HANDELSBANKEN A local relationship with one of the world’s strongest banks Founded in Sweden in 1871, Handelsbanken has become one of the world’s strongest banks with over 850 branches in 25 countries worldwide. We offer local relationship banking with products and services tailored to the needs of our personal and business banking customers. A local focus from day one “The branch is the bank” Handelsbanken was established in 1871 when a number of Handelsbanken’s decentralised model is central to its success. prominent companies and individuals in Stockholm’s business Each branch operates as a small business, enabling it to make world founded “Stockholms Handelsbank”. From the outset, the decisions locally and to provide a service that is truly bespoke. bank proclaimed that it would pursue “true banking activities” The branch has full power to decide the structure and pricing with deposits and loans, focusing on the local market. of products, which directly benefits the customer through swift decision-making. In 1970, Jan Wallander, the CEO at the time, brought with him a blueprint for a strongly decentralised organisation. Branches Relationships count were given power to make business decisions locally, since Handelsbanken has a different perspective from most other Wallander believed that those closest to the customer would banks. As a relationship bank, we are driven only by what understand their requirements and circumstances best. our customers want, designing tailored solutions to suit their demands. Because we are not target driven, we take a long- Operating within this new framework, Handelsbanken continued term view, investing time to get to know our customers, their to grow, building branch networks in Finland, Norway and needs and ambitions. This approach is summed up in a quote Denmark during the 1990s. Since 2000 the bank has been from our book of corporate values: steadily building up a UK branch network, supporting more and more local communities with their personal and business ‘Our advice must always be what is best for the customer, not banking needs. what is most profitable for the Bank at that time.’ MARKETING MATERIAL HANDELSBANKEN The most satisfied customers The Deposit Guarantee Scheme is backed by the Swedish Handelsbanken was rated top for customer satisfaction and state, which itself holds the highest possible AAA rating and a loyalty for the seventh year running, in an independent survey* stable outlook from all three leading ratings agencies. of British banks’ personal and business customers. This reflects Further details of the Swedish Deposit Guarantee Scheme are the bank’s focus on building long-term customer relationships available on request and through our website. for mutual benefit, free from product campaigns, sales targets or short-term bonus incentives. Experience the difference Your experienced local branch team will make sure everything *Customer satisfaction survey conducted independently by EPSI runs smoothly for you as a Handelsbanken customer. You will Rating, October 2015. have direct line access to your designated Account Manager who is available to address any query or requirement in a helpful One of the world’s strongest banks and timely manner. Handelsbanken takes a prudent approach to risk, only dealing with customers we can meet and with whom we can develop a business relationship. It is this same prudent approach UK bank credit ratings that explains why Handelsbanken has chosen to build up very substantial liquidity reserves. In stress tests aimed at Long Term Short Outlook Term demonstrating resistance to long-term market disruptions, results showed that in a stressed scenario, the liquidity reserves Svenska Handelsbanken Aa2 Prime-1 Stable cover the Bank’s liquidity requirement for over three years, even if access to new funding in the markets were to disappear. HSBC Bank plc Aa2 Prime-1 Stable (Source: Handelsbanken Interim Report, January - June 2015). Lloyds Bank plc A1 Prime-1 Positive Handelsbanken did not apply for any government support in Santander UK plc A1 Prime-1 Stable either the latest economic downturn or during the 1990s. The bank’s high credit ratings reflect this achievement and can be Barclays Bank plc A2 Prime-1 Stable seen in the table below; one more reason why Handelsbanken was recently rated one of the strongest banks in the world for RBS plc A3 Prime-1 Stable the fifth year running by financial information provider Bloomberg Clydesdale Bank plc Baa1 Prime-1 Stable (July 2015); Handelsbanken is also the only European bank to feature in every rating since they began. Date of outlook: 2015 Source: Moody’s as at 1st December 2015. Please visit www.moodys.com for a breakdown of the credit definitions used. A safe haven for your savings Beyond Handelsbanken’s own financial strength and stability, depositors with the bank are covered by the Swedish Deposit Guarantee Scheme. This provides compensation of up to EUR 100,000 for each eligible depositor, the same EU-wide level upon which the UK compensation scheme is now based. Lloyds Banking Handelsbanken Barclays HSBC Holdings RBS Group Group Cost / Income Ratio 45.2% 70.2% 80.8% 67.3% 68.1% Return on Equity 13% -0.2% 2.7% 7.4% -6.6% Gross NPLs / Total Loans 0.42% 1.95% 2.92% 3.29% 6.72% Risk Provision / NPLs 59% 58% 53% 38% 64% Bad Debt Charge / Average Loans 0.1% 0.45% 0.24% 0.39% -0.28% Tier 1 Capital Ratio (according to Basel 2) 22.1% 13% 16.5% 12.5% 11.2% All figures as end of 2014. Source: Deutsche Bank AG ”Running the Numbers:The Question Bank” May 2015 www.handelsbanken.co.uk Handelsbanken is the trading name of Svenska Handelsbanken AB (publ). Registered in England & Wales No. BR000589. Incorporated in Sweden with limited liability. Registered in Sweden No. 502007-7862. Head office in Stockholm. Authorised by the Swedish Financial Supervisory Authority (Finansinspektionen) and the Prudential Regulation Authority and subject to limited regulation by the Financial Conduct Authority and the Prudential Regulation Authority. Details about the extent of our authorisation and regulation by the Prudential Regulation Authority and regulation by the Financial Conduct Authority are available from us on request..