Investor Presentation

March 2020 Caution Regarding Forward-Looking Statements

From time to time, our public communications often include oral or written forward- changes to accounting standards, rules and interpretations on these estimates; global looking statements. Statements of this type are included in this document, and may be capital markets activity; the Bank’s ability to attract, develop and retain key executives; included in other filings with Canadian securities regulators or the U.S. Securities and the evolution of various types of fraud or other criminal behaviour to which the Bank is Exchange Commission, or in other communications. In addition, representatives of the exposed; disruptions in or attacks (including cyber-attacks) on the Bank’s information Bank may include forward-looking statements orally to analysts, investors, the media technology, internet, network access, or other voice or data communications systems and others. All such statements are made pursuant to the “safe harbor” provisions of or services; increased competition in the geographic and in business areas in which we the U.S. Private Securities Litigation Reform Act of 1995 and any applicable Canadian operate, including through internet and mobile banking and non-traditional securities legislation. Forward-looking statements may include, but are not limited to, competitors; exposure related to significant litigation and regulatory matters; the statements made in this document, the Management’s Discussion and Analysis in the occurrence of natural and unnatural catastrophic events and claims resulting from such Bank’s 2019 Annual Report under the headings “Outlook” and in other statements events; and the Bank’s anticipation of and success in managing the risks implied by the regarding the Bank’s objectives, strategies to achieve those objectives, the regulatory foregoing. A substantial amount of the Bank’s business involves making loans or environment in which the Bank operates, anticipated financial results, and the outlook otherwise committing resources to specific companies, industries or countries. for the Bank’s businesses and for the Canadian, U.S. and global economies. Such Unforeseen events affecting such borrowers, industries or countries could have a statements are typically identified by words or phrases such as “believe,” “expect,” material adverse effect on the Bank’s financial results, businesses, financial condition or “foresee,” “forecast,” “anticipate,” “intend,” “estimate,” “plan,” “goal,” “project,” and liquidity. These and other factors may cause the Bank’s actual performance to differ similar expressions of future or conditional verbs, such as “will,” “may,” “should,” materially from that contemplated by forward-looking statements. The Bank cautions “would” and “could.” that the preceding list is not exhaustive of all possible risk factors and other factors By their very nature, forward-looking statements require us to make assumptions and could also adversely affect the Bank’s results, for more information, please see the “Risk are subject to inherent risks and uncertainties, which give rise to the possibility that our Management” section of the Bank’s 2019 Annual Report, as may be updated by predictions, forecasts, projections, expectations or conclusions will not prove to be quarterly reports. accurate, that our assumptions may not be correct and that our financial performance Material economic assumptions underlying the forward-looking statements contained objectives, vision and strategic goals will not be achieved. in this document are set out in the 2019 Annual Report under the headings “Outlook”, We caution readers not to place undue reliance on these statements as a number of as updated by quarterly reports. The “Outlook” sections are based on the Bank’s views risk factors, many of which are beyond our control and effects of which can be difficult and the actual outcome is uncertain. Readers should consider the above-noted factors to predict, could cause our actual results to differ materially from the expectations, when reviewing these sections. When relying on forward-looking statements to make targets, estimates or intentions expressed in such forward-looking statements. decisions with respect to the Bank and its securities, investors and others should The future outcomes that relate to forward-looking statements may be influenced by carefully consider the preceding factors, other uncertainties and potential events. Any many factors, including but not limited to: general economic and market conditions in forward-looking statements contained in this document represent the views of the countries in which we operate; changes in currency and interest rates; increased management only as of the date hereof and are presented for the purpose of assisting funding costs and market volatility due to market illiquidity and competition for the Bank’s shareholders and analysts in understanding the Bank’s financial position, funding; the failure of third parties to comply with their obligations to the Bank and its objectives and priorities, and anticipated financial performance as at and for the affiliates; changes in monetary, fiscal, or economic policy and tax legislation and periods ended on the dates presented, and may not be appropriate for other purposes. interpretation; changes in laws and regulations or in supervisory expectations or Except as required by law, the Bank does not undertake to update any forward-looking requirements, including capital, interest rate and liquidity requirements and guidance, statements, whether written or oral, that may be made from time to time by or on its and the effect of such changes on funding costs; changes to our credit ratings; behalf. operational and infrastructure risks; reputational risks; the accuracy and completeness Additional information relating to the Bank, including the Bank’s Annual Information of information the Bank receives on customers and counterparties; the timely Form, can be located on the SEDAR website at www.sedar.com and on the EDGAR development and introduction of new products and services; our ability to execute our section of the SEC’s website at www.sec.gov. strategic plans, including the successful completion of acquisitions and dispositions, including obtaining regulatory approvals; critical accounting estimates and the effect of

2 TABLE OF CONTENTS Scotiabank Overview 4 • Leading Bank in the Americas 5 • Economic Outlook in Core Markets 6 • Well-Diversified Business with Strong Returns 7 • Business Lines 8 • Why Invest in Scotiabank? 9 • Focused on Higher Return Markets 10 • Increasing Banking Penetration 11 • Repositioning is Substantially Complete 12 • Acquisition & Divestiture Activity 13 • Medium-Term Financial Objectives 14 • Q1 2020 Financial Performance 15 • Earnings and Dividend Growth 16 • Strong Capital Generation 17 • Technology Strategy 18 • Fintech 19 • Growth in Digital Banking 20 • Environmental, Social & Governance (ESG) 21 Business Line Overview: Canadian Banking 23 Business Line Overview: International Banking 31 Business Line Overview: Global Wealth Management 42 Business Line Overview: Global Banking and Markets 46 Risk Overview 50 • Risk Snapshot 51 • Risk Density 52 • Historical PCL Ratios on Impaired Loans 53 • Canadian Retail: Loans and Provisions 54 • International Retail: Loans and Provisions 55 • Energy Exposure 56 Treasury and Funding 57 • Funding Strategy 58 • Wholesale Funding 59 • Deposit Overview 60 • Wholesale Funding Utilization 61 • Liquidity Metrics 62 Appendix 1: Core Markets: Economic Profiles 63 Appendix 2: Canadian Housing Market 69 Appendix 3: Bail-in and TLAC 78 Appendix 4: Covered Bonds 82 Appendix 5: Additional Information 86 Contact Information 88 3 • Leading bank in the Americas with competitive scale in high return markets

• Repositioning of business substantially complete Scotiabank Overview • Greater geographic focus, increased scale in core markets, and improved business mix • Strong credit quality. Stable credit metrics.

• Positioned for higher capital ratios, ongoing buybacks, and sustainable long-term earnings growth

4 Leading Bank in the Americas1 Core markets: Canada, US, Mexico, Peru, Chile and Colombia

7th largest bank by assets1 in the Americas Q1 Change Full-Service, Scotiabank2 2020 Y/Y Universal Bank Canada Revenue $7,989MM +5% (AAA) Canada Net Income $2,344MM +2% #3 Bank Mexico Return on Equity Peru 13.9% +20 bps Chile Operating Leverage +1.3% n.a. United States Colombia Productivity Ratio 53.4% (70 bps) (AA+) Caribbean Top 15 FBO Uruguay Total Assets $1.2T +12%

Colombia Ranking by Market Share3 (BBB-) Wholesale #6 Bank Operations Canada #3

Mexico USA USMCA USA Top 15 FBO (BBB+) UK Mexico #5 #5 Bank Singapore

Australia PAC Peru #3 Ireland Chile #3 Hong Kong SAR Colombia #6 Peru China (BBB+) Brazil #3 Bank Chile South Korea Earnings by Other 2,4 (A+) Malaysia Market C&CA #3 Bank India 7% Japan 6%

PAC 23% 55% Canada

9% 1 Ranking by asset as at February 24, 2020, Bloomberg; 2 Adjusted for acquisition and divestiture-related amounts, impact of additional pessimistic scenario in ACLs, Derivative Valuation Adjustment, and impairment charge on software asset; 3 Ranking Americas (~95%) U.S.A based on market share in loans as of December 2019 for PACs (incl. M&A), as of October 2019 in Canada for publically traded banks; 4 Adjusted net income attributable to equity holders of the Bank for the 3 months ended January 31, 2020 5 Economic Outlook in Core Markets

Real GDP Growth Forecast (2019 – 2021)

Real GDP (Annual % Change) 2010–18 Country 2019f 2020f 2021f Average Canada 2.2 1.6 1.5 2.0

U.S. 2.3 2.3 1.7 1.8

Mexico 3.0 0.0 1.0 1.8

Peru 4.8 2.3 3.0 3.5

Chile 3.5 1.0 1.4 3.0

Colombia 3.8 3.2 3.6 3.6

Pacific Alliance Average 3.8 1.6 2.3 3.0

Source: Scotiabank Economics. Forecasts as of January 13, 2020 6 Well-Diversified Business with Strong Returns

Earnings by Business Line1,2,3 Earnings by Market1,2 Wealth Management Europe, Asia, Brazil, Australia % 13 Caribbean and Global Central America Other Wealth % Colombia C&CA* 7 Management % 1 6% 13% Canadian Personal & Chile Banking Commercial 5% P&C Wholesale Global Banking Q1 2020 % Q1 2020 Banking Banking and 40 % Peru Markets EARNINGS MIX 67 9% EARNINGS MIX % 20% 3 Per 3 Canada 20 $2.3B $2.3B 55% Mexico 8% International U.S. Banking P&C 9% 27%

21.9%

12.7% 13.7% 14.0% 13.9%

Canadian International Global Wealth Global Banking All Bank Banking Banking Management and Markets

1 Net income attributable to equity holdersor for the 3 months ended January 31, 2020; 2 Adjusted for acquisition and divestiture-related amounts, impact of additional pessimistic scenario in ACLs, Derivative Valuation Adjustment, and impairment charge on software asset; 3 Excluding Other segment 7 Business Lines

Activity Personal & Commercial Banking Wealth Management Capital Markets

Canadian International Global Wealth Global Banking Business Line Banking Banking Management and Markets Products • Mortgages • Mortgages • Asset Management • Corporate Banking • Auto Loans • Auto Loans • Private Banking • Advisory • Commercial • Commercial • Private Investment • Equities Loans Loans Counsel • Fixed Income • Personal Loans • Personal Loans • Brokerage • Foreign Exchange • Credit Cards • Credit Cards • Trust • Commodities

NIAEH1 ($MM) $908 $615 $318 $451

% All-Bank1 40% 27% 13% 20%

% Target 35-40% 25-30% ~15% 15-20%

Productivity 45.4% 52.9% 62.4% 51.5% Ratio1

ROE1 21.9% 12.7% 13.7% 14.0%

Employees2 18,538 55,190 7,214 2,426

1 Adjusted figures for the 3 months ended January 31, 2020 2 As at January 31, 2020 8 Why Invest in Scotiabank?

Leading bank in the • Six core markets: Canada, US, Mexico, Chile, Peru and Colombia Americas • ~95% of earnings from the Americas • ~85% of earnings from six core markets

• Unique Americas footprint provides diversified exposure to higher Diversified exposure to high growth, high ROE banking markets • 225 million people in the Pacific Alliance countries comprise the 6th quality growth markets largest economy in the world

• Competitive scale and increasing market share in core markets Increasing scale and market • Competitive advantages in technology, risk management, and funding share in core markets versus competitors • Increased scale in Wealth Management and P&C businesses via M&A

• ~80% of earnings from stable P&C banking and wealth businesses Improved earnings quality, • Simplified footprint lowers operational risk and regulatory costs lower risk profile • Strong Canadian risk management culture with strong capabilities in AML and cybersecurity

Strengthening competitive • High levels of technology investment supports digital banking strategy to increase digital sales and adoption advantages in technology • Named “Bank of the Year” in Canada (2019) and talent 9 Focused on Higher Return Markets

Banking: Average ROE by Market (Latest Reporting Period)

25.0%

20.0% 19.1%

15.3% 15.0% 12.1% 11.0% 10.0% 6.7% 5.0%

0.0% Pacific Alliance Canada US Asia Europe

78% of all-bank earnings

Return on equity in latest reporting period for the leading bank by market share for loans in each country. Canada and US figures are average for five largest and 10 largest market share banks in each country, respectively Sources: Bloomberg LLP, Company Financial Reports. 10 Increasing Banking Penetration

Mature Markets 150

1 Growth Markets U.S. U.K. Canada Spain Scotia P&C 100 Markets Czech Republic Brazil Chile Scotia Americas Wholesale Markets

Colombia C&CA Other Markets PACPAC4 50 Bubble size Peru represents

Banking Penetration (%) Mexico nominal GDP Cambodia

0 $0 $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000 2 GDP per Capita (US$)

1 Source: World Bank Open Data 2018. Banking Penetration is defined as account ownership at a financial institution or with a mobile-money-service provider (% of population ages 15+) 2 Source: World Bank Open Data 2018. GDP per capita is nominal gross domestic product divided by mid year population

11 Repositioning is Substantially Complete

Simplifying the Bank Improving Earnings Quality De-Risking the Bank ● Exited 22 non-core (higher ● ~85% of earnings from six core ● Improving credit quality risk, low growth) countries markets (Canada, the US and metrics and generating since 2014 Pacific Alliance) higher mix of earnings from investment grade ● Sold 10 non-core (non- Targeting higher earnings countries customer facing, low return) ● contribution from stable P&C businesses since 2014 ● Exits from sub-investment Banking and Wealth grade, low growth ● ~95% of earnings Management businesses jurisdictions generated from America’s footprint ● Targeting 70% from P&C ● Gross impaired loans ratio Banking, 15% from Global decreased from 110 bps in

Wealth Management, and 15% 2017 to 77 bps in 2020 from Global Banking and Markets

12 Acquisition & Divestiture Activity (2018-2020)

Increasing Scale in Core P&C Markets and Wealth Management

Citi Colombia Cencosud Peru Caribbean (Leeward Islands) Banco Dominicano Pension & Benefits del Progreso Administration 1% 2% Wealth 5% Management % 6% 48 10%

El Salvador 9%

MD Financial ACQUISITIONS: 35% DIVESTITURES: Per Thanachart BBVA Chile $7.5B $5.8B Bank Thailand 39% Puerto Rico & USVI 56% 24%

Jarislowsky Fraser International 13% P&C % 52 13 Medium-Term Financial Objectives

All-Bank Latest Performance Metrics Objectives1 (Q1/20)2

EPS Growth 7%+ +5%

ROE 14%+ 13.9%

Operating Positive +1.3% Leverage

Capital Strong Levels 11.4%

1 3-5 year targets from 2020 Investor Day 2 Adjusted for acquisition and divestiture-related amounts, impact of additional pessimistic scenario in ACLs, Derivative Valuation Adjustment, and impairment charge on software asset 14 Q1 2020 Financial Performance Strong revenue growth and positive operating leverage

$MM, except EPS Q1/20 Y/Y Q/Q YEAR-OVER-YEAR HIGHLIGHTS Reported • Adjusted EPS growth up 5%2 Net Income $2,326 +4% +1% 2 Pre-Tax, Pre Provision Profit $3,723 +8% +2% • Adjusted Net Income up 2% 2 Diluted EPS $1.84 +8% +6% o Excluding divestitures net income grew by 8% 2 Revenue $8,141 +7% +2% o Pre-tax, pre-provision profit (PTPP) up 7% Expenses $4,418 +6% +2% • Adjusted Revenue up 5%2 Productivity Ratio 54.3% (60 bps) +20 bps o Net interest income up 3% Core Banking Margin 2.45% - + 5bps 2 o Non-interest income up 8% PCL Ratio1 61 bps +14 bps +11 bps • Adjusted Expense growth of 4%2 PCL Ratio on Impaired Loans1 55 bps +8 bps +6 bps • Adjusted Operating leverage of +1.3%2 Adjusted2 Net Income $2,344 +2% (2%) Pre-Tax, Pre Provision Profit $3,724 +7% (1%) 3 Diluted EPS $1.83 +5% +1% ADJUSTED NET INCOME BY BUSINESS SEGMENT ($MM)

Revenue $7,989 +5% - +5%

Expenses $4,265 +4% +2% Y/Y -17% Y/Y 4 Productivity Ratio 53.4% (70 bps) +70 bps +35% +11% 1 PCL Ratio 51 bps +4 bps +1 bp Y/Y Y/Y PCL Ratio on Impaired Loans1 53 bps +6 bps +4 bps 865 908 743 615 286 318 335 451

CB IB GWM GBM Q1/19 Q1/20 1 Provision for credit losses on certain assets – loans, acceptances and off-balance sheet exposures 2 Adjusted for acquisition and divestiture-related amounts, impact of additional pessimistic scenario in ACLs, Derivative Valuation Adjustment, and impairment charge on software asset 3 After non-controlling interest 4 Y/Y growth rate is on a constant dollars basis 15 Earnings and Dividend Growth Strong track record of stable and predictable earnings and growing dividends

Earnings per share (C$)1,2 Total shareholder return3

Scotiabank Big 5 Peers (ex. Scotiabank) +8% CAGR $7.14 12.6% 11.1% 11.6% 11.9% 9.4% 8.2% $3.31 $1.83

09 10 11 12 13 14 15 16 17 18 19 Q1 20 5 Year 10 Year 20 Year

Dividend per share (C$)

$3.49 +6% CAGR

$1.96

$0.90

09 10 11 12 13 14 15 16 17 18 19 Q1 20 1 Reflects adoption of IFRS in Fiscal 2011. 2 Excludes notable items for years prior to 2016. For 2016 onwards, results adjusted for acquisition and divestiture-related amounts, impact of additional pessimistic scenario in ACLs, Derivative Valuation Adjustment, and impairment charge on software asset. 3 As of January 31, 2020 16 Strong Capital Generation Clear path to higher capital ratio

CET1 Ratio

+49 bps 11.4% +26 bps 11.1% -19 bps -6 bps -6 bps -18 bps +4 bps

Q4/19 Earnings Less RWA Growth Share Buybacks Pension Regulatory Other Non-core Q1/20 Reported Dividends (ex. FX) (Net of Issuances) Changes (net) Divestitures Reported

Internal Generation

Strong Capital Levels

14.6% 14.7% 14.8% 14.2% 14.6% 2.1% 2.2% 2.5% 2.0% 2.1% 1.4% 1.4% 1.1% 1.1% 1.1%

11.1% 11.1% 11.2% 11.1% 11.4%

Q1/19 Q2/19 Q3/19 Q4/19 Q1/20

CET1 Tier 1 Tier 2

17 Technology Strategy

$

● Build a strong and ● Cloud-first strategy ● Rebalance core ● Maintain consistent scalable platform for automation and technology spending investment in foundation speed towards modernization technology

Technology Investment Technology Investment Growth Rate (YoY Change) ~11% of revenue ($3.6B) ● Common systems 21%

Moderating to ● Software re-use, best practice-sharing 14% steady-state growth 12% 11% rate ● Consistent software design 9% Customer-focused micro-services 7% ● ● Analytics on real-time data ● Strong cyber-security foundation

2014 2015 2016 2017 2018 2019 18 Fintech

Partnerships Focus Areas Proof of Concepts1

• Credit adjudication • Accessibility • Natural language processing • Personal financial management • Customer experience and self-service • Machine-learning modelling • Data collaboration • Cybersecurity

1 Selected proof of concepts with fintech partners 19 Growth in Digital Banking Steady progress against 2018 Investor Day digital targets

Digital Retail Sales1 Digital Adoption2 In-Branch Financial Transactions3

+19% +15% -12% 30 39 41 26 28 23 33 20 22 29 26 16 15 14 11

2016 2017 2018 2019 Q1/20 2016 2017 2018 2019 Q1/20 2016 2017 2018 2019 Q1/20

Goal Goal Goal >50% >70% <10%

• Strong progress made • Adoption grew 8% • In-branch across core markets since Q1/19 transactions fell 4% compared to Q1/19

1 Canada: F2017 22%, F2018 26%, F2019 26% PACs: F2017 13%, F2018 19%, F2019 29% 2 Canada: F2017 36%, F2018 38%, F2019 42% PACs: F2017 20%, F2018 26%, F2019 35% 3 Canada: F2017 17%, F2018 15%, F2019 12% PACs: F2017 29%, F2018 24%, F2019 19% 20 Environmental, Social & Governance (ESG)

Scotiabank’s Climate Commitments include: Mobilize $100 billion by 2025 to reduce the impacts of climate change.

Memberships, Associations and Partnerships

21 Environmental, Social & Governance (ESG) Highlights from 2019

• Committed to mobilize $100 billion by 2025 to • Nearly $100 million invested globally in • Top 1% of global financial institutions for reduce the impacts of climate change communities where we operate as part of our Corporate Governance in Dow Jones global philanthropy program Sustainability Index • Issued USD$500 million Green Bond. Proceeds fund assets under the Scotiabank Green Bond • $3 billion in funding committed over the first • 38% of our directors are female. We first Framework, including renewable energy, clean three years of The Scotiabank Women InitiativeTM established a Board diversity policy in 2013 transportation and green buildings to advance women-led businesses in Canada • Appointed third independent Chairman in 2019. • Achieved 17% greenhouse gas (GHG) reduction • Signed the UN Women’s Empowerment Separate CEO and Chairman roles since 2004 from a 2016 baseline, achieving our 10% target Principles and UN LGBTI Codes for Business two years early; set new target of 25% by 2025 Conduct • Dedicated significant Board time to cybersecurity, anti-money laundering, conduct • Internal price on carbon of $15/tonne invested in • $250 million committed over 10 years to help and culture issues, keeping the Bank safe GHG reduction initiatives; increased to employees adapt to the digital economy $30/tonne for 2020; to $60/tonne by 2022 • Lead bank in Canada in the Finance Against • Implemented a Climate Change Risk Slavery and Trafficking initiative, the Financial Assessment tool in corporate & commercial Access Project, to open accounts for survivors of lending to assess clients’ physical & transition modern slavery climate risks 22 Business Line Canadian Banking Overview

23 Canadian Banking Top 3 bank in personal & commercial banking in Canada

• Canadian Banking provides a full suite of financial advice and banking solutions, supported by an excellent customer experience, to Retail, Small Business, Commercial Banking customers. Canadian Banking also provides an alternative self- directed banking solution to over 2 million Tangerine Bank customers.

Retail Residential Mortgages MEDIUM-TERM FINANCIAL OBJECTIVES 76% 62%

Target2

1 AVERAGE 3 REVENUE MIX LOAN MIX1 NIAT Growth 5%+ $351B $2.7B 2% Productivity Ratio <44% Credit Cards 20% 16% 24% Business and Personal Operating Leverage Positive Commercial Government Loans Loans

STRATEGIC OUTLOOK • Improve Sustained Business Performance: Invest to grow our higher ROE businesses, including Business Banking, to deliver consistent and stable long-term earnings growth • Instill a Winning team Culture: Engage employees through a RESULTS (Revenue, Earnings, Simplify, Urgency, Listen, Trust, Support) focused culture • Superior Customer Experience: Develop deeper household relationships for our customers across Canada by providing differentiated focus and service to those who are most loyal and engaged • Scale our unique partnerships and assets: Leverage our long-term partnerships and assets like MLSE, Scene and Wealth businesses to generate growth across our division

1 For the three months ended January 31, 2020; 2 3-5 year target from 2020 Investor Day; 3 Adjusted Net income attributed to equity shareholders 24 Canadian Banking Financial Performance

$MM Q1/20 Y/Y Q/Q YEAR-OVER-YEAR HIGHLIGHTS 3 Reported • Adjusted Net Income up 5% Net Income1 $852 (1%) (5%) o Solid volume growth and higher fee income Pre-Tax, Pre Provision Profit $1,474 +6% +1% offsetting margin pressure Revenue $2,707 +5% +1% o Stable PCL ratio Expenses $1,233 +4% +1% • Revenue up 5% PCLs $321 +39% +30% o Net interest income up 4% Productivity Ratio 45.6% (30 bps) +20 bps o Non-interest income up 7% Net Interest Margin 2.36% (3 bps) (5 bps) • Loan growth of 6% PCL Ratio2 0.36% +8 bps +8 bps o Residential mortgages up 5%; credit cards up 5% PCL Ratio Impaired Loans2 0.30% +2 bps +1 bp o Business loans up 12% Adjusted3 • Deposit growth of 5% Net Income1 $908 +5% +1% Personal up 5%; Non-Personal up 6% Pre-Tax, Pre Provision Profit $1,479 +5% +1% o Expenses $1,228 +4% +1% • NIM down 3 bps 3 PCLs $250 +8% +1% • Positive operating leverage of +0.9% Productivity Ratio 45.4% (30 bps) +20 bps • Improved productivity ratio 2 PCL Ratio 0.28% - - 1,3 ADJUSTED NET INCOME ($MM) AND NIM (%) 2 PCL Ratio Impaired Loans 0.29% +1 bp - 2.44% 2.39% 2.40% 2.41% 2.36%

865 823 914 902 908

1 Attributable to equity holders of the Bank 2 Provision for credit losses on certain assets – loans, acceptances and off-balance sheet exposures 3 Q1/19 Q2/19 Q3/19 Q4/19 Q1/20 Adjusted for Acquisition-related costs and impact of additional pessimistic scenario 25 Canadian Banking: Financial Performance High quality retail loan portfolio: ~93% secured

• High quality residential mortgage portfolio 80% 1 o 37% insured; remaining 63% uninsured has a LTV of 54% Real Estate • Market leader in auto loans Secured Lending

o $39.1 billion retail auto loan portfolio with 7 OEM relationships (3 exclusive) o Prime Auto and Leases (~91%) o Stable lending tenor with contractual terms for new originations averaging 78 months (6.5 years) with projected effective terms of 54 months (4.5 years) DOMESTIC RETAIL • Growth opportunity in credit cards LOAN BOOK2

o $7.7 billion credit card portfolio represents ~3% of domestic retail loan book $302.6B and 1.2% of the Bank’s total loan book

o Organic growth strategy focused on payments and deepening customer relationships

o Upside potential from existing customers: over 80% of growth is from existing customers (penetration rate mid-30s and trending up versus peers in the low- 40s) 4% o Strong risk management culture with specialized credit card teams, customer 13% Unsecured analytics and collections focus Automotive 3% Credit Cards

1 LTV calculated based on the total outstanding balance secured by the property. Property values indexed using Teranet HPI data 2 Spot Balance as of January 31, 2020

26 Canadian Banking: Residential Mortgages High quality, diversified portfolio

• Residential mortgage portfolio of $230 billion: 37% insured; LTV 54% on the uninsured book1 o Mortgage business model is “originate to hold” 2 o New originations in Q1/20 had average LTV of 64.4% o Majority is freehold properties; condominiums represent approximately 13.9% of the portfolio • Three distinct distribution channels: all adjudicated under the same standards o 1. Broker (~61%); 2. Branch (~19%); and 3. Mobile Salesforce (~20%) o Our recently launched Scotiabank eHOME digital mortgage solution is emerging as our 4th distribution channel. Since the launch of eHOME, we have processed more than 2,800 mortgage applications. Most recently, we launched the ability for Canadians to get pre-approved online with a credit decision and a pre-approval letter in just minutes – another first for the industry. Over 1,200 preapproval applications have already been processed. We have also partnered with the Canadian Real Estate Association (CREA) to enable customers to search for a home directly within eHOME, making the entire home-buying journey digital CANADIAN MORTGAGE PORTFOLIO: $230B (SPOT BALANCES AS AT Q1/20, $B) 37% Insured $119.4 Freehold - $198B Condos - $32B $14.8

Total Portfolio: $230 billion $104.6 $43.0 $11.0 $30.7 $3.7 $16.4 $32.0 $1.9 $27.0 $11.1 $0.2 $9.4 $14.5 $10.8 $8.7 $0.7 63% Ontario BC & Territories Alberta Quebec Atlantic Provinces Manitoba & Uninsured % of Saskatchewan portfolio 51.9% 18.7% 13.4% 7.1% 4.8% 4.1%

1 LTV calculated based on the total outstanding balance secured by the property. Property values indexed using Teranet HPI data 2 New originations defined as newly originated uninsured residential mortgages and have equity lines of credit, which include mortgages for purchases 27 refinances with a request for additional funds and transfer from other financial institutions Canadian Residential Mortgages – LTVs * Credit fundamentals remain strong

NEW ORIGINATIONS UNINSURED LTV* DISTRIBUTION

Q1/19 Q4/19 Q1/20 Canada Total Originations ($B) 9.3 13.3 11.2 GVA Uninsured LTV 64% 65% 64% 63% GTA GTA

63% BC & Total Originations ($B) 3.2 4.2 3.7 Territories Uninsured LTV 63% 64% 63% 64% GVA Atlantic Prairies 67% Total Originations ($B) 1.0 1.6 1.4 ON QC Provinces 64% 67% 66% Uninsured LTV 59% 64% 63%

*Average LTV ratios for our uninsured residential mortgages originated during the quarter

FICO® DISTRIBUTION – CANADIAN UNINSURED PORTFOLIO2 59% Average FICO® Score Canada 790 GTA 792 Only <0.69% of uninsured portfolio3 has GVA 796 • a FICO® score of <620 and an LTV >65%

15% • Canadian uninsured mortgage portfolio 11% 11% 4% is $144 billion as at Q1/2020

< 635 636 - 706 707 - 747 748 - 788 > 788 FICO is a registered trademark of Fair Isaac Corporation 2 FICO ® distribution for Canadian uninsured portfolio based on score ranges at origination 3 Percentage is based on Total Mortgages

*Above figures include Wealth Management 28 Tangerine

Canada’s leading digital Bank

Medium Term 15%+ 6%+ 10%+ Objectives Earnings CAGR Deposits CAGR Assets CAGR

No.1 A+® Award No.1 Recent Mid-Sized Bank By Fundgrade Credit Card Accolades Ranked No. 1 in Client Awarded for performance of Ranked highest in Credit Satisfaction by J.D. Power for Balanced Income Portfolio in Card Satisfaction by J.D. the 8th year in a row 2019 Power

Client Experience Product Innovation Strategic Partnerships Our Maintain industry-leading Broadening asset and payments Leverage partnerships with Approach position in customer experience portfolios to double earnings and Raptors, MLSE, and Cineplex to through best-in-class meet evolving client needs drive client growth and onboarding and innovation satisfaction

29 Automotive Finance Canada’s leader in automotive finance

• Provide personal and commercial dealer financing solutions, in partnership with seven leading global automotive manufacturers in Canada • Portfolio grew 5%1 year-over-year o Personal up 6%, Commercial up 1%

Exclusive Relationships Commercial

13% MAZDA VOLVO JAGUAR/LAND ROVER

Near-Prime AVERAGE Retail ASSET MIX 8% $44.8B1 Semi-Exclusive Relationships* 79% 100% Secured HYUNDAI CHRYSLER GM TESLA Prime Retail

* 1 to 2 other financial institutions comprise Semi-Exclusive relationships

Market Share Prime Retail Market Share2 Near-Prime Retail Market Share3 Commercial Floorplan Market Share4

24% 28% 37%

63% 76% 72%

1 For the three months ended January 31, 2020; 2 CBA data as of July 2019, includes RBC, CIBC, Canadian Western Bank, National Bank, TD, Scotiabank, Laurentian Bank; 3 DealerTrack Portal data, includes all Near-Prime Retail providers on DealerTrack Portal, data for January 2020 originations; 4 Includes BMO, CIBC, RBC, Scotiabank, TD, HSBC, Canadian Western Bank, Laurentian Bank, data as of June 2019 30 Business Line International Banking Overview

31 International Banking Leading P&C bank focused on high quality growth markets in Latin America and the Caribbean

• International Banking operates primarily in Latin America and the Caribbean with a full range of personal and commercial financial services. Core markets are the Pacific Alliance countries of Mexico, Peru, Chile and Colombia

Asia Business 2% 52% Loans MEDIUM-TERM FINANCIAL OBJECTIVES

1 1 2 24% REVENUE Credit LOAN MIX Target Cards 7% C&CA $3.0B 74% $151B

Latin NIAT Growth3 9%+ America 15% Personal 26% 25% 28% Peru Loans Residential Mexico Productivity Ratio <50% Mortgages 7% Other Latin America 93% PAC Operating Leverage Positive 25% 15% Chile Colombia

STRATEGIC OUTLOOK • Optimize Footprint: Continue executing with discipline announced acquisitions and divestitures to enhance the risk profile of our portfolio and improve quality of our earnings • Lead in Customer Experience and Digital: Continue accelerating our digital transformation to amplify business impact and continue deploying digital solutions to other channels to optimize our distribution model • Accelerate Growth Drivers: Leverage new strategic partnership to accelerate insurance growth, scale our Capital Markets business in the Pacific Alliance and build our Wealth business with focus in affluent customer segment

1 For the 3 months ended January 31, 2020; 2 3-5 year target from 2020 Investor Day; 3 Excluding divestitures impact 32 International Banking Financial Performance

$MM1 Q1/20 Y/Y Q/Q YEAR-OVER-YEAR HIGHLIGHTS1 Reported • Adjusted Net Income ex. divestitures down 4%2,5 Net Income2 $518 (29%) (23%) Tax benefits in Mexico last year Pre-Tax, Pre Provision Profit $1,321 (10%) (11%) o Revenues ex. divestitures up 4% Revenue $2,985 (2%) (5%) • Margin compression in Mexico and Chile Expenses $1,664 +6% - o PCLs $580 +30% +17% o Gain from foreclosed asset sale last year Productivity Ratio 55.7% +360 bps +270 bps o Strong loan growth - Pacific Alliance up 10% 3 Net Interest Margin3 4.51% (3 bps) - • NIM down 3 bps 5 PCL Ratio4 1.57% +28 bps +22 bps • Adjusted Expenses ex. divestitures up 5% PCL Ratio Impaired Loans4 1.45% +21 bps +18 bps o Impact of acquisitions in Peru and Dominican Adjusted5 Republic Net Income2 $615 (17%) (15%) • Adjusted Operating leverage of -0.8%5 ex.

Net Income – Ex Divested divestitures $560 (4%) (1%) Ops.2 2,5 3 Pre-Tax, Pre Provision Profit $1,404 (7%) (10%) ADJUSTED NET INCOME ($MM) AND NIM (%) Expenses $1,581 +3% (1%) 4.54% 4.62% 4.51% 4.51% 4.51%

PCLs $503 +12% +2% 743 723 762 725 615 Productivity Ratio 52.9% +200 bps +250 bps 159 156 141 154 55 PCL Ratio4 1.36% +7 bps +1 bp 621 PCL Ratio Impaired Loans4 1.37% +13 bps +10 bps 584 567 571 560

Q1/19 Q2/19 Q3/19 Q4/19 Q1/20

1 Y/Y and Q/Q growth rates (%) are on a constant dollars basis, while metrics and change in bps are on a reported basis 2 Attributable to equity holders of the Bank 3 Net Interest Margin is on a reported basis Ex. Divested Ops Divested Ops 4 Provision for credit losses on certain assets – loans, acceptances and off-balance sheet exposures 5 Adjusted for Acquisition and Divestiture-related amounts and impact of additional pessimistic scenario 33 The Bank of the Pacific Alliance (PAC)

Only universal bank with full presence in all Pacific Alliance countries

Well-established bank with 30+ years of experience in the region

Competitive scale in each market

8 million1 Retail and ~30,000 Corporate & Commercial customers >100 multi-national corporate customers within the Pacific Alliance

1 10 million customers in PAC including affiliates

34 PAC Fundamentals Driving Growth

Strong Sound Macro Favourable Governance Environment Demographics

● Democratic countries ● Diversified economies ● 225 million people with with open economies with strong GDP median age of 30 years growth ● Independent central ● Strong domestic banks with inflation ● Resilience to economic consumption targets and political cycles ● Much lower banking ● Free trade agreements ● Investment Grade- penetration compared to and free-floating rated Canada currencies ● Low Debt/GDP ratios ● Among the fastest ● Business-friendly with lower fiscal growing smartphone environments deficits compared to markets in the world G7 ● Considerable growth in ● Increasing adoption of middle class banking services

35 Resilience of the Pacific Alliance

+3.0% +3.1% Average Annual +2.9% +2.7% GDP Growth +2.3% +1.8% +1.6%

Notable Events Low Oil Election & Election Social (by country) Election No events Prices Odebrecht & Trade Dispute Unrest

Approximate GDP -2.2%1 -2.6%2 -1.5%3 -1.5%4 -1.8%5 Impact on country

+13% CAGR $2.8 $3.2 International $2.4 Banking $1.9 $2.1 Earnings $1.7 (C$B) 2014 2015 2016 2017 2018 2019F 2020F

NOTE: Pacific Alliance GDP growth calculated based on mean average of the four PAC countries 1 2013 GDP growth rate vs. 2014 – 2017 average; 2 2014 vs. 2015 – 2017 average; 3 2016 vs. 2017; 4 2016 vs. 2017 – 2019 average; 5 Estimated impact in 2020F due to social unrest; Source: Past GDP data from IMF; forecast from Scotiabank Economics 36 Scotiabank in Mexico Including all Business Segments

Footprint Customers Employees Branches1 Market Position by Loans4 23.0% ~3.5 ~12,900 ~592 million 14.1% Balance and Loan Market Average 13.2% 12.1% Average Loans Market Position Share4 Deposits 7.7% 7.4% 7.7% $33 $26 4.6% billion billion 3.4% 2.0% Financial Total NIAT2, 5 ROE3 Productivity3 Performance

$574 18.8% 54.1% BBVA Banorte Santander Banamex Scotiabank HSBC Inbursa Bajio Regio million NIAT5 Productivity Ratio Operating Leverage

+20% 63.0 7.5% CAGR % 6.9% 666 579 465 337 58.6% 1.5% -0.9%

55.4% 55.0% 2016 2017 2018 2019

All figures in CAD$ Constant currency 2016 2017 2018 2019 2016 2017 2018 20192019 1 Includes bank and wealth branches; does not include 177 Credito Familiar branches 2 Adjusted; for the LTM ended January 31, 2020 not adjusted for currency 3 Adjusted; for the LTM ended January 31, 2020 4 Source: CNBV as of December 2019 5 After NCI on an adjusted basis 37 Scotiabank in Peru Including all Business Segments

Footprint Customers1 Employees1 Branches1 Market Position by Loans4 31.5% 4.0 12,000 314 million 19.5% Balance and Loan Market Average 18.1% Average Loans Market Position Share4 Deposits 12.0% 18.1% $22 $19 billion billion

Financial Total NIAT2,5 ROE 3 Productivity3 Performance BCP BBVA Scotia Interbank $795 24.5% 36.0% million NIAT5 Productivity Ratio Operating Leverage +12% CAGR 40.0% 810 7.9% 39.3% 688 6.8% 572 604 37.5% 5.0%

1.8%

2016 2017 2018 2019 35.2% All figures in CAD$ Constant currency 2016 2017 2018 2019 2016 2017 2018 2019 1 Including subsidiaries 2 Adjusted; for the LTM ended January 31, 2020 not adjusted for currency 3 Adjusted; for the LTM ended January 31, 2020 4 Market share as of December 2019. Scotiabank includes SBP, CSF and Caja CAT 5 After NCI on an adjusted basis 38 Scotiabank in Chile Including all Business Segments

Market Position by Loans4 Footprint Customers1 Employees Branches1

18.3 17.1 >3 ~9,000 162 million 14.4 14.1 13.7

Balance and Loan Market Average Average Loans 10 Market Position Share4 Deposits 14.4% $44 $23 billion billion

Financial Total NIAT2,5 ROE 3 Productivity3 Performance

$507 8.6% 43.2% Santander Chile Scotiabank Estado BCI Itaú million NIAT5 Productivity Ratio Operating Leverage

+28% 53.6% CAGR 718 13.3% 515 49.5% 8.5% 381 339 4.3%

44.7% 43.4% -2.3% 2016 2017 2018 2019

All figures in CAD$ Constant currency 2016 2017 2018 2019 2016 2017 2018 2019 1 Includes affiliates & consumer microfinance 2 Adjusted; for the LTM ended January 31, 2020 not adjusted for currency 3 Adjusted; for the LTM ended January 31, 2020 4 Market share as of December 2019. Local view, exclude offshore loans. Source: CMF 5 NIAT Before NCI 39 Scotiabank in Colombia Including all Business Segments

Market Position by Loans4 Footprint Customers Employees Branches1 26.0% 3.1 ~9,000 188 million 16.0% Balance and Loan Market Average Average Loans 12.2% Market Position Share4 Deposits 10.4% 5.9% 5.9% 5.9% $12 $10 4.3% billion billion

Financial Total NIAT2,6 ROE 3 Productivity3 Performance Bancolombia Davivienda Bogotá5 BBVA Occidente5 Scotiabank Corpbanca $121 8.1% 56.7% Colpatria million NIAT6 Productivity Ratio Operating Leverage

+53% CAGR 54.5% 139 52.6% 53.4% 50.3% 73 85 1.6% 38 -1.8% -2.4% -6.4%

2016 2017 2018 2019 All figures in CAD$ Constant currency 1 As of November 2019 2016 2017 2018 2019 2016 2017 2018 2019 2 Adjusted; for the LTM ended January 31, 2020 not adjusted for currency 3 Adjusted; for the LTM ended January 31, 2020 4 Market share as of November 2019 5 Members of AVAL Group: Banco de Bogotá, Banco de Occidente, Banco Popular and Banco AV Villas. AVAL is 2nd in market share in terms of Loans (25%) and 1st in Deposits (27%) 6 After NCI on an adjusted basis 40 Other Regions Leading Caribbean & Central American franchise

Caribbean & Central America Asia

• Leading bank serving retail, commercial, and Thailand: 6% interest in TMB Bank corporate customers • Reduced investment in Thailand in • Major markets include the Dominican Republic, Q1/20 resulting ~6% minority interest Jamaica, Trinidad & Tobago, Costa Rica, in TMB Bank Panama and The Bahamas • Sharpened geographic footprint by exiting China: ~18% interest in Bank of Xi’an higher risk, low growth jurisdictions including Haiti, El Salvador, Puerto Rico, US Virgin Islands • CAD $855MM carrying value as of and 7 of the Leeward Islands January 31, 2020 Dominican Republic: #4 bank • CAD $496MM of net income for twelve months ended October 31, • Acquired Banco Dominicano del Progreso 2019 in 2019

41 Business Global Wealth Line Overview Management

42 Global Wealth Management Profitable, High Growth, Strong Momentum

• Global Wealth Management is focused on delivering comprehensive wealth management advice and solutions to clients across Scotiabank’s footprint

MEDIUM-TERM FINANCIAL OBJECTIVES Customers1 Employees1 Countries1

2.5 7,200 14 Target3 million

Assets Under Administration1 Assets Under Management1 Earnings Growth 8%+ $497 $298 billion billion Productivity Ratio <65%

Return on Equity1,2 Productivity Ratio1,2 Operating Leverage1,2 Operating Leverage Positive 13.7% 62.4% Positive

Competitive Asset Management: Proprietary and 3rd Party Fund Distribution Advantages Advisory: Fully-integrated advice model, including Private Banking

1 Figures as of January 31, 2020 or for the 3 months ended January 31, 2020 2Adjusted for Acquisition-related costs and impact of additional pessimistic scenario 33-5 year target from 2020 Investor Day 43

Global Wealth Management Financial Performance

$MM, except AUM/AUA Q1/20 Y/Y Q/Q YEAR-OVER-YEAR HIGHLIGHTS Reported • Adjusted Net Income up 11%2 1 Net Income $306 +12% +2% • Revenue up 5% Pre-Tax, Pre Provision Profit $420 +12% +4% Up 7% excluding impact of divestitures Revenue $1,157 +5% +1% o Strong AUA/AUM growth Expenses $737 +2% (1%) o PCLs $1 (50%) N/A o Solid brokerage revenue growth Productivity Ratio 63.7% (210 bps) (110 bps) • Adjusted Expenses up 2%2 AUM ($B) $298 +6% (1%) o Volume related expense growth AUA($B) $497 +7% - • Positive adjusted operating leverage of 3%2 Adjusted2 2 Net Income1 $318 +11% +1% • Improved industry leading productivity ratio Pre-Tax, Pre Provision Profit $435 +11% +3% • Strong AUM growth of 6% and AUA growth of 7% Expenses $722 +2% - o Market appreciation PCLs - N/A N/A Positive net sales in Mutual Funds Productivity Ratio 62.4% (180 bps) (70 bps) o ADJUSTED NET INCOME1,2 ($MM) AND ROE2 (%)

12.3% 13.5% 13.5% 13.6% 13.7%

286 303 313 314 318

1 Attributable to equity holders of the Bank 2 Adjusted for Acquisition-related costs and impact of additional pessimistic scenario Q1/19 Q2/19 Q3/19 Q4/19 Q1/20

44 Global Wealth Management: Profitable, High Growth, Strong Momentum

1st 2nd 3rd 4th 5th 6th

Private Investment Counsel

Private Banking

Trust Advisory Full Service Brokerage Canada Discount Brokerage

Retail Mutual Funds

Institutional Funds

Mexico AUM Blackrock

BANCO Chile AUM SECURITY Asset Management Asset

International Peru AUM Credifondo Continental Interfondos Fondos Sura

Sources: IFIC, Strategic Insight Reports 45 Business Line Global Banking Overview and Markets

46 Global Banking and Markets Second-largest Canadian wholesale banking and capital markets business

• Full-service wholesale bank the Americas, with operations in 21 countries, serving clients across Canada, the United States, Latin America, Europe and Asia-Pacific

MEDIUM-TERM FINANCIAL OBJECTIVES

Asia Canada Global Business Target2 6% Equities Banking 44% Europe 52% 10% GEOGRAPHIC 16% REVENUE BY NIAT Growth ~5% REVENUE1 BUSINESS LINE1 $1.3B $1.3B Productivity Ratio ~50%

40% 32% US FICC Operating Leverage Positive

STRATEGIC OUTLOOK • Client Focus: Increase our relevance to our corporate clients and drive alignment of resources with the most significant revenue opportunities, to capture more of the non-lending wallet • Strengthen our capital markets offering: Enhance distribution and product capabilities and deepen institutional relationships • Build on our presence in the Americas: Enhance our franchise in Canada, continue to pursue targeted, phased growth in the U.S., create a top-tier local and cross-border Pacific Alliance business, and leverage Europe and Asia for distribution of our Americas product in support of our corporate clients

1 For the 3 months ended January 31, 2020; 2 3-5 year target from 2020 Investor Day 47

Global Banking and Markets Financial Performance

$MM Q1/20 Y/Y Q/Q YEAR-OVER-YEAR HIGHLIGHTS Adjusted Net Income up 35% Y/Y3 Reported • 1 Net Income $372 +11% (8%) o Strong growth in trading-related revenue Pre-Tax, Pre Provision Profit $513 +19% (5%) • Adjusted Revenue up 18%3 Revenue $1,167 +9% - 3 o Adjusted Non-interest income up 34% Expenses $654 +1% +4% • Loans grew 6% PCLs $24 N/A +500% • Deposits up a strong 21% Productivity Ratio 56.0% (400 bps) +200 bps • Expenses up 1% PCL Ratio2 0.09% +16 bps +7 bps Higher performance-related compensation PCL Ratio Impaired Loans2 0.14% +15 bps +9 bps o 3 Adjusted3 • Improved adjusted productivity ratio by 850 bps 3 Net Income1 $451 +35% +11% • Positive adjusted operating leverage of 17% Pre-Tax, Pre Provision Profit $615 +43% +14% • Adjusted PCL ratio2,3 of 7 bps Revenue $1,269 +18% +8% PCLs $18 N/A +350% Productivity Ratio 51.5% (850 bps) (250 bps) ADJUSTED NET INCOME1,3 ($MM) AND ROE3 (%) PCL Ratio2 0.07% +14 bps +5 bps 15.2% 13.8% 14.0% 11.5% 12.8%

451 420 335 374 405

1 Attributable to equity holders of the Bank 2 Provision for credit losses on certain assets – loans, acceptances and off-balance sheet exposures Q1/19 Q2/19 Q3/19 Q4/19 Q1/20 3 Adjusting for the derivative valuation adjustment and impact of additional pessimistic scenario 48 Scotiabank in the U.S.

• Wholesale bank in the US: Corporate & Investment Banking, Capital Markets, Cash Management and Trade Finance • Top 15 foreign bank organization (FBO) in the US

Clients1 Employees1 Offices1 >4,000 ~700 5

Revenue1 Average Loans1 Average Deposits1 $1,896 $43 $57 million billion billion

Total NIAT1 ROE1 Productivity1 $777 18.7% 46.2% million

• Client focus is on S&P 500, investment grade corporates • Current sectors of strength include: Power & Utilities and Energy. Focus areas for growth include Real Estate, Technology, and Healthcare

1 As presented in the 2020 Investor Day; figures for fiscal 2019 49 Risk Overview

50 Risk Snapshot

RWA Breakdown1 Credit Exposure by Country2,3 Credit Exposure by Sector1,2 Canada

Chile Real Estate and Construction 5.7% Financial Services 5.5% Credit Risk 64% U.S. 2% Wholesale and Retail 2% C&CA 4.4% 4% 1 $421B 87% Operational Risk $611B Other 3.0% 11% 5% Other International Energy 2.7% 5% Mexico Market Risk 5% Technology and Media 2.5% 7% 8% Peru Automotive 2.2% Colombia Agriculture 2.2% Personal & Commercial Lending Utilities 2.1% Transportation 1.5% 1,2 1,2 Canadian Banking International Banking Food and Beverage 1.4% Mining 1.1% Health Care 1.0% 66% Secured Secured Sovereign 0.9% 7% $312B $70B Hospitality and Leisure 0.7% 93% Unsecured Forest Products 0.5% Unsecured 34% Metals 0.5% Chemicals 0.4%

1 As at January 31, 2020 2% of total loans and acceptances 3 As at October 31, 2019 51 Risk Density

• Risk density has declined over the past 5 years • Major acquisitions have been successfully integrated with no adverse impact on risk density

Credit RWA Density (Credit Risk-Weighted Assets/Credit Exposure at Default)

40%

38%

35.82% 35.56% 36% 35.13%

33.65% 34% 34.78% 33.31% 32%

30% Q1/15 Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 Q3/16 Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 Q2/18 Q3/18 Q4/18 Q1/19 Q2/19 Q3/19 Q4/19 Q1/20

52 Historical PCL Ratios on Impaired Loans Credit fundamentals remain strong; PCLs on impaired loans in line with long-term average

ALL BANK: HISTORICAL PCL RATIO ON IMPAIRED LOANS1

2002: Included $454 2.00% 2009: Higher PCLs driven million related to the by economic conditions, Bank’s exposure to event distributed across Argentina 1.50% business lines. Higher general allowance and Average: 45 bps sectoral allowance (automotive related) 1.00%

0.50%

0.00% 2011 2015 2013 2012 2017 2014 2018 2016 2019 2001 2010 Q120 2005 2003 2002 2007 2004 2008 2006 2009 PCL Ratio on Impaired Loans Historical Average - PCL Ratio on Impaired Loans (45 bps)

CANADIAN BANKING: HISTORICAL PCL RATIO ON IMPAIRED LOANS1

2.00%

1.50%

1.00% Average: 26 bps

0.50%

0.00% 2011 2015 2013 2012 2017 2014 2018 2016 2019 2001 2010 Q120 2005 2003 2002 2007 2004 2008 2006 2009 PCL Ratio on Impaired Loans Historical Average - PCL Ratio on Impaired Loans (26 bps)

1 Provision for credit losses on certain assets – loans, acceptances and off-balance sheet exposures 53 Canadian Retail: Loans and Provisions1

MORTGAGES PERSONAL LOANS2

95 91 80 85 84 88 78 81 90 69 2 2 1 0 1 1 1 1 1 0

Q1/19 Q2/19 Q3/19 Q4/19 Q1/20 Q1/19 Q2/19 Q3/19 Q4/19 Q1/20

LINES OF CREDIT3 CREDIT CARDS

96 458 86 80 402 381 385 81 72 349 415 75 70 73 70 73 339 379 377 241

Q1/19 Q2/19 Q3/19 Q4/19 Q1/20 Q1/19 Q2/19 Q3/19 Q4/19 Q1/20

PCL as a % of avg. net loans (bps) PCLs on Impaired Loans as a % of avg. net loans (bps)

Loan Balances Q1/20 Mortgages Personal Loans2 Lines of Credit3 Credit Cards Total Spot ($B) $230 $41 $34 $8 $3124 % Secured 100% 99% 61% 3% 93%5

1 Includes Wealth Management. PCL excludes impact of additional pessimistic scenario 2 95% are automotive loans 3 Includes Home Equity Lines of Credit and Unsecured Lines of Credit 4 Includes Tangerine balances of $6 billion 5 80% secured by real estate; 13% secured by automotive 54 International Retail: Loans and Provisions

MEXICO PERU

246 251 517 545 233 231 208 473 471 402 163 228 218 491 470 199 203 424 364 372

2 2 Q1/19 Q2/19 Q3/19 Q4/19 Q1/20 Q1/19 Q2/191 Q3/19 Q4/19 Q1/20 CARIBBEAN & CENTRAL AMERICA CHILE COLOMBIA

191 554 549 531 170 187 178 155 159 155 160 471 439 157 141 165 170 175 485 156 148 150 154 455 420 406 138 138 120 377

1 2 2 2 Q1/19 Q2/19 Q3/19 Q4/19 Q1/20 Q1/19 Q2/19 Q3/19 Q4/19 Q1/20 Q1/19 Q2/19 Q3/19 Q4/19 Q1/20

PCL as a % of avg. net loans (bps) PCLs on Impaired Loans as a % of avg. net loans (bps)

Loan Balances Mexico Peru Chile Colombia C&CA Total3 Q1/20 Spot ($B) $14 $10 $24 $7 $14 $70

1 Adjusted for acquisition-related costs, including Day 1 PCL impact on acquired performing loans 2 PCL excludes impact of additional pessimistic scenario 3 Total includes other smaller portfolios 55

Energy Exposure1 High quality energy portfolio, reduced exposure to 2.7% of total loans from 3.6% in Q1/16

Loans and % of Total % of Total Loans and % Investment Acceptances Energy Acceptances Grade Outstanding ($B) Exposure Outstanding Total Exploration and Production 6.9 41% 1.1% 53%

Canadian E&P 3.4 20% 0.6% 74% 4 U.S. E&P 0.9 6% 0.2% 34%

Midstream 5.8 34% 0.9% 58%

Services 1.5 9% 0.2% 17%

Downstream 2.6 16% 0.4% 72% Total Energy Exposure2 16.8 100% 2.7% 54%

Canada C&CA (57%) 6.9 (34%) • Energy portfolio represents 2.7% of loans and Europe 0.4 (44%) acceptances outstanding, down from 3.6% in Q1 2016. Energy 0.7 Exposure by • 54% is rated Investment Grade (IG) Geography2 • Watchlist3 reduced to 3.9% of total Energy outstandings Latin from a high of 13.6% as of Q4/16 1.0 $16.8B 3.3 America Asia (95%) (%IG) (44%)

3.2 1.3 1 As of January 31, 2020 U.S. Mexico 2 May not add due to rounding 3 Includes Impaired accounts (50%) (59%) 4 Reduction in IG from previous quarter a function of a material repayment on an IG account 56

Treasury and Funding

57 Funding Strategy Flexible, well-balanced and diversified funding sources

Funding Programs1 Funding Strategy US Debt & Equity Shelf (senior / subordinated debt, preferred and common shares) • Build customer deposits in all of our key Limit – USD 40 billion markets Global Registered Covered Bond Program (uninsured Canadian mortgages) • Continue to reduce wholesale funding (WSF) Limit – CAD 38 billion while focusing on TLAC eligible debt EMTN Shelf Limit – USD 20 billion • Achieve appropriate balance between CAD Debt & Equity Shelf efficiency and stability of funding including (senior / subordinated debt, preferred and common shares) maintaining pricing relative to peers Limit – CAD 15 billion START ABS program (indirect auto loans) • Diversify funding by type, currency, program, Limit – CAD 15 billion tenor and markets Australian MTN program Limit – AUD 8 billion

• Centralized funding strategy and associated Singapore MTN program risk management Limit – USD 7.5 billion

Halifax ABS shelf (unsecured lines of credit) Limit – CAD 7 billion

Principal at Risk (PAR) Note shelf Limit – CAD 6 billion

Trillium ABS shelf (credit cards) Limit – CAD 5 billion USD Bank CP Program

1 In addition to the programs listed, there are also CD programs in the following currencies: Yankee/USD, EUR, GBP, Limit – USD 35 billion AUD, HKD 58 Wholesale Funding Wholesale funding diversity by instrument and maturity1,6,7

7% MATURITY TABLE (EX-SUB DEBT) 24% Bail-inable Notes (CANADIAN DOLLAR EQUIVALENT, $B) Senior Notes

$26 2% $25 Asset-Backed $4

Asset-Backed Securities $21 Commercial Paper3 $21 $4 $3 $11 $3 2% 10% $1 Covered Bonds $271B $14 $1 $6 9% $9 Mortgage $18 $17 $1 $18 Securitization4 $13 42% 3% $9 $8 Bearer Deposit Notes, Subordinated Commercial Paper & 1% Debt5 Short-Term Certificate Deposits from Banks2 < 1 Year 2 Years 3 Years 4 Years 5 Years 5 Years > of Deposits Senior Debt ABS Covered Bonds

1 Excludes repo transactions and bankers acceptances, which are disclosed in the contractual maturities table in the MD&A of the Interim Consolidated Financial Statements. Amounts are based on remaining term to maturity. 2 Only includes commercial bank deposits raised by Group Treasury. 3 Excludes asset-backed commercial paper (ABCP) issued by certain ABCP conduits that are not consolidated for financial reporting purposes. 4 Represents residential mortgages funded through Canadian Federal Government agency sponsored programs. Funding accessed through such programs does not impact the funding capacity of the Bank in its own name. 5 Although subordinated debentures are a component of regulatory capital, they are included in this table in accordance with EDTF recommended disclosures. 6 As per Wholesale Funding Sources Table in MD&A, as of Q1/20. 7 May not add to 100% due to rounding.

59 Deposit Overview Stable trend in personal & business and government deposits

PERSONAL DEPOSITS PERSONAL DEPOSITS (SPOT, CANADIAN DOLLAR EQUIVALENT, $B) $222 $223 $224 • Important for both relationship purposes and regulatory value $211 $225 $225 • Good momentum with 4.0% CAGR over $201 $215 $199 $198 the last 3 years $204 $202 $200 3Y CAGR – 4.0% Q1/17 Q1/18 Q1/19 Q3/17 Q2/17 Q3/18 Q2/18 Q4/17 Q3/19 Q2/19 Q4/18 Q4/19 Q1/20

BUSINESS & GOVERNMENT DEPOSITS1 (SPOT, CANADIAN DOLLAR EQUIVALENT, $B) BUSINESS & GOVERNMENT $227 $221 • Gaining share of deposits through $197 leveraging of relationships $179 $223 $172 $170 $211 $156 $197 • 13.3% CAGR over the last 3 years $174 $169 $168 3Y CAGR – 13.3% • Focusing on operational, regulatory friendly deposits Q1/17 Q1/18 Q1/19 Q3/17 Q2/17 Q3/18 Q2/18 Q4/17 Q3/19 Q2/19 Q4/18 Q4/19 Q1/20

1 Calculated as Bus& Gov’t deposits less wholesale funding as per Wholesale Funding Sources table in the MD&A, adjusted for Sub Debt

60 Wholesale Funding Utilization Managing reliance on wholesale funding and growing deposits

WHOLESALE FUNDING / TOTAL ASSETS REDUCED RELIANCE ON WHOLESALE FUNDING • Operating in line with peers Reduced reliance on wholesale funding 24.5% 24.6% o 23.9% 23.5% o Sustained focus on deposits as an alternate to wholesale funding

Q1/17 Q1/18 Q1/19 Q3/17 Q2/17 Q3/18 Q2/18 Q4/17 Q3/19 Q2/19 Q4/18 Q4/19 Q1/20

MONEY MARKET WHOLESALE FUNDING / FOCUS ON TERM FUNDING TOTAL WHOLESALE FUNDING • Prudently using money market funding to 44.7% absorb short term funding requirements o Primarily driven by increases in certificate of deposits, 39.9% commercial paper and bearer notes 38.7% 38.4%

Q1/17 Q1/18 Q1/19 Q3/17 Q2/17 Q3/18 Q2/18 Q4/17 Q3/19 Q2/19 Q4/18 Q4/19 Q1/20 61 Liquidity Metrics Well funded Bank with strong liquidity

• Liquidity Coverage Ratio (LCR) o Stable and sound management of liquidity o Net Stable Funding Ratio (NSFR) disclosure to commence Q1/20

128% 127% 128% 127% 125% 125% 125% 125% 124% 123%

Q4/17 Q1/18 Q2/18 Q3/18 Q4/18 Q1/19 Q2/19 Q3/19 Q4/19 Q1/20

• High Quality Liquid Assets (HQLA) o Efficiently managing LCR and optimizing HQLA

$165 $168 $158 $158 $160 $144 $140 $138 $127 $132

Q4/17 Q1/18 Q2/18 Q3/18 Q4/18 Q1/19 Q2/19 Q3/19 Q4/19 Q1/20

62 Appendix 1

Core Markets: Economic Profiles Canadian Economy Diverse sources of growth with a strong balance sheet

19.5% 12.5% REAL GDP GROWTH Finance, Insurance, Health & Education & Real Estate 3 10.3% 15.8% Wholesale & Other Retail Trade 2 CANADIAN GDP BY INDUSTRY 4.5% (Nov 2019) 10.0% 1 Transportation Manufacturing & Warehousing ANNUAL % CHANGE 6.1% 7.3% 0 Mining and Oil Professional, & Gas Extraction U.S. Canada Eurozone U.K. Japan Scientific, & Technical 2010–2018 2019e–2021f Services 6.8% 7.2% Sources: Scotiabank Economics, Haver Analytics, Statistics Canada. Public Administration Construction Forecasts as of January 13, 2020.

GENERAL GOVERNMENT NET FINANCIAL LIABILITIES GOVERNMENT FINANCIAL DEFICITS 2 1 1.0 0 (0.7) -1 (1.6) (1.5) (2.2) -2 (2.4) (2.5)

% OF GDP 122.5 125.7

% OF GDP -3 88.0 78.2 80.9 66.6 -4 -5 (5.5) 22.8 29.0 -6 Canada Germany OECD France U.K. U.S. Italy Japan Germany Canada OECD* UK Japan France Italy US * Arithmetic mean of all OECD financial deficits as a % of GDP. Sources: Scotiabank Economics, OECD (2020 estimates). As of February 2020. Sources: Scotiabank Economics, IMF (2020 estimates). As of February 2020. 64 Mexican Economy Diverse economy with a strong balance sheet

5.8% • The Mexican economy reflects a solid mix of 15.8% Health & Education Finance, Insurance, commodities, goods production, and services & Real Estate 17.5% Wholesale & • Trade remains dominated by the U.S., but 16.4% Retail Trade Mexico’s diversification agenda is underpinned Other by 13 free-trade agreements with 47 countries MEXICAN GDP 16.1% BY INDUSTRY Manufacturing that account for 40% of global GDP and 3.3% (Q3 2019) Natural include all G7 countries Resources 6.2% Mining and Oil 6.6% & Gas Extraction Transportation & Warehousing 2.0% Professional, 6.5% Scientific, 3.8% Construction & Technical Public Services Administration

Contributions to Mexican GDP Growth Top 5 Trading Partners 5 y/y % change 4 3 2 Others 1 20% Germany 3% 0 United Japan 3% -1 States -2 Canada 59% -3 Other* Net Exports 4% Inventories Investment -4 Government Consumption China -5 Real GDP 11% 16 17 18 19 *Statistical discrepancy, subject to revision. Sources: Scotiabank Economics, Haver Analytics. 65 Peruvian Economy Resilient economic fundamentals

• Peru’s important resource sectors are 12.3% 20.8% Manufacturing Transportation, increasingly balanced by stronger service-sector Information & activity and solid economic fundamentals Commerce 10.2% • Peru has 16 free-trade agreements with 49 Finance, Insurance, PERUVIAN GDP & Real Estate BY INDUSTRY countries that account for 66% of global GDP (Q2 2019) 5.5% • Investment is making a consistently strong Construction contribution to GDP, which should make solid growth rates more sustainable in the future 31.9% Other 14.1% 5.1% Mining & Energy Natural Resources

Contributions to Peruvian GDP Growth 8 Top 5 Trading Partners y/y % change 6

4 Others China 2 43% 27%

0

-2 Net Exports Inventories -4 Investment Government United States Consumption Real GDP 18% -6 South Korea 16 17 18 19 Brazil 4% Spain Sources: Scotiabank Economics, Haver Analytics. 4% 5% 66 Chilean Economy Advanced economy with wide-ranging trade links

3.4% • Chile’s mix of economic activities reflects its 15.3% Natural Resources 9.3% Finance, Insurance, status as an advanced market economy & Real Estate Wholesale & Retail Trade • Chile’s diversified trading relationships are 10.2% 8.6% supported by 23 free-trade agreements with Manufacturing Other 60 countries that account for 73% of global CHILEAN GDP BY INDUSTRY GDP (Sep 2019) 12.4% 2.0% Mining and Oil & Restaurants & • Investment has been a strong contributor to Hotels Gas Extraction growth in Chile, which should underpin future 6.3% productivity gains as the economy rebounds 8.6% Transportation & Construction from recent social difficulties Warehousing 19.4% 4.5% Housing & Personal

Services Public Administration

Contributions to Chilean GDP Growth 8 Top 5 Trading Partners y/y % change

6

4 China 2 Others 29% 38% 0

-2 Net Exports Inventories -4 Investment Government United Consumption Real GDP South Korea States -6 4% Japan 16 17 18 19 Brazil 16% Sources: Scotiabank Economics, Haver Analytics. 6% 7% 67 Colombian Economy Gaining momentum

2.4% Services account for a rising share of Colombian 13.6% Arts & 17.6% • Wholesale, Retail Trade, Finance, Insurance, Entertainment GDP compared with traditional strengths in & Real Estate Accommodation & Food Services extractive industries 9.1% 11.9% • Colombia continues to build on its 11 free-trade Other COLOMBIAN Manufacturing agreements with 46 countries that account for GDP BY 6.2% INDUSTRY 41% of global GDP (Q3 2019) Natural Resources 8.1% Mining and Oil • Rising consumption, supported by public & Gas Extraction spending, reflects an expanding middle class as 2.8% growth gains momentum and converges toward Information & 6.9% 6.6% Communication the economy’s underlying potential Professional, Construction Scientific, 14.8% & Technical Public Administration Services

Contributions to Colombian GDP Growth Top 5 Trading Partners Other* Net Exports 8 y/y % change Investment Government 6 Consumption Real GDP United 4 States Others 2 28% 42% 0

-2

-4 China -6 Ecuador 17% 16 17 18 19 *Statistical discrepancy, subject to revision. 3% Brazil Mexico Sources: Scotiabank Economics, Haver Analytics. 5% 6% 68 Appendix 2

Canadian Housing Market Canada: Stable Economic Fundamentals Low unemployment rate reflects solid growth in Canadian economy

UNEMPLOYMENT RATE • Solid economic growth and a gradual 14 rebound in non-energy exports 12 Canada – • Household spending remains buoyant, 10 official underpinned by relatively low and stable 8 unemployment, as well as low borrowing

% 6 costs Canada – 4 U.S. comparable • Population and labour-force growth 2 to U.S. supported by increasing immigration 0 90 92 94 96 98 00 02 04 06 08 10 12 14 16 18 20 • Moderate inflation within Bank of Canada target band Sources: Scotiabank Economics, Statistics Canada, BLS. Data through January 2020.

HEADLINE INFLATION LABOUR FORCE PARTICIPATION RATE 6 70

Canada Bank of Canada Canada 68 4 Target Inflation Band

66

2 % U.S. 64

y/y % change 0 62 U.S. -2 60 00 02 04 06 08 10 12 14 16 18 20 90 92 94 96 98 00 02 04 06 08 10 12 14 16 18 20

Sources: Scotiabank Economics, Statistics Canada, BLS. Data through January 2020.

Sources: Scotiabank Economics, Statistics Canada, BLS. Data through Jan. 2020 (Canada and US). 70 Population Growth: A Canadian Differentiator

Population Growth: A Canadian Differentiator G7 Population Growth p 1.6 Canada Japan 1.4 United Kingdom United States Euro Area 1.2

1.0

0.8

0.6

0.4

0.2

0.0

-0.2 annual % change -0.4 08 09 10 11 12 13 14 15 16 17 18

Sources: IMF, Scotiabank Economics 71 Housing Undersupplied, Prospects Solid

Housing Undersupplied, Prospects are Solid Housing Supply Situation

240 completed & unabsorbed units per population aged 15 and over, index, 2010 = 100 200 Oversupplied

160

120

80

40 Undersupplied

0 10 11 12 13 14 15 16 17 18 19

Vancouver Toronto Calgary Montreal

Sources: Statistics Canada, Scotiabank Economics 72 Canadian Housing Market Engineered moderation of price and volume

Significant Moderation in Price Growth* Volume of Home Sales Near 10-Year Average*

25 Aggregate Composite MLS Home Price 50 2020 Index Y/Y Percentage Change Units, 000s 45 Monthly home sales 15

40 10

5 35 10-year monthly moving avg. 0 30

-5-5 25 -10-10 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 20 07 08 09 10 11 12 13 14 15 16 17 18 19 20 Sources: Scotiabank Economics, CREA. Sources: Scotiabank Economics, CREA. *Actual - not seasonally adjusted *Seasonally adjusted

Canada’s Five Largest Metropolitan Areas* Decline in Share of High-Risk Mortgages

25 11 MLS Home Price Index Benchmark % Share of new mortgages with a loan-to-income Price Y/Y Percentage Change ratio greater than 450% 9 9.78 20

7 8.72 Average 15 5 2.97 3 10 Mortgage B-20 1 5 insurance guideline -1.20 -0.89 rules revised -1 -1.54 tightened 0 -3 Dec-14 Jun-15 Dec-15 Jun-16 Dec-16 Jun-17 Dec-17 Jun-18 Dec-18 GTA GVA Montreal Calgary Edmonton High-ratio mortgages Low-ratio mortgages Total mortgages Sources: Scotiabank Economics, CREA. Sources: Scotiabank Economics, Bank of Canada Financial System Review 2019. *Actual - not seasonally adjusted

73 Canadian Consumer Indebtedness

• Total household credit grew at 4.2% in annual nominal terms in January 2020 vs the 2008 peak of 12.2% annually

• Consumer loans excluding mortgages (i.e., cards, HELOCs, unsecured lines, auto loans, etc.) grew at 2.4% annually in Q4/19 vs > 5% in late 2017

• Mortgage credit grew at 4.8% annually in Q4/19 vs 2008 peak of 13%. Lower five-year rates are driving a rebound in the pace of growth. HOUSEHOLD CREDIT GROWTH CONSUMER LOAN GROWTH RESIDENTIAL MORTGAGE GROWTH

25 %, 3-month moving average 25 25 %, 3-month moving average %, 3-month moving average

20 20 20

y/y % 15 y/y % 15 change 15 y/y % change change 10 10 10

5 m/m % 5 m/m % 5 m/m % change, change, SA change, SA SA 0 0 0

-5 -5 -5 00 02 04 06 08 10 12 14 16 18 20 00 02 04 06 08 10 12 14 16 18 20 00 02 04 06 08 10 12 14 16 18 20 Sources: Scotiabank Economics, Bank of Canada. Sources: Scotiabank Economics, Bank of Canada. Sources: Scotiabank Economics, Bank of Canada.

74 Canadian Consumer Indebtedness

Households• Consumer balance sheets are have in improved Better faster Shape than the growth Than rate in debt Reported to disposable income

Household Net Worth vs Debt Default Rates Remain Low

1.4 0.5 1000 % % 1.3 900 % of 4Q-moving-sum Percent of mortgage disposable Income 1.2 arrears, 800 RHS 0.4 1.1 700

600 1.0

500 Household net worth as 0.9 0.3 % of disposable income 400 0.8

300 Household debt to 0.7 Credit card disposable income delinquency rate 0.2 200 0.6 (90+ days), LHS 100 0.5

0 0.4 0.1 90 94 98 02 06 10 14 18 04 06 08 10 12 14 16 18

Sources: Statistics Canada, CBA, Scotiabank Economics.

75 Housing Market Differences vs U.S. Canada’s housing market features distinct practices and policies

Canada U.S. • Mortgage interest not tax deductible • Tax-deductible mortgage • Full recourse against borrowers in most provinces interest creates incentive to • Foreclosure on non-performing mortgages, no stay periods borrow and delay repayment Lenders have limited recourse Insurance • in most states • Mandatory default insurance mortgages with LTV > 80% • 90-day to 1-year stay o CMHC backed by Government of Canada (AAA). Private insurers period to foreclose on are 90% government backed non-performing mortgages o Insurance available for homes up to CAD 1 mn • No regulatory LTV limit Regulation and o Premium is payable upfront • Private insurers are not Taxation o Covers full amount for life of mortgage government backed • Homebuyers must qualify for mortgage insurance at interest rate equal to greater of five-year average posted mortgage rate or actual mortgage rate plus 200bp • Re-financing cap of 80% LTV on non-insured mortgages Amortization • Maximum 25-year amortization on mortgages with LTV > 80% • Maximum 30-year amortization on conventional mortgages • Down payment of > 20% required for non-owner occupied properties • Conservative product offerings, fixed or variable rate options • Can include exotic products • Much less reliance upon securitization and wholesale funding (e.g. adjustable rate Product • Asset-backed securities not subjected to US-style off-balance sheet mortgages, interest only) leverage via special purpose vehicles

• Terms usually three or five years, renewable at maturity • 30-year term most common Underwriting • Extensive documentation and strong standards • Wide range of documentation and underwriting requirements 76 Housing Policy Developments in Canada Consistent policy initiatives to maintain a balanced and sustainable market

2016 2017 2018 2019

• Canada: Qualifying stress rate • Ontario: 16 measures aimed to • Canada: OSFI imposes more • British Columbia: Increase in for all new mortgage insurance slow rate of house price stringent stress tests for speculation tax on foreign and must be the greater of the appreciation uninsured mortgages, including domestic home owners who do contract mortgage rate or the a minimum qualifying rate at not pay income tax in BC from Bank of Canada's conventional Key aspects include: the greater of the five-year 0.5% of a property’s assessed five-year fixed posted rate fixed posted rate or the value to 2%; additional school o 15% non-resident • Low-ratio mortgage insurance speculation tax contractual rate plus 200 bps, tax levied on portion of a eligibility requirements updated effective January 1, 2018 property’s value that exceeds o Expanded rent control to all CAD 3 mn for lenders wishing to use private rental units in portfolio insurance: • Ontario: Elimination of rent Ontario control on new rental units first • Ontario: Measures to increase Maximum amortization 25 o o Vacant home tax occupied on or before supply of available housing years November 1, 2018 o CAD 125 mn five-year o CAD 1 mn max. purchase program to encourage Key aspects include: price construction of new rental • British Columbia: Extension of Minimum credit score of 600 apartment buildings the Property Transfer Tax on o Greater authority over land o non-resident buyers. use planning decisions for o Owner-occupied property Investment of more than CAD the province’s independent • Elimination of primary 1.6 bn through FY2021 toward municipal dispute resolution residence tax exemption for the goal of building 114,000 body foreign buyers affordable housing units in the • Min. down payment on insured next 10 years o Reduced red tape on new increased from 5% to 10% (for residential developments homes CAD 0.5‒1.0 mn) o Updated zoning regulations • British Columbia: 15% land to facilitate building of transfer tax on non-resident affordable homes near purchases in Metro Vancouver transit introduced 77 Appendix 3

Bail-in and TLAC Canadian Bail-in Regulations: Key Features Best in class approach

• Post September 23, 2018, senior unsecured debt issued by Canadian DSIBs that is subject to bail-in is the only format of issuance available1 and is a single class of debt2 that is not subordinated to another class of wholesale senior debt

• Canadian bank term senior unsecured debt is not structurally, statutorily or contractually subordinated to another class of senior liabilities and therefore ranks equally to deposits and other senior liabilities in liquidation

• In the remote probability of default, the no creditor worse off principle ensures that bailed-in senior creditors do not incur greater losses through resolution than liquidation. The CDIC compensation regime ensures holders receive the difference between liquidation and resolution value

• Canada utilizes a statutory regime where, unlike the contractual regime of Canadian NVCC capital instruments, there is no set conversion multiplier and there is flexibility for a partial or no bail-in of senior debt even if NVCC instruments are converted

• Canadian bank resolution framework provides senior debt holders with protection in that the relative creditor hierarchy is maintained. Acceleration rights3 upon non-payment of principal or interest are allowed in Canada

1 Excludes structured notes as defined in section 2(6) of the Bank Recapitalization (Bail-in) Conversion Regulations under the CDIC Act 2 Ranks pari passu with other forms of senior debt, except as otherwise prescribed by law and subject to the exercise of bank resolution powers 3 Subject to 30 business day grace period and subject to bail-in conversion powers until repaid in full 79 Canadian Bail-in Regulations: Jurisdictional Comparison Best in class approach

Opco non- Instrument type Opco senior Holdco senior Holdco senior1 Holdco senior preferred senior Structural Structural Structural Contractual Ranking in Liquidation Pari passu with deposits and other senior liabilities subordination2 subordination2 subordination2 subordination2

Deposits Senior Other debt Deposits senior subject Opco senior / senior preferred / other senior liabilities liabilities to Subordination schematic bail-in Holdco senior / senior non-preferred

Capital Capital

Depositor preference No Yes Yes Yes Yes

Uncertain given Uncertain given Uncertain given Participation in equity Conversion to equity of the bank or an affiliate allows N/a4 possibility of possibility of possibility of post resolution participation in the upside, if any3 writedown writedown writedown

Acceleration rights upon failure to pay Yes Yes Yes Yes No5 principal and interest

1 Applicable in practice for G-SIBs’ issuance of non-capital bail-in debt 2 Approach applicable to G-SIBs in relevant jurisdictions. Additionally, Switzerland uses structural subordination, Germany uses statutory subordination, Spain uses contractual subordination 3 Assuming only bail-in is triggered. If other resolution powers are exercised, debt holders could be exposed to losses in a manner similar to a write-down of their claims 4 No bail-in power. In resolution, debtholders could potentially receive partial recoveries (analogous to a write-down) or have their claims satisfied through the issuance of new securities (analogous to a bail-in conversion) 5 The terms of senior non-preferred do not include acceleration rights upon failure to pay principal and interest; however, there is no statutory restriction in this regard. Once resolution proceedings are underway, holders may declare an event of default for failure to meet payment obligations 80 Summary of Bail-in / TLAC Regime Best in class approach

Scope OSFI designated DSIBs Scope of bail-in Senior unsecured debt that is tradeable and transferable, original term >400 days, unsecured and issued, originated instruments or renegotiated after September 23, 2018 Liabilities excluded Insured deposits, uninsured deposits1, debt with original term < 400 days, ABS / covered bonds, structured notes2, from bail-in derivative liabilities, other liabilities TLAC compliance date November 1, 2021 23.75% minimum risk-based TLAC ratio (21.50% plus a 2.25% Domestic Stability Buffer) TLAC requirement 6.75% minimum TLAC leverage ratio TLAC eligibility Regulatory capital3 + bail-in debt with remaining term to maturity > 1 year4 Grandfathering Yes – all senior instruments issued prior to September 23, 2018 Sequencing and 1. Federal authorities bring bank into resolution preconditions 2. Full conversion of bank’s NVCC instruments must occur prior to or concurrently with bail-in Form of bail-in Equity conversion - Include disclosure related to the conversion power in any agreement governing an eligible liability as well as any accompanying offering document DSIB disclosure - Include a clause in the contractual provisions governing any eligible liability through which investors provide express requirements submission to the Canadian bail-in regime - Provide disclosure of TLAC ratios beginning Q1 2019 • Bail-in is not the only path in Canada to resolve a failing bank. Canadian authorities retain full discretion to use other powers including “vesting order”, “receivership order”, “bridge bank resolution order”, etc.

• Conversion into equity under the Canadian bail-in regime has the potential to result in realizable value, potentially in excess of principal amount

1 Yankee CD’s with original term > 400 days are in-scope of bail-in 2 As per definition of structured notes in section 2(6) of the Bank Recapitalization (Bail-in) Conversion Regulations under the CDIC Act 3 Adjusted to fully include subordinated debentures with a remaining term of one to five years 4 Provided such bail-in debt meets certain other requirements 81 Appendix 4

Covered Bonds Global Registered Covered Bond Program Global Covered Bond Program: CAD$38 billion

• Able to issue across multiple currencies such as USD, EUR, GBP, AUD and CHF • CAD$27 billion outstanding vs. $38 billion program size • Extensive regulatory oversight and pool audit requirements • Mandatory property value indexation • Established high level of safeguards and disclosure requirements • Program carries the ECBC Covered Bond Label

Issuer The Bank of Nova Scotia Guarantor Scotiabank Covered Bond Guarantor Limited Partnership Payments of interest and principal in respect of the covered bonds are irrevocably guaranteed by the Guarantee Guarantor. The obligations under the Covered Bond Guarantee constitute direct obligations of the Issuer and are secured by the assets of the Guarantor, including the Portfolio.

The covered bonds will constitute legal, valid and binding direct, unconditional, unsubordinated and unsecured obligations of the Bank and will rank pari passu with all deposit liabilities of the Bank without Status any preference among themselves and at least pari passu with all other unsubordinated and unsecured obligations of the Bank, present and future. Program Size CAD $38 billion Ratings Aaa / AAA / AAA (Moody’s / Fitch / DBRS) Cover Pool First lien uninsured Canadian residential mortgage loans with LTV limit of 80% Asset Percentage 94.8% (5.5% minimum overcollateralization) Law Ontario, Canada Issuance Format 144A / Reg S (UKLA Listed)

83 Global Registered Covered Bond Program1 Global Covered Bond Program: CAD$38 billion program size, $27 billion outstanding

LOAN-TO-VALUE RATIOS2 CREDIT SCORES3

42% 64% 33% 20% 4% 2% 1% 1% 5% 11% 17%

0-20% 20-40% 40-60% 60-80% 80+% <599 600-650 651-700 701-750 751-800 800+

REMAINING TERM DISTRIBUTION (MONTHS) PROVINCIAL DISTRIBUTION 12.0% 19.3% Alberta British Columbia 0.2% 1.3% Territories Manitoba 1.1% 31.3% 2.6% New Brunswick Saskatchewan 23.7% 1.6% 15.4% Newfoundland 12.4% 1.2% 8.0% 9.3% Quebec 2.2% Nova Scotia <12 12-23.99 24-35.99 36-41.99 42-47.99 48+ 0.3% P.E.I. 58.1% Ontario

1 As at January 30, 2019. Charts may not add to 100% due to rounding 2 Uses indexation methodology as outlined in Footnote 1 on page 3 of the Scotiabank Global Registered Covered Bond Monthly Investor Report 3 Excludes unavailable credit scores 84

Canadian Legislative Covered Bonds (CMHC Registered)

• Canadian Registered Covered Bond Programs’ Legal Framework (Canadian National Housing Act) Issuance Framework • Canadian Registered Covered Bond Programs Guide issued by Canada Mortgage and Housing Corporation (CMHC) Eligible Assets • Uninsured loans secured by residential property in Canada Mortgage LTV Limits • LTV limit of 80% Issuers are required to index the value of the property underlying mortgage loans in the covered pool while Basis for Valuation of Mortgage Collateral • performing various tests Securities issued by the Government of Canada Substitute Assets • • Repos of Government of Canada securities having terms acceptable to CMHC Substitute Assets Limitation • 10% of the aggregate value of (a) the loans (b) any Substitute Assets and (c) all cash held by the Guarantor The cash assets of the Guarantor cannot exceed the Guarantor’s payment obligations Cash Restriction • for the immediately succeeding six months Asset coverage Test Coverage Test • • Amortization Test Overcollateralization Credit Enhancement • • Reserve Fund Covered bond swap, forward starting Swaps • • Interest rate swap, forward starting Valuation calculation Market Risk Reporting • • Mandatory property value indexation Covered Bond Supervisory Body • CMHC Requirement to Register Issuer and Program • Yes; prior to first issuance of the covered bond program Registry • Yes • Monthly investor report with prescribed disclosure requirements set out by CMHC Disclosure Requirements • Investor reports must be posted on the program website • Required to meet applicable regulatory disclosure requirements

85 Appendix 5

Additional Information Additional Information

Scotiabank Listings: Scotiabank Common Share Issue Information: • CUSIP: 064149107 • Toronto Stock Exchange (TSX: BNS) • ISIN: CA0641491075 • New York Stock Exchange (NYSE: BNS) • FIGI: BBG000BXSXH3 • NAICS: 522110

Scotiabank Credit Ratings Dominion Bond Moody's Investors Standard & Poor's Fitch Ratings Rating Service Services Ltd. Legacy Senior Debt1 Aa2 A+ AA- AA

Senior Debt2 A2 A- AA- AA (low)

Subordinated Debt (NVCC) Baa1 BBB+ - A (low)

Short Term Deposits/Commercial Paper P-1 A-1 F1+ R-1 (high)

Covered Bond Program Aaa Not Rated AAA AAA

Outlook Stable Stable Stable Stable

1 Includes: (a) Senior debt issued prior to September 23, 2018; and (b) Senior debt issued on or after September 23, 2018 which is excluded from the bank recapitalization "bail-in" regime 2 Subject to conversion under the bank recapitalization "bail-in" regime 87 Investor Relations

Philip Smith Steven Hung Senior Vice President Vice President 416-863-2866 416-933-8774 Contact [email protected] [email protected] Information Lemar Persaud Judy Lai Director Director 416-866-6124 416-775-0485 [email protected] [email protected]

Tiffany Sun Manager 416-866-2870 [email protected]

Funding Tom McGuire Christy Bunker Executive Vice President & Group Treasurer SVP, CB Treasury, Term Funding 416-860-1688 and Capital management [email protected] 416-933-7974 [email protected] Mark Michalski Director, Strategy & Market Development, Funding 416-866-6905 [email protected]

88