net interest income	0.0	0.0	0.0	0.0
Net commissions	36.5	40.6	38.5	40.9
Trading profit	0.0	0.0	0.0	0.0
Other	0.0	0.0	0.0	0.0
Total Investing	36.5	40.6	38.5	40.9
Net interest income	3.5	4.5	4.8	4.7
Net commissions	25.0	20.8	20.3	19.2
Trading profit	14.6	9.6	11.6	11.1
Other	0.0	0.0	0.0	0.0
Total Brokerage	43.1	34.9	36.6	35.1

Managerial Data

Non operating items and Net Profit Adjusted

Non operating items, mln

Net Profit Adjusted (net of non recurring items), mln

Breakdown TFA

mln	March 15	June 15	Sept. 15	Dec. 15	March 16	June 16	Sept 16	Dec. 16
AUM	26,121	26,169	24,825	26,277	25,565	25,911	27,522	28,608
o/w Funds and Sicav	23,313	23,221	21,949	23,100	22,332	22,395	23,645	24,258
o/w Insurance	2,793	2,933	2,862	3,163	3,219	3,505	3,865	4,339
o/w GPM	15	15	14	14	14	12	12	11
AUC	13,219	12,613	12,868	13,419	12,889	12,688	13,051	13,078
o/w Equity	6,826	6,513	6,619	7,085	6,718	6,526	6,877	7,135
o/w Bond	6,309	6,011	6,162	6,233	6,086	6,081	6,091	5,859
o/w Other	84	89	87	101	85	82	83	84
Direct Deposits	14,371	15,016	14,828	15,631	16,527	16,965	16,989	18,509
o/w Sight	13,195	14,127	14,118	14,985	15,915	16,491	16,638	18,296
o/w Term	1,177	889	709	645	612	475	351	213
Total	53,711	53,798	52,521	55,327	54,980	55,564	57,562	60,195

o/w Guided Products & Services	10,250	11,008	10,727	11,828	12,082	13,298	14,949	16,135

Balance Sheet

mln	March 15	June 15	Sept. 15	Dec. 15	March 16	June 16	Sept 16	Dec. 16
Due from Banks	14,070	14,583	13,966	14,649	15,404	15,299	14,442	15,736
Customer Loans	797	836	885	923	827	880	972	1,017
Financial Assets	2,270	2,244	2,241	2,250	2,629	2,933	3,592	3,764
Tangible and Intangible Assets	109	109	109	110	111	111	112	112
Derivatives	25	40	7	11	7	9	8	9
Other Assets	229	240	244	385	286	328	327	349
Total Assets	17,499	18,051	17,451	18,328	19,265	19,561	19,453	20,986
Customer Deposits	14,603	15,256	15,043	15,822	16,693	17,133	17,250	18,801
Due to Banks	1,466	1,436	1,396	1,423	1,504	1,362	1,139	1,111
Securities in Issue	428	400	0	0	0	0	0	0
Derivatives	47	60	27	31	20	18	15	11
Funds and other Liabilities	344	368	402	418	355	446	392	382
Equity	610	531	582	633	692	603	656	681
Total Liabilities and Equity	17,499	18,051	17,451	18,328	19,265	19,561	19,453	20,986

Main Financial Ratios

	March 15	June 15	Sept. 15	Dec. 15	March 16	June 16	Sept 16	Dec. 16
PFA TFA/ PFA (mln) (1)	17.6	17.6	17.0	17.9	17.8	17.9	18.8	19.6
Guided Products / TFA (2)	19%	20%	20%	21%	22%	24%	26%	27%
Cost / income Ratio (3)	43.8%	44.6%	42.6%	42.7%	43.0%	43.0%	42.2%	41.6%
CET 1 Ratio	19.4%	20.8%	20.4%	21.4%	21.3%	22.7%	23.1%	22.9%
Adjusted RoE (4)	43.9%	42.6%	44.9%	43.2%	43.4%	42.1%	40.0%	40.8%
Leverage Ratio (5)	> 6%	9.34%	9.11%	10.52%	10.14%	9.46%	8.23%	8.26%

(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 27)

(4) Adjusted RoE: Net Profit,net of non recurring items (see page 27) divided by the average book shareholders' equity for the period (excluding dividends and donations expected to be distributed and the evaluation reserves)

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