East West Bancorp (EWBC) investor relations material

Market positioning and growth strategy

• Maintains a U.S.-centric focus with 94% of loans and most deposits in U.S. dollars, while leveraging cross-border capabilities for organic growth, especially in California and major U.S. cities.

• Growth is driven by strong deposit inflows, particularly from high-income, highly educated communities, and cross-border activities with Asia.

• Differentiates itself as a 'too strong to fail' alternative to the largest banks, supported by robust capital, liquidity, and profitability.

• Competitive landscape has shifted post-2023, with opportunities arising from market exits and name changes among peers.

• Expansion into new verticals and markets has sustained above-average growth.

Deposit and funding strategy

• Deposit growth is led by grassroots outreach and partnerships, notably with Worldpay, enhancing small business offerings.

• Non-interest-bearing deposit growth is supported by tariff refunds and is expected to remain stable.

• Deposit mix has a transactional floor of 24-25%, with potential upside if rates fall; current pricing strategy focuses on retention, not aggressive growth.

• CD rates are set below market to retain balances and extend deposit duration, optimizing funding costs.

Loan portfolio and diversification

• Strongest loan growth is in single-family mortgages, benefiting from unique 50% down payment products and low risk.

• CRE lending is selective, focusing on long-term relationships and attractive yields.

• C&I portfolio is managed for diversification, with no single segment exceeding 5% of the balance sheet.

• Positive loan growth is expected across all verticals, led by single-family mortgages.