RESULTS PRESENTATION | FULL YEAR 2017 - LEONTEQ AG
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ZURICH, 08 FEBRUARY 2018
LEONTEQ AG
RESULTS PRESENTATION | FULL YEAR 2017RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018
LEGAL DISCLAIMER
This presentation of Leonteq AG (the “Company”) serves for information purposes only and does not constitute research. This presentation and all materials, docu-
ments and information used therein or distributed in the context of this presentation do not constitute or form part of and should not be construed as, an offer (pu-
blic or private) to sell or a solicitation of offers (public or private) to purchase or subscribe for shares or other securities of the Company or any of its affiliates or
subsidiaries in any jurisdiction or an inducement to enter into investment activity in any jurisdiction, and may not be used for such purposes. Copies of this presen-
tation may not be made available (directly or indirectly) to any person in relation to whom the making available of the presentation is restricted or prohibited by law
or sent to countries, or distributed in or from countries, to, in or from which this is restricted or prohibited by law
This presentation may contain specific forward-looking statements, e.g. statements including terms like “believe“, “assume“, “expect“, “forecast“, “project“, “may“,
“could“, “might“, “will“ or similar expressions. Such forward-looking statements are subject to known and unknown risks, uncertainties and other factors which may
result in a substantial divergence between the actual results, financial situation, development or performance of the Company or any of its affiliates or subsidiaries
and those explicitly or implicitly presumed in these statements. These factors include, but are not limited to: (1) general market, macroeconomic, governmental and
regulatory trends, (2) movements in securities markets, exchange rates and interest rates and (3) other risks and uncertainties inherent in our business. Against the
background of these uncertainties, you should not rely on forward-looking statements. Neither the Company nor any of its affiliates or subsidiaries or their respecti-
ve bodies, executives, employees and advisers assume any responsibility to prepare or disseminate any supplement, amendment, update or revision to any of the
information, opinions or forward-looking statements contained in this presentation or to adapt them to any change in events, conditions or circumstances, except
as required by applicable law or regulation.
All figures in this presentation that are part of the consolidated IFRS financial statements for the six months ended 30 June 2017 and 2016 are reviewed. All figures
in this presentation that are part of the consolidated IFRS financial statements for the twelve months ended 31 December 2017 and 2016 are audited.
By attending this presentation or by accepting any copy of the material presented, you agree to accept the terms set out above and to be bound by the foregoing
limitations.
© Leonteq AG 2018. All rights reserved.
2RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 KEY TAKE AWAYS
• Net profit improved by 34% to CHF 23.1 million in 2017 despite one-off costs of CHF 15.9 million;
earnings per share (EPS) grew form CHF 1.08 to CHF 1.45
Turn-around
• Total operating income rose by 4%, driven by 18% growth in net fee income to CHF 247.0 million,
completed
partially offset by negative contributions from hedging activities
• Management delivered annualised cost savings of CHF 24.4 million
• Solid demand for structured investment products across all regions
Investment Solutions • Leonteq outperformed market growth with turnover up 28% to CHF 26.8 billion
& Banking Solutions • Increased issuance capacity with key partner banks
• Leonteq has started collaboration for issuance and distribution of Standard Chartered Bank products
• Serviced net new insurance policies more than doubled in 2017 thanks to Leonteq’s competitive
Insurance & Wealth product concept in the prevailing low interest rate environment
Planning Solutions
• 33,388 policies outstanding on the platform at end-2017
• Risk-weighted assets increased on the back of business growth
• Solid capital position with total capital ratio and tier 1 ratio of 19.6%
Capital
• Board of Directors to propose no dividend to preserve capital base and invest in further
business growth
3RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 ACHIEVEMENTS
LEONTEQ DELIVERED ON PRIORITIES
Number of issued products Turnover (CHFbn) Platform assets (CHFbn)
32,000 32 12 +24%
+27% +28%
24,000 24 9
+26% +39%
16,000 16 6
11.4
26,575 26.8 10.2
9.2
20,850 20.9
8,000 8 3
12,677 13,898 12.9 13.9
11,057 10.0
0 0 0
H2 H1 H2 FY FY H2 H1 H2 FY FY 31.12.2016 30.06.2017 31.12.2017
2016 2017 2017 2016 2017 2016 2017 2017 2016 2017
• Driven by solid demand, Leonteq issued a record 26,575 structured products in 2017 (+27%)
• Turnover grew by 28% to CHF 26.8 billion
• Platform assets of banking partners increased to CHF 8.4 billion (+24%); outstanding volume of
Leonteq products grew to CHF 3.0 billion (+25%)
• Resolved operational issues and increased product and country scope for selected issuers
• Onboarded Crédit Agricole CIB and Standard Chartered Bank as new banking partners and
Swiss Mobiliar as new insurance partner
• Successfully implemented MiFID II: automated information on target market, risk assessments and cost
and charges disclosures; Key Investor Document (KID) available for all standardised products at time of
structuring on platform in four languages
• Automated additional payoffs which were in high demand from clients to achieve increased efficiency
4RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 FINANCIAL RESULTS 2017
LEONTEQ NET PROFIT ROSE BY 34%
Total operating income (CHFm) Total operating expenses (CHFm) Net profit (CHFm)
+CHF42m
320 320 30 +34%
+4%
240 240 +1% 15
21.9 23.1
17.2
+31% -14% 1.2
160 160 0
207.0 215.4 -20.0
189.4 192.1
80 80 -15
100.2 115.2 108.5 99.0
87.7 93.1
0 0 -30
H2 H1 H2 FY FY H2 H1 H2 FY FY H2 H1 H2 FY FY
2016 2017 2017 2016 2017 2016 2017 2017 2016 2017 2016 2017 2017 2016 2017
• Solid increase in net fee • Personnel expenses remained • Net profit improved by 34%
income of CHF 38.0 million stable in 2017 amounting to to CHF 23.1 million in 2017,
in 2017 (+18% y-o-y) CHF 113.6 million despite one-off costs of
• Record low levels of volatility • Other operating expenses CHF 15.9 million
in 2017 resulted in negative dropped in 2017 by 12% in • Earnings per share grew from
contributions from hedging connection with the optimisa- CHF 1.08 to CHF 1.45 in 2017
activities in the amount of tion of office space in London
CHF -13.2 million and Zurich
• Negative treasury carry • Provisions went up to
improved by 25% in 2017 CHF 9.3 million in 2017 driven
to CHF -12.6 million by CHF 7.1 million for right-
sizing efforts
5RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 REVENUES 2017
IMPROVED REVENUE QUALITY
CHFk
• No single week with 15,000 Single best production month in
negative economic Leonteq history in terms of fee income
revenues in 2017
Drop in volatility to historically
12,500
record low levels impacting
• Historically low volatility levels trading result
impacted hedging result Weak start into the year
due to low volatility
10,000 levels impacting trading Summer holiday period
• Improved revenue quality result
through geographical diversific-
ation, increase in number of 7,500
available credit risks, reduction
of average ticket sizes and
reduction of large ticket 5,000
transactions1
2,500
0
1
Revenue contribution from large ticket transactions
reduced from 9% in 2016 to 4% in 2017
-2,500
2
Economic revenues are defined as sales and trading
income earned and are considered as recognized at
trade date without applying IFRS revenue recogni-
tion rules. Economic revenues do not include certain -5,000
other income components like partner project cost Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
reimbursements. 2017
3
Economic fee income is defined as fees earned and
is considered as recognized at trade date without any ECONOMIC REVENUES2 ECONOMIC FEE INCOME3 TRADING & OTHER
application of IFRS revenue recognition rules.
6RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 COST DEVELOPMENT
MANAGEMENT DELIVERED ANNUALISED SAVINGS OF CHF 24 MILLION
Total operating expenses 2017 (CHFm)
CIR
2017
89%
• Continued rigorous cost 200
management 190 3.0
CIR
4.1
4.0 (8.7) 82%
• Staff base reduced to 440 FTEs 4.1
180 (7.5) 7.7
• Optimised the use of office
192.1
space in London and Zurich 170
185.4 176.2
160
2018
0
• Selective investments in new 2016 adjusted Retention Selective Optimizing Optimizing 2017 Office Staff Other 2017
hires and growth projects cost base measures strategic other operating personnel pre one-offs optimisation rightsizing restructuring
(excl. net one-offs investments expenses expenses measures
• Target cost base 2018: of CHF 4m)1 One-offs
~ CHF 180 million
(excl one-offs)
Total operating expenses 2018E (CHFm)
190
180
~6
170 (8.2) ~4
176.2 2.3
160 ~180
170.3
150
0
2017 adjusted cost base Cost reduction Gross-up for 2018 pre growth Retention & growth Selective strategic 2018 E
1
Composed of CHF -10m one-off costs and CHF 6m (excl. one-off costs of programme 2017 subleased offices2 investments driven remuneration investments (excl. one-offs)
ramp-up costs from H2 2016 CHF 15.9m)
2
Office rent paid by third parties (subleased office
space) is recognised as other ordinary income
7RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 INVESTMENT SOLUTIONS
GROWTH IN PLATFORM PARTNERS BUSINESS CONTINUES
Turnover (CHFbn) Fee income margin (bps) Net fee income (CHFm)
24 +36% 140 240
+13%
About Investment Solutions
121
• Manufacturing and distributing 18 120 180
+47% 112 +22%
structured products with an 13.2
agile, fully automated industry 12 100 93 93 91 120
120.0
107 103 108.8
leading platform 10.6
6.5 89
• Experienced sales force 6 6.7 80 84 88
60 62.5
57.5
5.1 54.7
offers high quality service 8.5
64.0 75.4
4.7 5.3 43.6
to financial intermediaries 0
2.5 3.8
60 0
28.0 31.8
H2 H1 H2 FY FY H2 H1 H2 FY FY H2 H1 H2 FY FY
2016 2017 2017 2016 2017 2016 2017 2017 2016 2017 2016 2017 2017 2016 2017
LEONTEQ PLATFORM PARTNER
• Significant pick-up in turnover • Increase in deferred income • Solid growth in net fee
with platform partner driven reduced both Leonteq and income as turnover growth
by improved client demand partner margin compensated reduction in
and increased issuance • Leonteq margin impacted margin
Partners
– Aargauische Kantonalbank
capacity due to absence of large ticket
– Bank of Montreal
– Cornèr Bank
• Increase in own issuances transaction
– Crédit Agricole CIB due to improved relative • Partner margin impacted by
– Deutsche Bank attractiveness effects of fee arrangements
– EFG International
– J.P. Morgan
– PostFinance (pilot project)
– Raiffeisen Switzerland
– Standard Chartered Bank
8RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 BANKING SOLUTIONS
STRONG DOUBLE DIGIT GROWTH IN FEE INCOME
Turnover (CHFbn) Fee income margin (bps) Net fee income (CHFm)
8 80 32 +29%
About Banking Solutions
+2% 60 60 60
• Offering partners a flexible, fast 6 60 24
48 +44%
and cost efficient platform for 47
manufacturing and distribution 4 +13% 40 16
of structured products 30.6
23.8
5.0 5.1
• Modular IT solutions to fully 2 20 8 16.1
14.5
enable or enhance its partners’ 2.4 2.4 2.7 11.2
structured product capabilities 0 0 0
H2 H1 H2 FY FY H2 H1 H2 FY FY H2 H1 H2 FY FY
2016 2017 2017 2016 2017 2016 2017 2017 2016 2017 2016 2017 2017 2016 2017
• Stable turnover as new • Increase in margin due to • Growth in net fee income
partnerships are in ramp-up larger portion of selective, driven by improved margins
phase profitable trades • Revenue contribution from
partners in ramp-up phase
more than doubled
Partners
– Aargauische Kantonalbank
– Crédit Agricole CIB
– Cornèr Bank
– EFG International
– PostFinance (pilot project)
– Raiffeisen Switzerland
9RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 INSURANCE & WEALTH PLANNING SOLUTIONS
COMPETITIVE ADVANTAGE OF INNOVATIVE PRODUCT DESIGN DRIVES GROWTH
Net new policies Outstanding policies Net fee income (CHFm)
About Insurance &
Wealth Planning Solutions 24 +69%
8,000 40,000 +25%
+110% +25%
• Offering digital platform
to life insurers 6,000 30,000 18
+154%
• Enabling unit-linked retail +60%
products with financial 4,000 20,000 12
protection 6,607 33,388 33,388
21.0
29,455
26,781 26,781
• Partners and their end custom- 2,000 3,933 10,000 6
10.6
12.4
3,149 10.4
ers benefit from attractive 1,550
2,674
6.5
long-term savings solutions 0 0 0
with both upside potential H2 H1 H2 FY FY H2 H1 H2 FY FY H2 H1 H2 FY FY
2016 2017 2017 2016 2017 2016 2017 2017 2016 2017 2016 2017 2017 2016 2017
and downside protection
• Serviced net new policies more • Record 33,388 policies out- • Net fee income from platform
than doubled in 2017 due to the standing at year-end 2017 and structured solutions busin-
unique product concept and • Trend towards modern capital ess increased significantly by
platform approach efficient products was acceler 69%
• Technical interest rates for ated by unique combination • Started cooperation with
regular premium guarantees of third party guarantees with Swiss Mobiliar in Q4 2017
were reduced from 75 bps to the advantages of unit-linked
25 bps in 2017, rendering concepts
traditional guarantee products
Partners less attractive
– Helvetia
– Swiss Mobiliar
10RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 REGIONAL PERFORMANCE
GROWTH ACCROSS ALL REGIONS
Switzerland (Net fee income | CHFm) EMEA (Net fee income | CHFm) APAC (Net fee income | CHFm)
120 120
+12% 40 +21%
+25%
90 90 30
+34% +27% +9%
60 60 20
108.5 36.2
102.3 97.3 30.0
81.7
30 30 58.5 10 19.7
49.7 52.6 46.0 50.0 15.2 16.5
39.2
0 0 0
H2 H1 H2 FY FY H2 H1 H2 FY FY H2 H1 H2 FY FY
2016 2017 2017 2016 2017 2016 2017 2017 2016 2017 2016 2017 2017 2016 2017
• Higher demand for products • CHF 11.2 million increase y-o-y • Started issuance and distri-
issued by EFG International, despite prevailing limitations in bution of Standard Chartered
Leonteq and Cornèr Bank Europe (no public offering) Bank products*; first trades
• Growth in long term savings • Well performing sales teams executed in Q4 2017
solutions with Swiss insurance covering the Italian and French • Japan sales team continues to
partners markets make good progress; Leonteq
Securities (Japan) Preparation
Ltd incorporated in Tokyo
* Distribution of structured products in Switzerland,
European Economic Area, Hong Kong and Singa-
pore
11RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 REGULATORY CAPITAL
SOLID CAPITAL POSITION WELL ABOVE MINIMUM REGULATORY REQUIREMENTS
Eligible and required capital (in CHFm) and total capital ratio (in %)
• Total capital ratio and
%
Tier 1 ratio of 19.6% at 450 19.6
end-2017, vs 22.7% at
end-2016
400
• Capital intensity unchanged
(platform assets of CHF 1 billion
trigger capital requirements of 350
approx. CHF 15 million)
• Increase in risk weighted 300
assets due to business %
growth, increase in platform 250 10.5
assets and higher market
%
and credit risks exposures 419.7
200 8.0
4.2
150
31.9
28.5 224.4
100
171.0
136.0
50 106.4
0
31.12.2016 Market risk Credit risk Operational risk Non-ctpy related risk 31.12.2017 FINMA Eligible
requirement capital
Total BIS required capital
12RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 ACCOUNTING UPDATE
IFRS 15 TO NEGATIVELY IMPACT CAPITAL IN 2018 (NO ONE-TIME IMPACT ON P&L)
• IFRS 15 “Revenue from Contracts with Customers” is effective as at 1 January 2018
• Leonteq applies the modified retrospective adoption, i.e. no prior year restatement required,
Accounting standard
however, prior period effects are reflected in the 2018 opening balance (no one-time impact on P&L)
change impact
• Implementation leads to a change in revenue recognition of fee income for the segments
Investment Solutions and Banking Solutions
Old New (as at 1.1.2018)
Average proportion of
~20% ~30%
deferred fee income1
Deferral period1 6 months 12 months
Deferred fee income1,2 CHF 15 million CHF 36 million (+21)
Total eligible capital CHF 420 million CHF 399 million (-21)
Total capital ratio 19.6% 18.7%
Positive impact: More stable revenues due to higher deferred income
1
Investment Solutions and Banking Solutions only; no change to Insurance and Wealth Planning Solutions
2
Excludes deferred income from Insurance and Wealth Planning Solutions (31.12.2017: CHF 31 million); recognised on average over ~30 years
13RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 OUTLOOK
PRIORITIES 2018
• Expand scope of existing cooperations to diversify partner revenues
Revenues • Further develop collaboration with Crédit Agricole CIB and Standard Chartered Bank
• Continue on-shoring-project in Japan
• Rigorous cost management to continue
Costs • Selective investments in new hires and growth projects
• Cost target 2018: CHF ~180 millions*
• Increase efficiency through further automation of payoffs and front-to-back processes
Efficiency • Implement additional measures to enhance client and transaction profitability
• Enhance technology leadership position through system upgrades
• New project launched to reduce capital intensity by transfer market risk to external hedge providers
Capital
• Ongoing efforts to optimise balance sheet usage on a transaction level
• New composition of board committees to further increase independence
Corporate
Governance
• Additional new independent director expected to be put forward for election at
2018 Annual General Meeting
* excluding one-offs
14RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018
APPENDIX
15RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 INCOME STATEMENT
CHFm H2 2016 H1 2017 H2 2017 Change FY 2016 FY 2017 Change
y-o-y y-o-y
Net fee income 100.4 119.4 127.6 27% 209.0 247.0 18%
Net trading result (10.1) (16.4) (9.4) (7%) 5.5 (25.8) na
Net interest result (2.6) (4.9) (3.9) 50% (7.5) (8.8) (17%)
Other ordinary income 0.0 2.1 0.9 na 0.0 3.0 na
Total operating income 87.7 100.2 115.2 31% 207.0 215.4 4%
Personnel expenses (62.3) (56.6) (57.0) (9%) (111.5) (113.6) 2%
Other operating expenses (32.4) (25.9) (24.1) (26%) (56.6) (50.0) (12%)
Depreciation (9.3) (9.3) (9.9) 6% (16.8) (19.2) 14%
Changes to provisions (4.5) (7.2) (2.1) (53%) (4.5) (9.3) 107%
Total operating expenses (108.5) (99.0) (93.1) (14%) (189.4) (192.1) 1%
Profit/(loss) before taxes (20.8) 1.2 22.1 na 17.6 23.3 32%
Taxes 0.8 0.0 (0.2) na (0.4) (0.2) (50%)
Group net profit/(loss) (20.0) 1.2 21.9 na 17.2 23.1 34%
16RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 DETAILS ON INCOME STATEMENT ITEMS
Net trading income (CHFm) H2 2016 H1 2017 H2 2017 FY 2016 FY 2017
Negative treasury carry (6.9) (7.0)* (5.6) (16.9) (12.6)
Hedging contribution (3.2) (9.4)* (3.8) 22.4 (13.2)
Net trading result (10.1) (16.4) (9.4) 5.5 (25.8)
One-off costs per expense line item (CHFm) H2 2016 H1 2017 H2 2017 FY 2016 FY 2017
Personnel expenses (3.0) (1.6) (2.0) (3.0) (3.6)
Other operating expenses (1.5) (1.1) – (1.5) (1.1)
Depreciation (1.0) (0.9) (1.0) (1.0) (1.9)
Provisions (4.5) (7.2) (2.1) (4.5) (9.3)
Total one-off costs (10.0) (10.8) (5.1) (10.0) (15.9)
* In the first half year 2017 results presentation, the
negative treasury carry of CHF -9.5 million was over-
stated by CHF 2.5 million and hedging contributions of
CHF -6.9 million understated by the same amount
(management view only; no changes to IFRS financial
statements).
17RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 INVESTMENT SOLUTIONS
NET FEE INCOME MARGIN LEONTEQ
(in bps)
140
120
(10)
(16)
100
(3)
121 (3)
80
89
0
FY 2016 Increase in Large ticket transactions Short-term Various FY 2017
deferred income in 2016 funding trades other
18RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 INVESTMENT SOLUTIONS
NET FEE INCOME MARGIN PLATFORM PARTNER
(in bps)
120
100 (4)
(4)
(4)
80
103
91
60
0
FY 2016 Increase in Effects of fee arrangements Various FY 2017
deferred income with platform partner other
19RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 BANKING SOLUTIONS
NET FEE INCOME MARGIN
(in bps)
70
1
60
15
50
(4)
60
40
48
0
FY 2016 Increase in Higher proportion Various FY 2017
deferred income of profitable trades other
20RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 STAFF BASE
FTE by region 30.06.2016 31.12.2016 30.06.2017 31.12.2017
Switzerland 366 350 317 305
Europe 88 84 80 70
Asia 67 76 67 65
Total FTEs 521 510 464 440
FTE by function 30.06.2016 31.12.2016 30.06.2017 31.12.2017
Business units 224 215 193 178
Whereof sales 114 125 99 88
Shared services 297 295 271 262
Whereof IT 105 110 101 99
Total FTEs 521 510 464 440
21RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 STRUCTURED PRODUCT MARKET SWITZERLAND
LEONTEQ CONTINUES TO OUTGROW MARKET
Total market turnover structured products (in CHFbn)* Total market turnover split by product group 2017
Leonteq
platform 1%
market 9.3% 9.2% 10.3% 9.2% 9.7%
share 13%
300
+21% YIELD ENHANCEMENT
+26% 10% PARTICIPATION
200 57% LEVERAGE
CAPITAL PROTECTION
275 OTHER
227 13%
100
140 135
107
0
H2 2016 H1 2017 H2 2017 FY 2016 FY 2017
Leonteq platform turnover structured products (in CHFbn)* Leonteq platform turnover split by product group 2017
28 +28% 1%
* Source SSPA 2017 7%
Participating banks 21 +39%
– Barclays Capital
YIELD ENHANCEMENT
– Banque Cantonale Vaudoise 20%
PARTICIPATION
– Credit Suisse
14
– Commerzbank 26.8 59% LEVERAGE
– Goldman Sachs CAPITAL PROTECTION
20.9
– Julius Bär OTHER
7 13.9
– Leonteq 12.9 13%
10.0
– Notenstein La Roche
– Raiffeisen Switzerland
0
– UBS H2 2016 H1 2017 H2 2017 FY 2016 FY 2017
– Vontobel
– Zürcher Kantonalbank
22RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 MARKET RISK
Scenario analysis* for all equity and equity derivate positions as an indication of the overall risk exposure
on 31 December 2017
P&L impact per Vol -5% Vol -2% Vol 0% Vol +2% Vol +5% Vol +10%
shift combination (CHFm)
• Structural long vega positon
protects against market Spot -10% (68.4) (30.5) (10.5) 5.8 24.3 41.6
shocks
• More than 300 daily stress Spot -5% (39.5) (15.1) (1.6) 10.1 24.4 41.8
tests and scenarios to ensure
Spot -2% (27.5) (10.4) (0.1) 9.0 20.8 38.2
that trading book is within risk
limits on the basis of a full Spot 0% (20.7) (7.9) – 7.6 18.3 35.9
portfolio revaluation
Spot +2% (15.0) (5.9) 0.4 6.9 18.1 39.3
Spot +5% (6.8) (2.6) 2.7 10.7 23.9 46.6
Spot +10% 17.4 14.6 16.2 21.3 32.9 57.1
RALLY DOT-COM SNB-DAY 9/11
* The stress scenarios simulate how the current com-
position of Leonteq’s market risk exposure, as a result
from structured investment products of Leonteq and its
platform partners, would perform in each scenario
23RESULTS PRESENTATION | FULL YEAR 2017
ZURICH, 08 FEBRUARY 2018 SHAREHOLDER STRUCTURE1
Not
registered Founding Partners
Lukas Ruflin family interests3 8.05%
11%
23% Sandro Dorigo 2.45%
29% Raiffeisen Group2
17%
1
As per Leonteq share register at end-2017
2
Includes 2.9% of shares subject to call options held
by the Lukas Ruflin family interests
3
670,688 shares are subject to a lock-up until October 20%
2025; Lukas Ruflin family interests additionally hold
call options in relation to 2.9% shares held by Raif- Retail Institutional Largest institutional investors
feisen investors investors
4
H21 Macro Limited / creation of obligation to notify: Rainer-Marc Frey4 6.4%
13 March 2017
Credit Suisse5 3.0%
5
Credit Suisse Funds AG / creation of obligation to no-
tify: 25 October 2017
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