Standardbank Cover.indd - Standard Bank - Investor Relations

Standard Bank Group Analysis of financial results for the year ended 31 December 2012
PBB return on risk-weighted assets
CIB return on risk-weighted assets
Rbn
300
%
3.0
Rbn %
500
3.5
400
2.8
200
2.0
300
2.1
100
1.0
200
1.4
100
0.7
Risk-weighted
assets
Return on
risk-weighted
assets
2008
1 Compound annual growth rate
2009
2010
2011
2012
224 226 240 250 297
2.2 1.7 1.9 2.4
2.7
Risk-weighted
assets
Return on
risk-weighted
assets
2008 2009 2010 2011 2012
384 367 365 410 467
2.1 1.9 1.4 1.4
1.1
Return on risk-weighted assets
2012 2011
% %
Banking activities 1.7 1.8
Personal & Business Banking 2.7 2.4
Corporate & Investment Banking 1.1 1.4
Return on risk-weighted assets 2011 to 2012
• Average risk-weighted assets increased due to:
• changes to the South African regulatory framework in
2012, specifically the application of a 6% scaling factor on
the internal ratings based credit and equity risk portfolios
and the implementation of Basel 2.5 which requires the
inclusion of the stressed value at risk in the calculation of
market risk
• strong balance sheet growth in PBB and the rest of Africa.
• CIB’s lower return on risk weighted assets in 2012 is an
indicator of the challenging operating environment outside
Africa and the substantial increase in risk weighted assets in
2012 due to the implementation of Basel 2.5.
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