CIBC (CM) 2026 RBC Capital Markets Global Financial Institutions Conference summary

Strategic execution and business mix

• Strong Q1 performance attributed to disciplined execution and focus on affluent retail clients, technology investment, and deepening client relationships across Canada and the U.S.

• Retail strategy emphasizes transaction accounts and credit cards over mortgages, aiming for deeper client engagement and data-driven advice.

• Asset gathering and deposit growth are prioritized, supported by proprietary goal planning tools and a focus on checking account growth.

• Capital Markets growth is driven by both cyclical market conditions and structural expansion, especially in the U.S. and select international markets.

• Private credit exposure is managed with a balanced approach, focusing on quality and diversification, with growth expected to moderate in line with the broader bank.

Financial performance and outlook

• Q1 saw high ROE (17.4%) and robust NIM expansion, supported by both interest rate tailwinds and margin-enhancing business mix.

• Revenue growth is expected to slow from recent highs, with a medium-term target of 7%-10% earnings growth and expanding ROE.

• Operating leverage is targeted at 1%-2% annually, with ongoing efficiency initiatives and cost management embedded in all business units.

• Share buybacks are used as a capital management tool, with a 2%-3% buyback rate seen as appropriate; capital ratios remain strong and could rise further.

• Inorganic growth is limited to targeted tuck-in acquisitions, particularly in U.S. commercial banking and wealth management.

Risk management and credit quality

• Gradual increase in retail delinquencies and losses is consistent with broader economic trends, but mortgage portfolios remain well-collateralized with low expected losses.

• Commercial credit quality remains solid, with isolated impairments; full-year guidance for impaired loss rates is maintained.

• No direct exposure to recent geopolitical events, with risk systems and strong capital/liquidity positions supporting resilience.

• Investment and spending can be adjusted as needed in response to market disruptions, maintaining flexibility in cost management.