ABN AMRO Bank (ABN) Morgan Stanley 21st Annual European Financials Conference summary

Strategic direction and leadership

• Focus on improving ROE through organic growth, cost management, and capital optimization, with a longer-term ambition above 10% ROE.

• New CEO Marguerite Bérard brings deep sector experience and is expected to provide fresh perspective and ambition, with her official start after the AGM.

• Strategic changes will be clarified after the new CEO's onboarding.

Net interest income (NII) and market environment

• NII guidance for the year is based on a range, with the lower end assuming no change in the 1.5% savings rate.

• Market competition, not regulatory pressure, drives deposit pricing; 80% of deposits are with incumbent banks.

• Steepening yield curve will benefit NII more in 2026 and beyond, with limited immediate impact in 2025.

• Replicating portfolio has 40-45% duration below one year, with average duration of two years.

Loan and deposit growth

• Loan growth in 2023 was 1.2%, above Dutch GDP, with strong momentum in mortgages and stable deposit trends.

• Mortgage market share increased significantly, with Q1 2024 showing continued positive momentum.

• Corporate loan growth outlook remains modest due to geopolitical risks, but fiscal stimulus in Germany may improve prospects.

• Deposit growth expected to remain healthy, slightly above GDP.