09:00 Fri 31 Jul 2020
Investec PLC - Quarterly Capital Adequacy Disclosure
Investec Limited NSX share code: IVD BSE share code: INVESTEC ISIN: ZAE000081949 |
JSE share code: INP |
As part of the dual listed company structure,
Accordingly, we advise of the following:
Investec Limited - Basel III disclosures at 30 June 2020
Capital disclosures
The disclosures below are made with respect to Basel III quarterly disclosure requirements. Investec Limited holds capital in excess of regulatory requirements. Effective
|
Including unappropriated profits |
|
|
Investec Limited* |
IBL* |
As at |
R'mn |
R'mn |
|
|
|
Common equity tier 1 capital |
40,007 |
41,257 |
|
|
|
Additional tier 1 capital |
1,870 |
652 |
|
|
|
Tier 1 capital |
41,877 |
41,909 |
|
|
|
Tier 2 capital |
10,825 |
12,682 |
|
|
|
Total regulatory capital |
52,702 |
54,591 |
|
|
|
Risk-weighted assets per risk type: |
|
|
Credit risk |
261,108 |
261,741 |
Counterparty credit risk |
8,745 |
8,699 |
Credit valuation adjustment risk |
2,827 |
2,821 |
Equity risk |
29,864 |
14,519 |
Market Risk |
6,530 |
6,150 |
Operational risk |
27,777 |
22,162 |
Total risk-weighted assets |
336,851 |
316,092 |
|
|
|
Total minimum capital requirement |
35,369 |
33,190 |
|
|
|
Capital ratios |
|
|
Common equity tier 1 ratio |
11.9% |
13.1% |
Tier 1 ratio |
12.4% |
13.3% |
Total capital adequacy ratio |
15.6% |
17.3% |
Leverage ratio disclosures
|
Including unappropriated profits |
|
|
Investec Limited* |
IBL* |
As at |
R'mn |
R'mn |
Tier 1 capital |
41,877 |
41,909 |
Total exposure |
590,570 |
562,460 |
Leverage ratio |
7.1% |
7.5% |
|
Excluding unappropriated profits |
|
|
Investec Limited* |
IBL* |
As at |
R'mn |
R'mn |
|
|
|
Common equity tier 1 capital |
38,016 |
39,889 |
|
|
|
Additional tier 1 capital |
1,882 |
612 |
|
|
|
Tier 1 capital |
39,898 |
40,501 |
|
|
|
Tier 2 capital |
10,960 |
12,597 |
|
|
|
Total regulatory capital |
50,858 |
53,098 |
|
|
|
Risk-weighted assets per risk type: |
|
|
Credit risk |
260,244 |
261,327 |
Counterparty credit risk |
8,745 |
8,699 |
Credit valuation adjustment risk |
2,827 |
2,821 |
Equity risk |
29,598 |
14,519 |
Market Risk |
6,530 |
6,150 |
Operational risk |
27,777 |
22,162 |
Total risk-weighted assets |
335,721 |
315,678 |
|
|
|
Total minimum capital requirement |
35,251 |
33,146 |
|
|
|
Capital ratios |
|
|
Common equity tier 1 ratio |
11.3% |
12.6% |
Tier 1 ratio |
11.9% |
12.8% |
Total capital adequacy ratio |
15.1% |
16.8% |
Leverage ratio disclosures
|
Excluding unappropriated profits |
|
|
Investec Limited* |
IBL* |
As at |
R'mn |
R'mn |
Tier 1 capital |
39,898 |
40,501 |
Total exposure |
590,163 |
562,296 |
Leverage ratio |
6.8% |
7.2% |
* Where: IBL is Investec Bank Limited consolidated. The information for Investec Limited includes the information for IBL.
Liquidity disclosures
Liquidity coverage ratio (LCR)
The objective of the LCR is to promote the short-term resilience of the liquidity risk profile of banks by ensuring that they have sufficient high-quality liquid assets to survive a significant stress scenario lasting 30 calendar days.
With effect from
In accordance with the provisions of section 6(6) of the South African
The following table sets out the LCR for IBL (solo basis) and IBL consolidated group for the quarter ending
|
IBL (solo basis) - Total weighted value |
IBL consolidated group - Total weighted value |
High quality liquid assets (HQLA) (R'mn) |
82,946 |
84,633 |
Net cash outflows (R'mn) |
62,198 |
59,928 |
Actual LCR |
134.4% |
142.6% |
Required LCR |
80%^ |
80%^ |
^ - temporarily reduced from 100% by the PA
The values in the table are calculated as the simple average of 91 calendar daily values over the period
Net stable funding ratio (NSFR)
The objective of the NSFR is to promote the resilience in the banking sector by requiring banks to maintain a stable funding profile in relation to the composition of their assets and off-balance sheet activities on an ongoing structural basis. By ensuring that banks do not embark on excessive maturity transformation that is not sustainable, the NSFR is intended to reduce the likelihood that disruptions to a bank's funding sources would erode its liquidity position, increasing its risk of failure and potentially lead to broader systemic risk.
The minimum NSFR requirement in
In accordance with the provisions of section 6(6) of the South African
The following table sets out the NSFR for IBL (solo basis) and IBL consolidated group as at
|
IBL (solo basis) |
IBL consolidated group |
Actual NSFR |
117.4% |
118.5% |
Required NSFR |
100% |
100% |
Further disclosures with respect to Investec Limited's and Investec Bank Limited's capital and liquidity will be provided on the Investec website in due course as required by the relevant regulations.
Sponsor: Investec Bank Limited
This information is provided by RNS, the news service of the
The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of...
FOR OUR FULL DISCLAIMER CLICK HERE