FinecoBank S p A : Presentazione risultati 3Q20

3Q20 Results

Alessandro Foti, CEO and General Manager

Milan, November 9th 2020

Disclaimer

• This Presentation may contain written and oral "forward-looking statements", which includes all statements that do not relate solely to historical or current facts and which are therefore inherently uncertain. All forward-looking statements rely on a number of assumptions, expectations, projections and provisional data concerning future events and are subject to a number of uncertainties and other factors, many of which are outside the control of FinecoBank S.p.A. (the "Company"). There are a variety of factors that may cause actual results and performance to be materially different from the explicit or implicit contents of any forward-looking statements and thus, such forward-looking statements are not a reliable indicator of future performance. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable law. The information and opinions contained in this Presentation are provided as at the date hereof and are subject to change without notice. Neither this Presentation nor any part of it nor the fact of its distribution may form the basis of, or be relied on or in connection with, any contract or investment decision.
• The information, statements and opinions contained in this Presentation are for information purposes only and do not constitute a public offer under any applicable legislation or an offer to sell or solicitation of an offer to purchase or subscribe for securities or financial instruments or any advice or recommendation with respect to such securities or other financial instruments. None of the securities referred to herein have been, or will be, registered under the U.S. Securities Act of 1933, as amended, or the securities laws of any state or other jurisdiction of the United States or in Australia, Canada or Japan or any other jurisdiction where such an offer or solicitation would be unlawful (the "Other Countries"), and there will be no public offer of any such securities in the United States. This Presentation does not constitute or form a part of any offer or solicitation to purchase or subscribe for securities in the United States or the Other Countries.
• Pursuant the consolidated law on financial intermediation of 24 February 1998 (article 154-bis, paragraph 2) Lorena Pelliciari, in her capacity as manager responsible for the preparation of the Company's financial reports declares that the accounting information contained in this Presentation reflects FinecoBank's documented results, financial accounts and accounting records.
• This Presentation has been prepared on a voluntary basis since the financial disclosure additional to the half-year and annual ones is no longer compulsory pursuant to law 25/2016 in application of Directive 2013/50/EU, in order to grant continuity with the previous quarterly presentations. FinecoBank is therefore not bound to prepare similar presentations in the future, unless where provided by law. Neither the Company nor any of its representatives, directors or employees shall be liable at any time in connection with this Presentation or any of its contents for any indirect or incidental damages including, but not limited to, loss of profits or loss of opportunity, or any other liability whatsoever which may arise in connection of any use and/or reliance placed on it.

2

Agenda

Fineco Results

Next steps

Key messages

Focus on product areas

3

Executive Summary

Outstanding net profit in challenging market scenario

• 9M20 Gross operating profit(1) at 397mln, +31% y/y, showing the soundness of our industrial growth. In particular, 3Q20 at 123mln, +14% y/y
• 9M20 Net profit(1) at 246mln, +23% y/y, confirming the sustainability of a business model able to deliver consistent results in every market condition and to accelerate growth in the current situation
• 9M20 Revenues(1) at 594mln, +22% y/y supported by all product areas:
• • Brokerage (+84% y/y) showing a structural growth thanks to the in-depth review of our product offer, the enlargement of both our clients' base and market share, and finally to higher volatility compared to 2019
  • Investing (+6% y/y) thanks to volume effect and sound AUM flows
  • Banking (+3.5% y/y) thanks to high quality volume growth in deposits and lending
• Operating Costs well under control at -197mln, +3.8% y/y excluding -4.5mln of marketing costs in UK
• C/I ratio at 33.1%, -4.8 p.p. y/y, confirming operating leverage as a key strength of the Bank

Strong and safe capital position

• 9M20 CET1 ratio at 23.28% and TCR at 37.41%

Accelerating commercial activity

• Net sales in the first nine months of the year at 6.4bn (+46% y/y), TFA at 85.0bn with penetration of Guided products on
  Assets under Management at 73%
• Fineco Asset Management retail net sales at 1.5bn in the first nine months of the year and TFA at 14.8bn
• Strong October net sales at 739mln, +91% y/y. Solid Brokerage revenues, estimated at around 14 mln

1. Figures net of non recurring items: Voluntary Scheme: 3Q20: -0.2mln gross, -0.2mln net, 1Q20: -1.2mln gross, -0.8mln net. 9M19 non recurring items: Voluntary Scheme: 3Q19: 0.4mln gross, 0.3mln net, 2Q19:-4.3mln gross, -2.9mln net; 1Q19: -0.4mln gross, -0.3mln net; Patent Box: -0.9mln in

4 3Q19, -0.9mln in 2Q19, -0.9mln in 1Q19.

Results (1/2)

Strong Operating Profit, at 397mln in 9M20 and 123mln in the quarter, +14% y/y boosted by diversified revenues growth in a complex market environment. Net Profit at 246mln, +23% y/y despite higher systemic charges. C/I ratio at 33%, down -4.8 p.p. y/y confirming our strong operating leverage

Gross Operating Profit, mln

excluding non recurring items (1)	Adj. Cost/Income (2)
			+30.8%
				396.0
			299.4
	+13.8%			397.5
		303.8
	-12.4%
	140.0	122.4
108.2
107.8		122.7
3Q19	2Q20	3Q20	9M19	9M20
35%	32%	34%	38%	33%

Net Profit, mln

excluding non recurring items (1) Adj. RoE (2)

Systemic charges:	+22.7%
3Q20: -28.0mln (gross)	(3)	245.3
3Q19: -17.5mln (gross)
			195.2	246.3
			200.7
	+6.0%
	-26.4%
	88.7
61.0		65.2
61.7		65.3
3Q19	2Q20	3Q20	9M19	9M20
25%	25%	18%	27%	23%

1. 9M20 non recurring items: Voluntary Scheme: 3Q20: -0.2mln gross, -0.2mln net, 1Q20: -1.2mln gross, -0.8mln net. 9M19 non recurring items: Voluntary Scheme: 3Q19: 0.4mln gross, 0.3mln net, 2Q19:-4.3mln gross, -2.9mln net; 1Q19: -0.4mln gross, -0.3mln net; Patent Box: -0.9mln in 3Q19, -0.9mln in 2Q19, -0.9mln in 1Q19.
2. Adj. Cost/Income and Adj. RoE calculated net of non recurring items. ROE calculated as: annualized adj.net profit divided by average book equity 5 for the period (excl. dividends for which distribution is expected and valuation reserves)
3. Estimate (3Q20 includes: -20.9mln contribution to DGS and -7.1mln additional contribution to a member of Interbank Deposit Protection Fund)

Results (2/2)

Revenues at 594.2mln, +21.5% y/y supported by all product areas. Operating costs at 196.7mln, +3.8% excluding marketing costs in UK

Revenues, mln		Operating Costs, mln

excluding non recurring items (1)

			+21.5%
				592.7
			484.6
	+13.1%			594.2
		489.0
	-9.1%
	205.8	186.9
165.8
165.4		187.1
3Q19	2Q20	3Q20	9M19	9M20

9M20 Operating Costs

excl. UK marketing costs:

-192.1mln (+3.8% y/y)(2)
			+6.2%
			185.2	196.7
	+11.8%
	-1.9%
57.6	65.7	64.4
3Q19	2Q20	3Q20	9M19	9M20

	(1)	9M20 non recurring items: Voluntary Scheme: 3Q20: -0.2mln gross, 1Q20: -1.2mln gross. 9M19 non recurring items: Voluntary Scheme:
	3Q19: 0.4mln gross, 2Q19:-4.3mln gross, 1Q19: -0.4mln gross
6	(2)	Marketing costs related to UK: -4.5mln in 9M20

Net interest income

Solid NII thanks to valuable and sticky sight deposits coupled with high-quality lending portfolio and a more dynamic treasury activity despite low interest rate environment. Sensitivity analysis +100bps / -100bps parallel shift: +116mln NII / -101mln NII

Net Interest Income, mln		Interest-earning assets, avg bn

Other Treasury activities	Other (2)	Cost of funding
Financial Investments(1)	Lending (3)
o/w other Bonds		o/w UC Bonds
				-2.2%
				211.6	206.9
				32.4	33.9
				8.2
				7.1
	-1.7%
	-2.0%
69.8	70.1	68.6		178.5	167.0
2.911.1	1.611.4	3.111.6
58.5	57.1	53.1
-2.60.0-0.80.8-0.11.0		-7.60.0-2.91.8
3Q19	2Q20	3Q20		9M19	9M20
25.6	31.8	30.8		68.1	91.3
31.0	2433..74	22.2		98.4	73.0

Other Treasury activities		Other (2)	Gross margins(4)
Financial Investments (1)		Lending	Cost of deposits
1M Euribor		Eurirs 5y
	+15.1%
		+1.0%			+15.9%
24.8	28.2	28.5		24.0	27.8
1.2	3.5	1.2	3.8		1.1	3.5
0.2 2.9		0.6 2.8
21.7	22.7	22.5		20.7	22.6
0.0	0.8	1.1		0.0	0.7
3Q19	2Q20	3Q20		9M19	9M20
1.17%	1.04%	0.98%		1.23%	1.03%
-0.04%	-0.01%	0.00%		-0.04%	-0.01%
-0.42%	-0.45%	-0.52%		-0.39%	-0.48%
-0.39%	-0.27%	-0.39%		-0.10%	-0.31%

1. Financial investments include interest income coming from the reinvestments of deposits in: Government bonds, UC bonds, Covered bonds, Supranational and Agencies and other financial investments (repos and immediate available liquidity)
2. Other net interest income includes Security Lending, Leverage and other (mainly marketing costs). Other interest-earning assets include Security Lending and Leverage. See page 49 for details

7 (3) Lending: only interest income

(4) Gross margins: interest income related to financial investments, lending, leverage, security lending, other trading activities on interest-earning assets

Managing liquidity in a more dynamic way to sustain NII

Our high quality balance sheet allow us to undertake industrial actions to manage current interest rate environment while maintaining our low-risk investment policy

High quality balance sheet	No change in our low-risk
investment policy

• VALUABLE AND STICKY DEPOSITS:
  'transactional liquidity' gathered without short-term aggressive commercial offers and only driven by high quality services, transparency and fair pricing
• SAFE, ROBUST, LOW RISK: diversified and highly liquid Balance Sheet

• DIVERSIFIED AND LOW RISK INVESTMENT PORTFOLIO: run-off of UniCredit bonds invested in a blend of diversified govies, covered bonds, supranational and agencies
• AVG MATURITY UNCHANGED at ~5 years
• EXPOSURE TO ITALY UNCHANGED at ~ 5-5.5bn (1)
• ~100% OF OUR FINANCIAL INVESTMENTS IN HTC: no impact in our P&L and BS by the widening of spreads

OUR INDUSTRIAL ACTIONS

• MORE DYNAMIC TREASURY MANAGEMENT: yield enhancement strategies like unsecured lending or collateral switch with primary counterparties to extract extra-yieldon our quality-paperthanks to our industrially-drivenstrong liquidity position (LCR >1000%)(2) and quality investment portfolio
• ENLARGE THE SCOPE OF OUR INVESTMENTS to investment grade non-EUgovies and financial corp. senior bonds
• FULL ADVANTAGE OF ECB's TIERING AND TLTRO
• INCREASED DEMAND FOR LENDING IS EXPECTED without changing our cautious and conservative approach as low interest rate environment increases the appetite for lending products by our existing good clients

1. Nominal value

8	(2)	Minimum requirement at 100% (EU Regulation 2015/61)

Non Interest Income

Fees and commissions +27% y/y thanks to the positive contribution by all business areas and Trading Income +131% y/y thanks to structurally higher Brokerage

Fees and Commissions, mln

Brokerage Investing Banking Other

+26.6%

307.6

Trading Income, mln

mln	excluding non recurring items (1)

+131.0%

+82.3%

76.7

+16.2%

-6.6%

104.8 97.9

1. 37.6 26.5

1. 57.1 61.8

0.1 5.9 -0.10.3-0.29.7

3Q19 2Q20 3Q20

242.9	99.7
56.5
	179.7
170.1
0.315.9	28.8
-0.6
9M19	9M20

	-32.1%
	30.1	20.2	29.4	78.1
11.6
	20.4	33.8
11.2
3Q19	2Q20	3Q20	9M19	9M20

o/w Trading Income from Brokerage

+74.8%

		-17.0%				+134.5%
						69.3
11.5	24.2	20.1	29.6
3Q19	2Q20	3Q20	9M19	9M20

1. Adj. Trading Income excluding non recurring items: Voluntary Scheme (1Q20: -1.2mln gross; 3Q20: -0.2mln gross; 1Q19: -0.4mln gross; 9 2Q19: -4.3mln gross; 3Q19: 0.4mln gross)

Brokerage proved itself as a perfect counter-cyclical business

The structure of the market is changing: increased interest in financial markets and big jump into a more digitalized society

Structural growth in brokerage revenues: the floor has gone up in a clear way

mln €	30
	25																							9M20 Brokerage Revenues:
	20																									178 mln, +84% y/y (1)
	15
Average	10
'14-19	5
	0
	01-14	03-14	05-14	07-14	09-14	11-14	01-15	03-15	05-15	07-15	09-15	11-15	01-16	03-16	05-16	07-16	09-16	11-16	01-17	03-17	05-17	07-17	09-17	11-17	01-18	03-1805-1807-1809-1811-1801-1903-1905-19	07-19	09-19	11-19	01-20	03-20	05-20	07-20	09-20

Continuous reshape of brokerage offer. Next step: certificates

• New options allowing to exploit volatility when it is low (new US options platform), optimization of our systematic internalizer, Multicurrency available 24/7, wider currencies basket, repricing of futures, wider OTC product offer

COMING SOON:

• Leveraged certificates: we are vertically integrating the business, becoming issuer, market maker and distributor.
  Market size: 13bn(2) volumes and €100mln revenues(3). Until now we are only distributors, through the vertical integration we can gain market share and further boost revenues
• Asian markets, CFD on cryptocurrencies, new release and re-design of active traders' platform (PowerDesk)

Enlargement of client base and increasing market share

• >85% of new active clients investing on plain vanilla instruments (i.e. listed equity, ETFs) and not leveraged products
• Increasing market share in Italy on equity traded volumes at 28% in June 2020 (+1.4 p.p. y/y) (Assosim)
• See next slide for more details

1. Estimated Brokerage revenues in the first ten months of 2020 are equal to €191.9 mln (+75% y/y)
2. ACEPI (Italian Association of Certificates and Investment Products)

10 (3) Internal estimates

Brokerage: focus on enlargement of client base and increasing market share

Clients' base growth mainly driven by "Active investors" starting to use brokerage platform and "sleeping" clients back on the market. New clients are coming from traditional banks

Brokerage clients evolution

trader active investors

avg '18-19 active investors

		85%
	84%
			87%
										90%				89%
		88%				89%					89%
87%
88%
89%

Mar.18

Jun.18

Sep.18

Dec.18

Mar.19

Jun.19

Sep.19

Dec.19

Mar.20

Jun.20

Sep.20

Active investors have an average of

4 executed orders per month

New brokerage clients

from Top 10 banks of origin

New clients 9M20 New clients 9M19

UniCredit

Intesa SanPaolo

Ing Bank

BPM

UBI

Poste Italiane

BNL

MPS

CheBanca!

Banca Mediolanum

Active investors: less than 20 trades per month.

11 Traders: more than 20 trades per month

Focus on Investing

9M20 increasing y/y thanks to volume effect and strong AUM net sales. Margins supported by operational efficiency given by Fineco Asset Management

Investing Revenues, mln		Average AuM on daily basis, bn

Upfront fees		PFA incentives
Management fees	Other income	+5.7%
			170.1	179.8
			4.5
				3.6
	+6.3%
	+8.9%
			178.3	185.0
		62.0
58.3	56.9
1.1	1.4	1.5
61.5	58.9	64.2
0.0-4.3	-0.23.2	-3.90.2		-11.8-9.80.1
			0.0
3Q19	2Q20	3Q20	9M19	9M20
12

ManFee Margins, bps

38.2 41.4 39.8

2Q20 3Q20 9M20

62 62 62

Management fees

up +8.9% q/q and +3.7% y/y

mainly driven by higher volumes

Focus on Investing: going forward

Investing revenues expected to keep on growing mainly driven by volumes effect and resilient margins, sustained by further boost in FAM operational efficiency

We expect increasing revenues with resilient margins,

despite clients remaining cautious and conservative, thanks to:

STRONG VOLUME EFFECT

• Robust AUM net sales as we are in the sweet spot to capture the acceleration of structural trends already in place (increasing demand for advice by Italian families, increasing digitalization, consolidation of banking system)
• New project with the aim to offer better quality solutions to our clients with a strong focus on RISK MANAGEMENT. Since our Irish management company already allows us to have a daily look-through on its solutions, we expect a strong acceleration in direction of
  FAM products
• Increasing PFA productivity thanks to our cyborg-advisory approach

FAM OPERATIONAL EFFICIENCY

• FAM is core for extracting additional operational efficiency (on fund administration costs, custodian, etc)
• FAM margins contribution expected to grow in a geometrical way with the increase of FAM volumes as institutional products can be used as underlying of Investing solutions
• New FAM product range based on advisory service by third parties: this will give FAM even more flexibility and will make the value chain even more efficient

13

Costs

Cost efficiency and operating leverage confirmed in our DNA. Non HR costs flat excluding marketing in UK

Operating Costs, mln

9M20 Operating Costs

+6.2%

excl. UK marketing costs:

-192.1mln (+3.8% y/y)(1)	185.2	196.7
	+11.8%
	-1.9%
57.6	65.7	64.4
3Q19	2Q20	3Q20	9M19	9M20

1. Marketing costs related to UK: -4.5mln in 9M20

Staff expenses and FTE, mln

FTE #

		+9.6%					+10.4%
			-1.0%					73.5
				66.6
	22.5	24.9		24.6
	3Q19		2Q20	3Q20		9M19	9M20

1,161 1,202 1,214

Non HR Costs(1), mln

OAE	Write-downs/backs & depreciation	+3.9%
			118.6	123.1
	+13.3%
	-2.5%	102.3	104.5
	40.8
35.1	39.8
29.4	34.6	33.4	16.3	18.6
5.8	6.2	6.4
3Q19	2Q20	3Q20	9M19	9M20

14

Focus on 3Q20 bottom line

mln	Provisions for risks and charges

122.4
	-28.0	-2.3				90.4
		-1.7	0.1	-0.2
			65.2
GOP	Estimated	Provisions	Other R&C	LLP	Profit on	PBT	Net Profit
3Q20	Systemic	on repricing			Investments
	Charges

1. • Systemic charges: contribution to DGS for -20.9mln (estimate) and additional contribution to a member of Interbank Deposit Protection Fund for -7.1mln (estimate)
   • Provisions on repricing: in 2Q20 we received a request by the A.G.C.M(1) to delay to the end of the year the application of the repricing for 2020 to a cluster of clients acquired in the past through an online commercial initiative. Although we are fully convinced that our decisions were correct, we maintained a prudential approach under which we do not challenge regulators. This led to -4mlnof provisions for risk and charges in 2Q20 and -2.3mln in 3Q20 related to banking fees paid by clients that will be refund in 4Q20(2). The full effect of the repricing will be in place starting from Jan. 2021 on our whole customer base.
2. Guarantor for Competition and Market Authority
3. As a result of reimbursement, in 4Q20 we will release the provisions accounted so far and we will account lower banking fees

15

High quality lending volume, offered exclusively to the existing base of clients, leveraging on our internal Big Data analytics

Commercial Loans portfolio, eop mln

Eop, mln		Current accounts/Overdraft (1)	Cards
		Personal loans	Mortgages

+29.3%

+18.2%

		3,853
2,981	3,259
	1,483
1,197	1,281
	435
455	463	269
356
299
	1,159	1,666
1,030
Sep.19	Dec.19	Sep.20

Cost of Risk on commercial loans (2)

12 bps	14 bps
	11 bps

Dec.19 Jun.20 Sep.20

• Cost of Risk well under control thanks to the constant improvement in the quality of the credit which is mainly secured and low risk
• We confirm our strategy aims to build a safe lending portfolio, offering these products exclusively to our very well known base of clients, leveraging on a deep internal IT culture, powerful data warehouse system and Big Data analytics
• No change in our FY20 CoR expectations (10-15bps) thanks to the high quality of our portfolio, even in a difficult context following Covid-19 outbreak
• Only 263 mortgages moratories have been granted until now. More details on the quality of our portfolio in the following slide, with a deep dive on the main products offered

1. Current accounts/overdraft Include Lombard loans
2. Cost of Risk: commercial LLP of the last 12 months on average last 12 months commercial Loans; CoR as of Sept.20 is a pro-forma figure excluding a non recurring write-back

16

Lending: solid growth for all our lending products thanks to the quality of our portfolio and to our cautious approach

2020 Guidance

Mortgages

Eop, mln

+61.7%

+43.7%

 17,261 mortgages granted since December 2016

 Average customer rate: 154bps. 9M20 Yield(1) at 60bps

 yearly new production:

~ 600-700mln

1,030 1,159 1,666

Sep.19 Dec.19 Sep.20

 Average Loan to Value ~51%, average maturity 18 yrs

 Low expected credit loss (~19 bps). Only 3 clients

accounted in NPL after 45 months from the launch

 Expected yield:

~ 55-70bps

Personal Loans

Eop, mln

-4.3%-5.9%

455 463 435

Sep.19 Dec.19 Sep.20

• Average ticket €9,200 and average maturity 4.6 years
• 9M20 Yield at 390bps
• Efficient and real time process, instant approval platform for eligible clients' requests thanks to a deep knowledge of clients.
• Low expected credit loss (~55 bps)

• yearly new production:
• 150-200mln
• (-20/-60mlnnet)
• Expected yield:
  ~ 380-410bps

Lombard Loans

Other lombard Credit lombard

Eop, bn	+24.8%
						+15.9%
						1.5
1.2	1.3
			0.2			0.2			0.2
		1.0		1.1		1.3
		Sep.19		Dec.19	Sep.20

o/w Credit Lombard(2):

• Attractive pricing: retail clients 100bps and private clients 50/65/75bps (on 3M Eur(3))
• Differentiated margins according to the riskiness of the pledged assets
• Very low expected loss (~10 bps)

o/w Credit Lombard(2):

• Expected growth:
• • 300-350mln per year
• Expected yield:
• • 75-85bps

1. Yield on mortgages net of amortized and hedging costs
2. Credit Lombard allows to change pledged assets without closing and re-opening the credit line, allowing more flexibility and efficiency

17 with floor at zero

Capital Ratios:

Best in class capital position and low risk balance sheet

						RWA, mln									CET1 Ratio, %
Credit		Market			Operational								CET1 capital, mln
					+10.1%											-90bps
										+4.5%							24.19		-83bps
										3,541
	3,217	3,387					24.12	23.28
	2,074	2,257		2,406
						Dec.19	Jun.20	Sep.20
				40						27					31
																	pro-forma
		1,103			1,103			1,103
																			778	817	824
		Dec.19			Jun.20	Sep.20
		Leverage Ratio, %							Total Capital Ratio, %

4.54 4.41 4.35

Dec.19 Jun.20 Sept.20 pro-forma

-233bps-147bps

39.73 38.88 37.41

Dec.19 Jun.20 Sep.20 pro-forma

	(1) "Starting from 31 December 2019, FinecoBank applied the Standardised Method for determining the regulatory requirement related to
	operational risk, replacing the Advanced Measurement Method ("AMA") adopted previously."
18	Dec.19 pro-forma does not include 2019 dividend payment of 32.0 €/cents

TFA

Relentless TFA growth thanks to a healthy expansion in net sales. Guided products & Services increased at 73% of total AuM

TFA evolution (Dec.14 - Sep. 20), bn

										81.4	6.4	-2.8	85.0
										(2)
										6.2
						67.2	6.2	-4.1	69.3	5.8
						1.0
				-0.2	60.2	6.0
		55.3	5.0
49.3	0.5
5.5

TFA	Net Market TFA	Net Market TFA	Net Market TFA	Net Market TFA	Net Market TFA	Net Market TFA
2014	sales effect 2015	sales effect 2016	sales effect 2017	sales effect 2018	sales effect 2019	sales effect 9M20

36%

44%

56%

63%

67%

71%

73%

Guided products as % of total AuM (1)

19 (1) Calculated as Guided Products end of period divided by Asset under Management end of period

1. 9M20 market effect: -1.4bn AUM and -1.3bn AUC

TFA breakdown

Successful shift towards high added value products thanks to strong productivity of the network. 9M20 affected by negative market effect in the first months of the year

Breakdown of total TFA, bn

Focus on AUM, bn

Guided products as % of AuM

67.2

60.2

55.3

49.350%

48%

48%63%

48%	56%
	44%

36%

21% 20%

	81.4	85.0	85.2
69.3
	50%	49%	49%
48%		73%	73%
71%
67%
	19%	20%	19%
20%

+17.9bn AUM since the end of 2014, o/w:

Guided Products & Services +21.9bn

					AuM à la carte -4.0bn
								+3.1%		41.9
									41.7
				29.0	33.6	33.5	40.5
23.9	26.6
21.2	22.4	28.8	30.3	30.5
	8.5	11.8	16.1
15.4		14.8	12.9	12.3	11.1	11.7	11.4		11.4

Dec.14 Dec.15 Dec.16 Dec.17 Dec.18 Dic.19 Sep.20 Oct.20

Guided Products AuM à la carte

Guided Products breakdown, bn

24%

24%

28% 28% 31% 30%

32%	31%	31%	32%

Total: 30.3

	4.9 5.4			Core Series		Plus
1.5					Insurance		Best in Class(1)
1.2	1.0
			Stars		FAM Target

Dec.14 Dec.15 Dec.16 Dec.17 Dec.18 Dic.19 Sep.20 Oct.20

AuM AuC Deposits

1.7
7.9		Advice	Other (2)
6.7

AuC and Deposits under advisory have been reclassified within AuM in order to have a better representation of the advisory nature of Advice and Plus services

20	(1)	"Best in class" are a selection of advisory products and services based on: cost optimization, quality, sustainability and risk
(2)	Other includes: Core Funds, PIR and Core Pension, GP Private, FAM Evolution stand-alone, FAM Global Defence stand alone

Net sales breakdown

Solid high quality net sales growth on the wave of structural trends thanks to our diversified business model and with an improving mix

Breakdown of total Net Sales, bn		PFA Network - total Net Sales, bn

								+49.7%							+46.7%
								y/y								y/y
						+46.1%	7.1							+44.2%	6.2
					5.8								5.1
						6.4
			6.0	6.2							5.4	5.5		5.5
									4.9
	5.5							2.8
	5.0				4.3				4.3					2.8
			2.3	3.3	2.6							3.8
							2.3	3.3
					3.6
4.0												2.6
2.7	1.9								2.6
	4.0			1.9				1.9	4.0			1.9
3.1		0.3		1.8				2.8	3.0		0.2		1.3			2.0
0.9						2.8		0.7
				3.5								2.0
		2.9	0.5		3.0					2.2	0.3		2.6	2.3
			2.1
	1.9							1.6	1.9
		1.5				1.5			1.1			1.4
1.2					0.9	0.9				0.9
-0.2					-1.0	-0.6			-0.3					-0.8	-0.4
2014	2015	2016	2017	2018	2019	9M19 9M20Oct.20	2014	2015 2016 2017 2018 2019 9M19 9M20Oct.20
								YTD	2,533	2,622 2,628	2,607	2,578	2,541	2,577	YTD
			AuM		AuC	Deposits			PFA Network - headcount

21 AuC and Deposits under advisory have been reclassified within AuM in order to have a better representation of the advisory nature of Advice and Plus services

Organic growth

Net sales organically generated confirmed as key in our strategy of growth

Net Sales, bn - Organic / Recruit, %

	Total recruits		Organic							Total recruits				Organic
		PFAs recruited over the						PFAs recruited over the
		last 12 months (avg)							last 24 months (avg)			Recruitment costs
4.0	5.5	5.0	6.0	6.2	5.8	6.4		4.0	5.5	5.0		6.0	6.2	5.8	6.4	(to be amortized)
		stock 25.2mln
									3%
18%	11%	11%	10%	7%	5%			19%	19%	14%	15%	9%	6%
				26%	as of Sept '20

82%	89%	89%	90%	93%	95%	97%		81%	81%	86%	85%	91%	94%
						74%

2014

2015

2016

2017

2018

2019 9M20

2014

2015

2016

2017

2018

2019 9M20

125 118 85 98 70 58 49

# of PFAs recruited in the period

22

Continuously increase of quality and productivity of the network

Total Assets per PFA

TFA concentration per PFA

Eop, mln

+7.8%

	+2.7%
26.6	27.9	28.7

	15.4	16.0	+8.6%
14.8	y/y

4.5 4.8 4.9

7.4 7.7 7.8

Sep.19 Jun.20 Sept.20

10.4	11.3	11.8	+13%
y/y

AUM Deposits

AUC Guided Products

> €35mln

€25-35mln

€20-25mln

€10-20mln

< €10mln

PFAs with TFA >20mln are 55% (+6% y/y)

and hold 81% of TFA (+3% y/y)

			+13							+8.3%
				2,577,
2,564							68.2bn		73.9bn
											100			100
		23%			26%
										55%		49%			53%
		16%
				17%											81%
	13%			12%
										18%			18%
29%
	27%
									11%
														10%
											17%
20%		18%					15%
													4%					3%
	Sept.19	Sept.20
		Sept.19	Sept.20
			PFAs						TFA

23

Clients' profile and focus on Private Banking

Total Financial Assets per client

Avg TFA per Private client (1)

>500k 100-500k

50-100k <50k

Total TFA: 85.0bn	o/w Private Banking(1): 34.4bn		AuM		AuC				Deposits
																				0.9mln
							7.6%
		11.1%							0.5-1mln
						8.3%
	10.9%		40.5%						1-5mln					17%
					37.3%
37.5%		46.8%				5-10mln
				>10mln			27%	56%

Average age:

Total clients: 50

Private clients: 62

Outperforming the system in Private Banking growth

€ bn, TFA								(2)					AIPB
		FinecoBank					AIPB						(3)
										"Modelli Misti"
		+48.5%						+11.1%					+24.5%
			33.4	33.0	34.4	776	806	778		884	862				441	437
22.2	25.9	25.8				351	384	380
2016	2017	2018	2019 Jun.20Sept.20	2016	2017	2018		2019 Jun.20	2016	2017	2018	2019 Jun.20

1. Private Banking clients are clients with more than € 0.5mln TFA with the Bank
2. AIPB (Associazione Italiana Private Banking) figures as of 1H20
3. "Modelli Misti" include the following players: Allianz Financial Advisors, Banca Euromobiliare, Banca Generali PB, Banca Mediolanum,

24 Banca Patrimoni Sella, CheBanca!, Deutsche Bank, Fideuram ISPB, Fineco

Agenda

Fineco Results

Next steps

Key messages

Focus on product areas

25

2020 Guidance

Given current outlook(1), our assumptions for 2020, excluding revenues and costs related to UK business development, are:

• Net interest income: confirmed resilient and low risk thanks to the smooth run-off of our bond portfolio, positive effect from volumes (~2.0-2.5bn expected growth of deposits) and lending book (~1.0-1.2bn new production per year), benefit from
  ECB's tiering, no change in our investment policy with no increase in Fineco risk profile and benefit of yield enhancement strategies from a more dynamic management of our Treasury. No contribution from TLTRO in 2020
• Investing: revenues growing mid-single-digit and stabilization of margins
• Brokerage: acting as countercyclical business. It is expected to remain strong thanks to: 1) the deep reshape of the product offer, 2) the enlargement of the market (more Italians are interested in financial markets) and 3) the levels of volatility which we expect to be higher than the extremely low levels registered in the past years
• Banking: banking fees from smart repricing expected to be ~11mln for 2020
• Costs: we confirm our guidance(2) to around 4% yearly growth thanks to our strong operating gearing. This guidance doesn't include up to ~7.5mln of marketing costs in UK. Cost/Income continuously declining in the long run
• CET1: we expect to stay comfortably above 17%
• Leverage Ratio: very well under control and above 3.5% (for details, see slide 56 in Annex)
• Cost of Risk: confirmed in the range between 10 and 15 basis points thanks to the quality of our portfolio
• Net sales: robust, high quality net sales

26	(1)	Forward rate curve as of October 26th, 2020
(2)	Costs guidance includes 1.5mln of UK operative costs

2021 Guidance: strong results expected also going forward

Given current outlook(1), our assumptions for 2021 are:

• Net interest income: confirmed resilient and low risk. We are containing the effect of the worsening interest rates environment thanks to the smooth run-off of our bond portfolio, positive effect from volumes and lending book, benefit from
  ECB's tiering and TLTRO, enlargement of the scope of our investments to non-EU govies with no change in our investment policy nor increase in our risk profile and benefit of yield enhancement strategies. On top of this, we expect a contribution of structural revenues from the regular activity of maintenance of our investment portfolio in the present context of decreasing interest rates environment(2)
• Investing: we expect revenues increasing double digit vs 2020 with resilient margins
• Brokerage: countercyclical business, it is expected to remain strong with a floor definitely higher than in the past
• Banking: banking fees from smart repricing expected to be ~20-22mln in 2021
• Costs: expected to grow by around 4.5% also due to the increase in the workforce
• CET1: floor at 17%
• Leverage Ratio: very well under control and above 3.5%
• Cost of Risk: confirmed in the range between 10 and 15 basis points thanks to the quality of our portfolio
• Net sales: robust, high quality net sales

27

(1) Forward rate curve as of October 26th, 2020

(2) Although this contribution is accounted in the trading profit line, this activity is not driven by market timing but only by the continuous process of maintenance to have an efficient portfolio

Current environment is creating the conditions to further enlarge our growth opportunities

Current situation is accelerating the structural trends reshaping our society…

DEMAND FOR ADVICE

Increasing participation in

financial markets by Italians is building up a bridge among investing and brokerage

DIGITALIZATION

Society structurally moving

towards a more digitalized world:

a way of non-return

DISRUPTION IN

TRADITIONAL BANKS

Traditional banks not ready

for the new paradigma:

flight-to-qualityis gaining

momentum

…and strengthening our long term growth opportunities

Strengths of our business model:
Fintech DNA:	quality, efficiency, innovation
we were born already digital	Cyborg advisory:

our PFAs already used to assist

clients in a digital world

• Robust Net sales with good asset mix
• Structurally higher Brokerage
• Acceleration in high-endclients' acquisition
• Decreasing Cost/Income

28

Accelerating net sales dynamics: robust AUM flows and increased productivity Focus on improving revenues mix and slowing down Balance Sheet growth for a better quality business going forward

Acceleration in direction of AUM

Industrial measures

€, bn AUM

	+99.3%
	1.0
0.5
3Q19	3Q20

	+35.6%
	2.6
1.9
9M19	9M20

The strong acceleration in Total Net Sales and asset mix is driven by our industrial

measures, further strengthening our sustainable growth potential:

New generation of products: FAM contributing in terms of product

Increasing network productivity:

net sales per PFA

innovation, operating efficiency and time-to-market

€, mln

	+53.7%
0.4	0.5
3Q19	3Q20

	+44.6%
	2.2
1.5
9M19	9M20

• New software developments: to
  improve PFAs productivity also leveraging on Big Data Analytics
  capabilities (X-Net,Co-Working platform)

29

FAM: strong commercial momentum with a sustainable approach

Key to sustain AUM margins thanks to its strong operating leverage

Strong contribution to Fineco's AuM net sales

FAM Growth potential

bn

FAM retail class net sales

0.7	0.7	0.5
0.0	0.3	0.5

1.8

1.4

1.0

0.9 0.3 0.7 0.5

bn	FAM retail class penetration on:
	Fineco's AUM	Fineco's AUM
(excluding insurance)		(total)
27.5	27.7	28.9	40.1	41.7
27%	32%	33%	22%	23%

-0.2

1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20

Increasing penetration in Fineco's AuM net sales thanks to FAM ability to create modern and innovative multimanager solutions

Sep.19 Jun.20 Sep.20

Jun.20

Sept.20

Further room to increase FAM's penetration on Fineco's funds stock enhancing the Bank's open architecture platform

FAM is catching a new trend for a further evolution of its business model

FAM is catching a new trend arising from US, where asset managers are starting to give advisory in portfolio management.

Starting from 2021, FAM will add to sub-advisorymandates a new product range based on an advisory service by third parties. This is going to make FAM even more flexible, with a more efficient value chain and a further alignment with clients and investors' interests

30

Fineco UK: our quality one-stop-solution proves to work

Effective marketing campaign increases the number of active clients

Increasing active current accounts(1)

+54.5%

Mar/Sep.19

Mar/Sep.20

Active current accounts on trading increasing >3x y/y

Total current accounts

7.6k	8.9k
Jun.20	Sep.20

First target: 30-35k good clients in 2/3 years horizon

critical number for a "word of mouth strategy"

Revenues mix improved since our first marketing campaign

43% 36%

28%

27% 36% 33%

45% 21% 31%

1Q20 2Q20 3Q20

OTC Listed Multicurrency

Cross selling and revenues mix improved since our very first marketing campaign at the end of 1Q20. Coupled with our huge operating leverage, this is allowing us to be at operating breakeven within the 1H21

OTC and Listed products confirmed to be the lion share of revenues in 3Q20 despite seasonality and lower volatility in the quarter

Next steps: we are progressively enlarging our fund offer, and ISAs and SIPPs are coming soon (see slide 32)

1. Active current accounts have done at least one operation among Listed, OTC or multicurrency services Source: internal elaboration GB Department

31

Fineco UK: next steps

Our UK funds offer counts now on 8 Asset Managers

4Q20	1Q21	2021

ISA Account	+15/20 more to reach ~80% of
	D2C funds coverage

Branch, SIPP Account

32

Agenda

Fineco Results

Next steps

Key messages

Focus on product areas

33

Sustainability at the heart of Fineco's business model (1/2)

We are a looking-forward organization playing in the long-run and able to generate a positive impact for all our stakeholders and the overall society

Our sustainable strategy lays on 2 different levels: a macro level and a micro level

1	MACRO level: related to our business model,
	from the beginning based on sustainability long-term view
	TRANSPARENCY	 FAM as a champion of ESG: PERFORMANCE FEES FREE trademark
	Fairness and respect	 FAIR PRICING
	for all our stakeholders	 LOW UPFRONT FEES (only ~3% of Investing fees)

EFFICIENCY

Fintech DNA: strong focus on IT & Operations, more flexibility, less costs

INNOVATION

Quality offer for highly

SATISFIED CLIENTS

• Delivering BEST-IN-CLASS CUSTOMER EXPERIENCE
• SHARING FAM BENEFITS WITH CLIENTS:
  better quality and timely products with lower TER
• NO short-term AGGRESSIVE COMMERCIAL OFFERS and ZERO REMUNERATION on current accounts
• Focus on ORGANIC GROWTH

34

Sustainability at the heart of Fineco's business model (2/2)

We are a looking-forward organization playing in the long-run and able to generate a positive impact for all our stakeholders and the overall society

2

Our sustainable strategy lays on 2 different levels: a macro level and a micro level

MICRO level: related to the single details contributing to the ESG world

 MARKET FRIENDLY CORPORATE GOVERANCE:	2020 AGM, % of represented shares voting in favour:
 Up to 3 lists for Board renewal		86.2% for outgoing Board list proposal
 10 independent Board members out of 11		97.5% for 2020 remuneration policy
 Ramping up the GOVERNANCE OF SUSTAINABILITY:
		 Our ESG RATINGS

• Sustainability Committee at Board and Managerial level

 Sustainability Team within CFO Department

	FOCUS on Cyber-Security and	ESG risks leveraging on	"EE+"	"A"
(very strong)
	FINTECH DNA
	Broad ESG product offer, both on Investing (i.e. ~40% of funds	 Our ESG INDEX
	have ESG rating Morningstar above "Average") and Lending
	("Green mortgages")

• First Non-Financial Statement published on our website
• Fineco is signatory of UN Global Compact
• Fineco AM is signatory of UN PRI (UN Principles for Responsible Investing)

35

Fineco as a profitable Fintech Bank

Leveraging on a deep-rooted internal know-how to expand platform scalability and operating gearing

1. PROPRIETARY, INTEGRATED BACK-END

Senior management experienced in IT

No external consultants nor system integrator

18%	FTEs in IT Department
24%	FTEs in Back-Office

OUR INTERNAL IT KNOW-HOW

FOCUS ON IT OPERATIONS

• Extreme process automation
• Critical processes always in-house
• Time to market and cost reduction
• Continuous innovation fully in-housedeveloped

FULLY INTEGRATED BUSINESS STRUCTURE

• Core system internally managed
• Internal DWH to exploit our Big Data Analytics
• CRM dedicated team for all clients needs

ITSECURITY

A S T R A T E G I C C H O I C E

r e s u l t i n g i n u n m a t c h e d

u s e r e x p e r i e n c e f o r b o t h o u r c l i e n t s a n d P F A s

1. SINGLE DATABASE POWERING

A STRONG DATA MANAGEMENT

• Governance, implementation and operations for cybersecurity & anti-fraud internally managed
• Ownership and control of critical infrastructure, relying on cloud for massive, scale-out workload needs only

36

Healthy and sustainable growth with a long term horizon

Highly scalable operating platform…

	2014	2015	2016	2017	2018	2019	CAGR (2014-2019)
					69	81	+ 11%
				67
			60		1,358	+ 7%
				1,278
		55		1,200
TFA (bn)	49	1,118
1,048		254	281	+ 13%
			226
	964
Clients (thd, #)
197	208			658	+ 8%
			628
Net profit (1) (mln)	155		587
	544
Revenues (1) (mln)	451	544				250	+ 3%
			244
		233	226	233
Costs (1) (mln)	212
Cost/ Income (1) (%)	47	43	42
		40			-9 p.p.
			39	38

…with a diversified revenues mix leading consistent results in every market conditions

Net Profit adjusted (net of systemic charges) (1), mln

CAGR	+13.3%

37.3 40.1 36.4 40.8 47.8 45.9 55.1 47.7 51.2 49.8 52.0 54.8 51.7 52.6 61.0 60.4 59.0 66.2 63.2 65.6 63.5 75.6 73.4 72.0 92.4 89.2 84.1

1Q142Q143Q144Q141Q152Q153Q154Q151Q162Q163Q164Q161Q172Q173Q174Q171Q182Q183Q184Q181Q192Q193Q194Q191Q202Q203Q20

1. Figures adjusted by non recurring items and Net Profit adjusted net of Deposit Guarantee Scheme, Single Resolution Fund and additional contribution to a member of Interbank Deposit Protection Fund: (FY15: -3.1mln net, FY16: -7.1mln net, FY17: -7.1mln net, FY18: -9.6mln net, FY19: -12.1 mln net,

37 1Q20: -0.3mln gross, -0.2mln net, 2Q20: -0.7mln gross, -0.4mln net; 3Q20: -28.0mln gross, -18.7mln net)

Safe Balance Sheet: simple, highly liquid and low risk asset side, valuable and sticky deposits

Diversified investment portfolio

• Investment strategy announced during FY17 results unchanged: UC bonds run- offs, blend of government bonds diversified
  across countries, covered bonds, supranational and agencies
• 99.5% not exposed to volatility: HTC classification since November 2016

High-quality lending growth

 Lending offered exclusively to our well-knownbase of clients

• Low-risk: CoR at 11bps, cautious approach on mortgages (LTV ~51%, avg maturity 18 yrs)
• Strong competitive advantage leveraging on Big Data Analytics and continuous innovation (i.e. look-through implementation with significant benefits on CET1 ratio)

29.7 bn

23.0
	27.3
4.3
1.8	0.8
1.6
0.7
Assets	Liabilities

High-value deposit base

• Sticky deposits: mostly 'transactional liquidity' gathered without aggressive commercial offers
• Growth based on quality of services. Cost of funding close to zero
• +11% CAGR sight deposits growth in the last 10 years, strong resilience during periods of stress/crisis

Rock - solid capital position

CET1	23.3%	LCR	>1000%
TCR	37.4%	NSFR	309%
	LEVERAGE RATIO	4.35%

Financial Assets			Customer loans			(1)		Other
				Due from Banks
Customer deposits			Other liabilities				Equity

1. Due from banks includes 1.0bn cash deposited at Bank of Italy as of Sep. 2020

38

Total assets: 99.5% not exposed to volatility

Out of 29.7bn, only 0.15bn of Assets valuated at fair value with very limited impacts on Equity reserve

Total Assets, eop bn

Gov. Bonds at fair value		UC Bonds		Other (2)
Other Bonds at amortized costs		Due from banks(1)

Covered bonds and financial corporate	Customers loans
29.7		o/w Total non UCG Bonds:
0.1			16.6 bn (3)
			SSA
		Spain	1.9	Ireland
		3.8
15.6			0.9
				1.0	France
	Financial investments		0.9 Covered & Financial
	at amortized costs (HTC)
0.9
6.1		5.5		2.5
		Other(4)
		Italy
1.8
4.3	Massive de-risking of the Balance Sheet
0.9	thanks to the full collateralization of UC bonds (May 10th, 2019)
Sept.20

1. Due from banks includes 1.0bn cash deposited at Bank of Italy as of Sep.20
2. Other refers to tangible and intangible assets, derivatives and other assets
3. 16.6bn equal to 15.7bn nominal value, o/w Italy 5.1bn nominal value
4. Other : US, Austria, Belgium, Germany, Poland, Portugal, United Kingdom, Switzerland, Chile, Israel, Saudi Arabia

39

Agenda

Fineco Results

Next steps

Key messages

Focus on product areas

40

Revenues by Product Area

Well diversified stream of revenues allow the bank to successfully face any market

environment

Banking, mln

38%

+3.5%

+1.6%

219.2

226.8

-5.7%

72.7

78.3

73.9

3Q19

2Q20

3Q20

9M19

9M20

Brokerage, mln

30%

Investing, mln

30%

9M20

+83.8%

Management

+42.6%

+6.3%

fees

+5.7%

+3.7% y/y

-22.5%

177.6

+8.9%

170.1

179.8

96.7

64.2

34.9

49.7

58.3

56.9

62.0

3Q19

2Q20

3Q20

9M19

9M20

3Q19

2Q20

3Q20

9M19

9M20

9M20 weight on total revenues for each product area

	Managerial Data. Revenues attributable to single each product area, generated by products / services offered to customers according to
41	the link between products and product area. Banking includes revenues generated by direct deposits and credit products. Investing
includes revenues generated by asset under management products; Brokerage includes revenues from trading activity.

Banking

Sound performance driven by strong volume growth and relentless clients' acquisition, thanks to high quality services and best-in-class customer satisfaction

Revenues

mln	Net Interest	Trading income
	Fees and commissions	Other

	+1.6%				+3.5%
				226.8
		-5.7%
			219.2
	78.3
72.7			73.9	198.0
	67.7			203.4
	64.5
67.0
					28.8

	10.3	9.7	15.9
5.9
-0.20.1-0.10.3	-0.30.0	-0.30.2-0.20.2
3Q19	2Q20	3Q20	9M19	9M20

Deposits

Eop, bn

+5.3%

+1.4%

25.1 26.1 26.4

Sep.19 Jun.20 Sep.20

Clients and new clients

thd, # # of new clients

+1.8%

+0.2%

1,338 1,359 1,362 1,364

Sep.19

Jun.20

Sep.20

Oct.20

87

46

67

75

Managerial Data

42

Brokerage

Revamped Brokerage thanks to skyrocketing volatility combined with the review of the offer. Growing market share in Italy and continuous enlargement of product offer

			Revenues
mln	Net Interest		Trading profit
	Fees and commissions	+83.8%
					177.6
		+42.6%			8.6
		-22.5%	96.7	99.7
		64.2		10.6
		49.7
34.9		2.5	56.5
	3.1
		37.6		69.3
3.420.0		26.5	29.6
24.2
11.5		20.1
3Q19		2Q20	3Q20	9M19	9M20

Executed orders

Well-diversified brokerage offer

among products…	…and geographies
Funds	Other markets
Forex / CFD
Italy

	8%
	8%		36%
Derivatives 21%		46%
62%
	2%			18%
Bonds	Equity
US

Volatility (1)

mln
	+52.7%		+90.9%
	-24.0%
			18.5	35.3
6.6	13.2	10.0
3Q19	2Q20	3Q20	9M19	9M20

	Managerial Data
43	(1) Volatility calculated as avg weekly volatility of BUND, BTP, SP, EUROSTOXX, MINIDAX, DAX, FIB, MINIFIB, NASDAQ, DOW weighted on
volumes related to futures traded by our clients

Investing

Increasing revenues y/y thanks to a successful strategy based on our cyborg advisory approach. Very limited upfront fees, representing only ~3% of investing fees

										Revenues											Assets under Management
	mln	Upfront fees							PFA incentives(1)						eop, bn		Guided Products / AUM
															+8.9%
				Management fees		Other income			+5.7%
												9M20					179.8							+4.1%
												170.1
									Management fees		4.5									41.7
													38.3	40.1
										3.6
											+3.7 y/y
																			70%	72%	73%
				+6.3%																			Sep.19	Jun.20	Sep.20
							+8.9%
											178.3	185.0		Average Asset under Management
58.3						62.0											daily avg, bn
56.9
		1.5													+9.8%
		1.1
				1.4
61.5	64.2														+8.4%					+9.1%
58.9

0.0-4.3	-0.23.2	-3.90.2	-11.8-9.80.1	37.7	38.2	41.4	36.4	39.8
			0.0
3Q19	2Q20	3Q20	9M19	9M20	3Q19	2Q20	3Q20	9M19	9M20
Managerial Data

44

Annex

45

P&L

mln	1Q19	2Q19	3Q19	4Q19		FY19		1Q20	2Q20	3Q20		9M19	9M20
Net interest income	70.4	71.4	69.8	69.7	281.3	68.2	70.1	68.6	211.6	206.9
Net commissions	77.4	81.3	84.3	82.3	325.2	105.0	104.8	97.9	242.9	307.6
Trading profit	9.8	8.0	11.6	15.3	44.8	26.4	30.1	20.2	29.4	76.7
Other expenses/income	0.2	0.3	0.1	2.9	3.6	0.6	0.8	0.2	0.7	1.6
Total revenues	157.7	161.1	165.8	170.2		654.8		200.1	205.8	186.9		484.6	592.7
Staff expenses	-21.7	-22.4	-22.5	-23.6	-90.2	-24.0	-24.9	-24.6	-66.6	-73.5
Other admin.exp. net of recoveries	-38.5	-34.4	-29.4	-34.3	-136.6	-36.5	-34.6	-33.4	-102.3	-104.5
D&A	-5.1	-5.4	-5.8	-6.6	-22.9	-6.1	-6.2	-6.4	-16.3	-18.6
Operating expenses	-65.3	-62.3	-57.6	-64.4	-249.6	-66.5	-65.7	-64.4	-185.2	-196.7
Gross operating profit	92.5	98.8	108.2	105.8		405.2		133.6	140.0	122.4		299.4	396.0
Provisions	-1.0	-2.9	-19.8	-3.5	-27.2	-1.1	-6.5	-32.0	-23.6	-39.6
LLP	-1.3	1.1	-1.2	-0.6	-2.0	-1.0	-2.7	0.1	-1.4	-3.5
Profit from investments	-0.7	6.5	0.4	1.1	7.4	-0.1	-3.7	-0.2	6.3	-4.0
Profit before taxes	89.5	103.5	87.6	102.8		383.5		131.4	127.1	90.4		280.7	348.9
Income taxes	-27.3	-31.7	-26.6	-9.6	-95.1	-40.0	-38.3	-25.3	-85.5	-103.6
Net profit for the period	62.3	71.8	61.0	93.2		288.4		91.4	88.7	65.2		195.2	245.3
Net profit adjusted (1)	63.5	75.6	61.7	71.6		272.3		92.2	88.7	65.3		200.7	246.3
Non recurring items (mln, gross)	1Q19	2Q19	3Q19	4Q19		FY19		1Q20	2Q20	3Q20		9M19	9M20
Extraord systemic charges (Trading Profit) (2)	-0.4	-4.3	0.4	1.4	-3.0	-1.2	0.0	-0.2	-4.4	-1.4
Patent Box	-0.9	-0.9	-0.9	20.7	18.1	0.0	0.0	0.0	-2.6	0.0
Total	-1.3	-5.2	-0.5	22.1		15.1		-1.2	0.0	-0.2		-7.0	-1.4

	(1)	Net of non recurring items
46	(2)	Voluntary Scheme valuation

P&L net of non recurring items

mln	1Q19	2Q19	3Q19	4Q19		FY19		1Q20	2Q20	3Q20		9M19		9M20
Adj. (1)	Adj. (1)	Adj. (1)	Adj. (1)		Adj. (1)		Adj. (1)	Adj. (1)	Adj. (1)		Adj. (1)		Adj. (1)
Net interest income	70.4	71.4	69.8	69.7	281.3	68.2	70.1	68.6	211.6	206.9
Net commissions	77.4	81.3	84.3	82.3	325.2	105.0	104.8	97.9	242.9	307.6
Trading profit	10.3	12.3	11.2	13.9	47.7	27.6	30.1	20.4	33.8	78.1
Other expenses/income	0.2	0.3	0.1	2.9	3.6	0.6	0.8	0.2	0.7	1.6
Total revenues	158.2	165.4	165.4	168.8		657.8		201.3	205.8	187.1		489.0	594.2
Staff expenses	-21.7	-22.4	-22.5	-23.6	-90.2	-24.0	-24.9	-24.6	-66.6	-73.5
Other admin.expenses	-38.5	-34.4	-29.4	-34.3	-136.6	-36.5	-34.6	-33.4	-102.3	-104.5
D&A	-5.1	-5.4	-5.8	-6.6	-22.9	-6.1	-6.2	-6.4	-16.3	-18.6
Operating expenses	-65.3	-62.3	-57.6	-64.4	-249.6	-66.5	-65.7	-64.4	-185.2	-196.7
Gross operating profit	92.9	103.1	107.8	104.4		408.2		134.8	140.0	122.7		303.8	397.5
Provisions	-1.0	-2.9	-19.8	-3.5	-27.2	-1.1	-6.5	-32.0	-23.6	-39.6
LLP	-1.3	1.1	-1.2	-0.6	-2.0	-1.0	-2.7	0.1	-1.4	-3.5
Profit from investments	-0.7	6.5	0.4	1.1	7.4	-0.1	-3.7	-0.2	6.3	-4.0
Profit before taxes	90.0	107.8	87.2	101.4		386.4		132.6	127.1	90.7		285.1	350.3
Income taxes	-26.5	-32.2	-25.6	-29.8	-114.2	-40.4	-38.3	-25.3	-84.3	-104.0
Net profit adjusted (1)	63.5	75.6	61.7	71.6		272.3		92.2	88.7	65.3		200.7	246.3

(1) Net of non recurring items (see page 46 for details)

47

9M20 P&L FinecoBank and Fineco Asset Management

mln			Fineco Asset		FinecoBank		FinecoBank
		Management		Individual		Consolidated
Net interest income		-0.2		207.1		206.9
Dividends		0.0		14.2		0.0
Net commissions		49.7		257.9		307.6
Trading profit		0.1		76.6		76.7
Other expenses/income		0.1		1.6		1.6
Total revenues			49.7		557.4		592.7
Staff expenses		-3.1		-70.4		-73.5
Other admin.exp. net of recoveries		-2.9		-101.7		-104.5
D&A		-0.2		-18.5		-18.6
Operating expenses		-6.3		-190.5		-196.7
Gross operating profit			43.4		366.9		396.0
Provisions		0.0		-39.6		-39.6
LLP		-0.1		-3.4		-3.5
Profit on Investments		0.0		-4.0		-4.0
Profit before taxes			43.3		319.8		348.9
Income taxes		-5.5		-98.1		-103.6
Net profit for the period			37.8		221.7		245.3

48

Details on Net Interest Income

mln	1Q19	Volumes &	2Q19	Volumes &	3Q19	Volumes &	4Q19	Volumes &		FY19	Volumes &		1Q20	Volumes &	2Q20	Volumes &	3Q20	Volumes &		9M19	Volumes	9M20	Volumes
Margins	Margins	Margins	Margins		Margins		Margins	Margins	Margins		& Margins	& Margins
Financial Investments	57.1	19,748	58.0	20,582	55.9	21,714	56.0	22,114	227.0	21,040	54.8	22,543	56.3	22,676	53.0	22,491	171.0	20,681	164.1	22,570
Net Margin		1.17%		1.13%		1.02%		1.01%			1.08%			0.98%		1.00%		0.94%			1.11%		0.97%
Gross margin	59.7	1.23%	60.4	1.18%	58.5	1.07%	57.7	1.04%	236.3	1.12%	56.8	1.01%	57.1	1.01%	53.1	0.94%	178.5	1.15%	167.0	0.99%
Other Treasury activities
(unsecured lending and	0.0	0	0.0	0	0.0	0	0.0	0	0.0	0	0.1	69	0.8	784	1.0	1,101		n.a.	n.a.	1.8	651
collateral switch)
Net Margin		0.00%		0.00%		0.00%		0.00%			0.00%			0.44%		0.39%		0.36%			n.a.		0.37%
Security Lending	0.6	836	0.4	386	0.0	0	0.3	307	1.4	382	0.7	634	1.3	1,132	1.3	1,013	1.1	407	3.3	926
Net Margin		0.32%		0.44%		0.00%		0.44%			0.37%			0.44%		0.46%		0.52%			0.35%		0.48%
Leverage - Long	2.7	129	3.2	153	3.3	157	3.3	154	12.4	148	2.9	137	2.4	117	3.1	150	9.2	146	8.3	135
Net Margin		8.45%		8.35%		8.38%		8.38%			8.39%			8.42%		8.13%		8.13%			8.40%		8.23%
Lending	10.5	2,410	10.8	2,544	11.1	2,674	10.9	2,828	43.3	2,614	11.0	3,094	11.4	3,393	11.6	3,582	32.4	2,543	33.9	3,356
Net Margin		1.76%		1.71%		1.64%		1.53%			1.66%			1.42%		1.35%		1.28%			1.70%		1.35%
o/w Current accounts	2.9	1,040	3.2	1,112	3.2	1,169	3.4	1,241	12.7	1,141	3.4	1,316	3.6	1,375	3.6	1,453	9.3	1,107	10.6	1,381
Net Margin		1.14%		1.14%		1.10%		1.07%			1.11%			1.05%		1.04%		0.99%			1.13%		1.03%
o/w Cards	1.2	43	1.2	42	1.2	43	1.2	43	4.9	43	1.2	43	1.1	40	1.1	39	3.6	43	3.4	40
Net Margin (1)	11.43%		11.42%		11.40%		11.40%			11.41%			11.41%		11.40%		11.43%			11.41%		11.41%
o/w Personal loans	4.6	441	4.6	448	4.6	457	4.5	459	18.3	451	4.5	462	4.4	448	4.2	437	13.7	449	13.1	449
Net Margin		4.20%		4.09%		3.98%		3.92%			4.05%			3.93%		3.93%		3.86%			4.09%		3.90%
o/w Mortgages	1.8	886	1.9	942	2.0	1,005	1.8	1,084	7.4	979	1.8	1,273	2.3	1,530	2.6	1,653	5.7	944	6.7	1,485
Net Margin		0.80%		0.82%		0.79%		0.64%			0.76%			0.57%		0.61%		0.63%			0.80%		0.60%
Other(2)	-0.5		-1.0		-0.4		-0.8		-2.8		-1.3		-2.1		-1.3		-2.0		-4.6
Total	70.4		71.4		69.8		69.7			281.3			68.2		70.1		68.6			211.6		206.9
Gross Margin		1.26%		1.25%		1.17%		1.11%			1.20%			1.08%		1.04%		0.98%			1.23%		1.03%
Cost of Deposits		-0.05%		-0.04%		-0.04%		-0.03%			-0.04%			-0.03%		-0.01%		0.00%			-0.04%		-0.01%

Volumes and margins: average of the period

Net margin calculated on real interest income and expenses

2019 quarterly figures have been reclassified due to a managerial recast

1. Net margins and volumes on cards recasted for the previous quarters: now they include only revolving cards, while they were previously calculated on total cards, both spending and revolving.

49 (2) Other includes mainly marketing costs

UniCredit bonds underwritten

	ISIN	Currency Amount (€ m)		Maturity	Indexation	Spread
1	IT0005010381	Euro	382.5	7-Oct-20	Euribor 1m	2.52%
2	IT0005010332	Euro	382.5	6-Jan-21	Euribor 1m	2.54%
3	IT0005010316	Euro	382.5	6-Apr-21	Euribor 1m	2.56%
4	IT0005010340	Euro	382.5	5-Jul-21	Euribor 1m	2.58%
5	IT0005010225	Euro	382.5	18-Oct-21	Euribor 1m	2.60%
6	IT0005040099	Euro	100.0	24-Jan-22	Euribor 1m	1.46%
7	IT0005057994	Euro	200.0	11-Apr-22	Euribor 1m	1.43%
8	IT0005083743	Euro	300.0	28-Jan-22	Euribor 1m	1.25%
9	IT0005114688	Euro	180.0	19-May-22	Euribor 1m	1.19%
10	IT0005120347	Euro	700.0	27-Jun-22	Euribor 1m	1.58%
11	IT0005144065	Euro	450.0	14-Nov-22	Euribor 3m	1.40%
12	IT0005144073	Euro	350.0	15-Nov-21	Euribor 3m	1.29%
13	IT0005158412	Euro	250.0	23-Dec-22	Euribor 3m	1.47%
14	IT0005163180	Euro	600.0	11-Feb-23	Euribor 3m	1.97%
15	IT0005175135	Euro	100.0	24-Mar-23	Euribor 3m	1.58%
16	IT0005217606	Euro	350.0	11-Oct-23	Euribor 3m	1.65%
17	IT0005241317	Euro	622.5	2-Feb-24	Euribor 3m	1.52%
	Total	Euro	6,115.0		Euribor 1m	1.87%

In order to calculate an average spread on Eur1m, an average basis swap of 0.03% is considered

50

Financial Investments

Further improvements for a diversified asset side.

		Bond Portfolio, avg bn				Bond portfolio run-offs,eop bn
		UC bonds Spain	SSA (1)				UC Bonds		Govies & SSA		Covered & Corporate

Italy		Other Govies(2)	Covered & Corporate			3.0	3.1
																	2.7
	+9.4%													2.4	2.3
													2.0
		-2.2%		+16.8%			1.9	2.2
						1.6
	23.1	22.6		22.6				1.5		1.4			2.4
20.6						0.6		2.3
6.6	6.1	19.4						1.1	1.8		2.1		1.0
	6.6	0.7
							1.3
7.9								0.4	1.1	0.9		0.9					0.9
				8.3			0.5						0.0	0.3
	5.6	5.5			0.3								0.3
		5.5	0.0	0.0	0.0	0.1	0.2	0.1	0.1	0.1	0.0	0.0	0.3
						0.0
4.3	3.9	3.8	4.1	3.9												0.0	0.0
3.6	2020	2021	2022	2023	2024	2025	2026	2027	2028	2029	2030	2031	2044
4.1	4.2	3.4	3.9
3.2		2.0		2.0	2.4		1.8	252	234	144	186	155
0.4 1.1					UC Bonds avg spread vs Eur1M, bps
0.9	0.9	0.2 1.0	0.8
3Q19	2Q20	3Q20	9M19	9M20

Avg Bond portfolio 9M20 (excl. UC Bonds):	Residual maturity total portfolio: 4.9 yrs
16.0bn, +45% y/y	o/w UC Bonds: 1.6 yrs
65% at fixed rate, avg yield: 68bps (3)	o/w bonds (excl. UC bonds): 6.2 yrs

1. Sovereign Supranational and Agencies
2. Avg 3Q20 "Other" includes: 1.0bn France, 0.9bn Ireland, 0.6bn Belgium, 0.5bn USA, 0.5bn Austria, 0.4bn Portugal, 0.1bn Germany, 0.2bn other (UK, Poland, Switzerland, Saudi Arabia, Israel, Chile)

51 (3) Calculated on nominal value as of Sept 30th 2020

Details on Net Commissions

mln	1Q19	2Q19	3Q19	4Q19		FY19		1Q20	2Q20	3Q20		9M19	9M20
Banking	4.5	5.6	5.9	5.3	21.3	8.8	10.3	9.7	15.9	28.8
Brokerage	18.5	18.0	20.0	20.8	77.3	35.6	37.6	26.5	56.5	99.7
o/w
Equity	15.6	14.7	15.9	17.0	63.2	30.0	31.0	21.7	46.2	82.7
Bond	0.9	0.9	1.4	0.7	3.9	1.0	3.8	2.2	3.2	7.0
Derivatives	2.3	2.2	2.7	2.6	9.7	4.5	3.7	2.6	7.2	10.8
Other commissions(1)	-0.2	0.2	0.0	0.6	0.5	0.0	-0.9	0.1	-0.1	-0.8
Investing	54.2	57.6	58.3	56.1	226.2	60.8	57.1	61.8	170.1	179.7
o/w
Placement fees	1.1	1.3	1.1	1.8	5.4	1.7	1.4	1.5	3.6	4.5
Management fees	57.1	59.7	61.5	63.0	241.3	61.9	58.9	64.2	178.3	185.0
to PFA's: incentives	-3.0	-4.3	-3.6	-8.0	-18.9	-2.5	-2.6	-3.1	-10.9	-8.2
to PFA's: LTI	-1.0	0.8	-0.7	-0.7	-1.6	-0.2	-0.7	-0.7	-0.9	-1.6
Other	0.1	0.1	0.1	0.1	0.4	-0.2	-0.2	-0.2	0.3	-0.6
Total	77.4	81.3	84.3	82.3		325.2		105.0	104.8	97.9		242.9	307.6

(1) Other commissions include security lending and other PFA commissions related to AuC

52

Revenues breakdown by Product Area

mln	1Q19	2Q19	3Q19	4Q19		FY19		1Q20	2Q20	3Q20		9M19	9M20
Net interest income	67.6	68.8	67.0	66.9	270.3	65.8	67.7	64.5	203.4	198.0
Net commissions	4.5	5.6	5.9	5.3	21.3	8.8	10.3	9.7	15.9	28.8
Trading profit	-0.1	-0.1	-0.2	0.2	-0.2	-0.1	-0.1	0.0	-0.3	-0.2
Other	0.1	0.1	0.1	0.1	0.4	0.2	0.3	-0.3	0.2	0.2
Total Banking	72.1	74.3	72.7	72.5		291.7		74.6	78.3	73.9		219.2	226.8
Net interest income	3.4	3.7	3.4	3.4	14.0	3.0	2.5	3.1	10.6	8.6
Net commissions	18.5	18.0	20.0	20.8	77.3	35.6	37.6	26.5	56.5	99.7
Trading profit	8.2	9.9	11.5	11.7	41.3	25.1	24.2	20.1	29.6	69.3
Other	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Total Brokerage	30.2	31.6	34.9	35.9		132.6		63.6	64.2	49.7		96.7	177.6
Net interest income	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Net commissions	54.2	57.6	58.3	56.1	226.2	60.8	57.1	61.8	170.1	179.7
Trading profit	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0
Other	0.0	0.0	0.0	2.7	2.7	0.1	-0.2	0.2	0.0	0.1
Total Investing	54.2	57.6	58.3	58.8		228.9		60.9	56.9	62.0		170.1	179.8

Managerial Data

Please note that, starting from December 31st, 2019, "Trading profit" also includes dividends and similar revenues on equity investments held at fair value in the item "Dividend income and similar revenue", previously included in the item "Dividends and other income from equity investments" in the reclassified income statement.

53

Breakdown Total Financial Assets

mln	Mar.19	Jun.19	Sep.19	Dec.19		Mar.20	Jun.20	Sep.20
AUM	35,988	36,819	38,325	40,505	35,516	40,083	41,744
o/w Funds and Sicav	26,361	26,426	27,477	28,786	24,122	27,657	28,929
o/w Insurance	8,401	9,002	9,369	10,115	9,961	10,676	11,020
o/w GPM	1	26	55	93	127	169	185
o/w AuC + deposits under adviso	1,225	1,365	1,425	1,512	1,307	1,580	1,610
o/w in Advice	572	600	603	598	516	550	554
o/w in Plus	653	765	822	914	792	1,030	1,056
AUC	15,187	15,229	15,158	15,324	13,485	16,486	16,821
o/w Equity	9,137	9,207	9,573	9,841	8,308	10,565	11,006
o/w Bond	6,037	6,011	5,575	5,448	5,147	5,878	5,766
o/w Other	13	12	11	35	30	43	49
Direct Deposits	22,941	23,844	25,099	25,590	26,925	26,077	26,432
o/w Sight	22,938	23,842	25,098	25,588	26,924	26,077	26,432
o/w Term	2	2	2	1	1	1	0
Total	74,116	75,892	78,583	81,419		75,927	82,646	84,997
o/w Guided Products & Services	24,301	25,354	26,697	28,788		25,486	28,984	30,331
o/w TFA Private Banking	29,041	29,970	31,891	33,437		28,844	33,024	34,438

AuC and Deposits under advisory have been reclassified within AuM in order to have a better representation of the advisory nature of Advice and Plus services

54

Balance Sheet

mln	Mar.19	Jun.19	Sep.19	Dec.19		Mar.20	Jun.20	Sep.20
Due from Banks (1)	3,807	1,941	2,033	1,320	1,801	1,633	1,761
Customer Loans	3,029	3,409	3,568	3,680	3,741	4,204	4,320
Financial Assets	19,012	19,920	21,532	22,313	23,414	22,961	22,988
Tangible and Intangible Assets	243	242	247	279	280	280	278
Derivatives	29	49	72	65	76	76	76
Other Assets	259	274	308	366	207	259	298
Total Assets	26,380	25,835	27,760	28,023		29,519	29,412	29,721
Customer Deposits	23,311	24,140	25,429	25,920	27,202	27,021	27,297
Due to Banks	1,605	207	188	155	331	113	105
Derivatives	32	84	156	95	144	207	212
Funds and other Liabilities	393	477	698	471	365	515	487
Equity	1,040	928	1,289	1,382	1,477	1,556	1,620
Total Liabilities and Equity	26,380	25,835	27,760	28,023		29,519	29,412	29,721

1. Due from banks includes cash deposited at Bank of Italy: 1.0 bn as of Sep.2020, 0.9bn as of June 2020, 1.2bn as of Mar.2020, 1.2bn as of June 2019, 1.2bn as of Sept. 2019, and 0.8bn as of Dec. 2019

55

Leverage Ratio Sensitivity

• OUR PRIORITY: to slow down the growth of our Balance Sheet through the conversion of deposits into Asset under Management and through the repricing of our Banking services
• OUR 2020 GUIDANCE: Leverage Ratio comfortably above 3.5% considering 2-2.5bngrowth of deposits

STRESS TEST SCENARIO

T1 Capital (mln)

		0		30		40	50	60	70	80	90		100	110		120	130	140	150
	-	3.85%		3.95%	3.99%	4.02%	4.06%	4.10%	4.13%	4.17%	4.20%	4.24%		4.27%	4.31%	4.34%	4.38%
	500	3.78%		3.88%	3.92%	3.95%	3.99%	4.02%	4.06%	4.09%	4.13%	4.16%		4.20%	4.23%	4.27%	4.30%
	1,000	3.72%		3.82%	3.85%	3.89%	3.92%	3.96%	3.99%	4.02%	4.06%	4.09%		4.13%	4.16%	4.20%	4.23%
(mln)	1,500	3.65%		3.75%	3.79%	3.82%	3.85%	3.89%	3.92%	3.96%	3.99%	4.02%		4.06%	4.09%	4.12%	4.16%
2,000	3.59%		3.69%	3.72%	3.76%	3.79%	3.82%	3.86%	3.89%	3.92%	3.96%		3.99%	4.02%	4.06%	4.09%
2,500	3.53%		3.63%	3.66%	3.70%	3.73%	3.76%	3.79%	3.83%	3.86%	3.89%		3.92%	3.96%	3.99%	4.02%
3,000	3.48%		3.57%	3.61%	3.64%	3.67%	3.70%	3.73%	3.77%	3.80%	3.83%		3.86%	3.89%	3.93%	3.96%
Exposures	3,500	3.42%		3.52%	3.55%	3.58%	3.61%	3.64%	3.67%	3.71%	3.74%	3.77%		3.80%	3.83%	3.86%	3.90%
4,000	3.37%		3.46%	3.49%	3.52%	3.56%	3.59%	3.62%	3.65%	3.68%	3.71%		3.74%	3.77%	3.80%	3.84%
	4,500	3.32%		3.41%	3.44%	3.47%		3.50%	3.53%	3.56%	3.59%	3.62%	3.65%		3.68%	3.72%	3.75%	3.78%
	5,000	3.27%		3.36%	3.39%	3.42%	3.45%	3.48%	3.51%	3.54%	3.57%	3.60%		3.63%	3.66%	3.69%	3.72%
	5,500	3.22%		3.31%	3.34%	3.37%	3.40%	3.43%	3.46%	3.49%	3.52%	3.55%		3.57%	3.60%	3.63%	3.66%
	6,000	3.17%		3.26%	3.29%	3.32%	3.35%	3.38%	3.41%	3.43%	3.46%	3.49%		3.52%	3.55%	3.58%	3.61%
Total	6,500	3.13%		3.21%	3.24%	3.27%	3.30%	3.33%	3.36%	3.39%	3.41%	3.44%		3.47%	3.50%	3.53%	3.56%
7,000	3.08%		3.17%	3.19%	3.22%	3.25%	3.28%	3.31%	3.34%	3.37%	3.39%		3.42%	3.45%	3.48%	3.51%
	7,500	3.04%		3.12%	3.15%	3.18%	3.21%	3.23%	3.26%	3.29%	3.32%	3.35%		3.37%	3.40%	3.43%	3.46%
	8,000	3.00%		3.08%	3.11%	3.13%	3.16%	3.19%	3.22%	3.24%	3.27%	3.30%		3.33%	3.36%	3.38%	3.41%
	8,500	2.95%		3.04%	3.06%		3.09%	3.12%	3.15%	3.17%	3.20%	3.23%	3.26%		3.28%	3.31%	3.34%	3.36%
	9,000	2.92%		3.00%	3.02%	3.05%	3.08%	3.10%	3.13%	3.16%	3.18%	3.21%		3.24%	3.27%	3.29%	3.32%
	9,500	2.88%		2.96%	2.98%		3.01%	3.04%	3.06%	3.09%	3.12%	3.14%	3.17%		3.20%	3.22%	3.25%	3.27%
	10,000	2.84%		2.92%	2.94%	2.97%		3.00%	3.02%	3.05%	3.07%		3.10%	3.13%		3.15%	3.18%	3.21%	3.23%
						LR > 3.5%			3.0% < LR < 3.5%				LR < 3.0%

Considering our organic capital generation(1) after dividend distribution and payment of AT1 coupon, also in case of extremely adverse market scenario and

assuming 5 billion of deposit

growth in 2020 (vs 2.4bn on

average in the period 2015-'19),

our Leverage ratio would

remain around 3.5%

(1) In 2019 we generated 58mln of organic capital after the payment of AT1 coupon and assuming the distribution of €0.32 DPS

56

Main Financial Ratios

	Mar.19	Jun.19	Sep.19	Dec.19		Mar.20	Jun.20	Sep.20
PFA TFA/ PFA (mln) (1)	25.0	25.6	26.6	27.8		25.7	27.9	28.7
Guided Products / TFA (2)	33%	33%	34%	35%		34%	35%	36%
Cost / income Ratio (3)	41.3%	39.4%	37.9%	37.9%		33.0%	32.5%	33.1%
				pro-forma
CET 1 Ratio (4)	21.0%	17.8%	17.4%	24.2%		25.4%	24.1%	23.3%
				pro-forma
Adjusted RoE (5)	31.2%	34.0%	27.3%	25.1%		26.5%	26.0%	23.4%
				pro-forma
Leverage Ratio (6)	5.11%	2.89%	3.85%	4.54%		4.39%	4.41%	4.35%

1. PFA TFA/PFA: calculated as end of period Total Financial Assets related to the network divided by number of PFAs eop
2. Calcuated as Guided Products eop divided by Total Financial Assets eop
3. C/I ratio net of non recurring items (see page 46 for details) calculated as Operating Costs divided by Revenues net of non recurring items
4. Dec.19 CET1 ratio pro-forma
5. RoE: Net Profit, net of non recurring items (see page 46 for details) divided by the average book shareholders' equity for the period (excluding dividends expected to be distributed and the revaluation reserves) . Dec.19 ROE is pro-forma
6. Leverage ratios until Mar.19 are calculated on Individual basis, according to the EC Delegated Act 2015/62 regarding the exclusion of intra-group57 exposure. Dec.19 Leverage ratio pro-forma

Fineco - a fully independent public company starting from May 2019

Strategy and Business model

Fineco exit from the UniCredit Group has no implications on its strategy and business model: Fineco enjoyed limited synergies with UniCredit and, as a fully independent company, continues to focus on maximizing shareholders' value via healthy, sustainable and organic growth

Transitional Arrangements with UniCredit Group

Fineco and UniCredit have agreed to enter into certain transitional arrangements to ensure full continuity and an orderly and smooth transition from a regulatory, liquidity and operational standpoint

INVESTMENT

STRATEGY

• No change in the investment policy envisaging an increasing diversification of financial investments as the existing stock of UniCredit bonds progressively runs off by 2024
• UniCredit has granted a financial collateral in favor of Fineco to secure the credit risk exposures towards UniCredit and neutralize the capital impacts and risk concentration limits

INFRAGROUP

SERVICES

TRADEMARK

• UniCredit will continue to provide, on an interim basis, certain services in order to allow Fineco to act in full operational continuity. The contract for customers' access to banking services through smart ATMs and physical branches has been extended for 20 years
• Fineco has exercised at the end of 2019 the option for the purchase of its brand at the price of €22.5mln plus VAT

58

Fineco Asset Management in a nutshell

AUM at €14.9bn, of which €9.6bn retail classes (1)

	FAM EVOLUTION(30 strategies)
	FAM Target: decumulation product to progressively invest in multi-thematic/profile funds
FUNDS OF	FAM Megatrend: multi-thematic fund investing in secular trends
New building blocks both vertical and based on risk profile
FUNDS	FAM Target: decumulation products for customers who want to take advantage of bear
	market phases
	CORE SERIES(30 strategies)
	Release of Premium Share Classes
	Additional sub-advisory mandates in pipeline to further enlarge the offer through
FAM SERIES
quality and exclusivity agreements for Fineco clients only
(sub-adviced

funds)	FAM Global Defence: new capital preservation solution

	32 strategies

Underlying funds for advisory solutions (both funds of funds and Insurance wrappers)

INSTITUTIONAL allowing a better control of the value chain to retain more margins and lower

BUSINESS	customers' TER
40 strategies, including also Passive and new Smart Beta funds

BENEFITS

Quality improvement and time to market for customers and distribution needs

Several efficiencies leveraging on a vertically integrated business model combined with the strong operating efficiency which is in Fineco's DNA

Better risk management thanks to the look-through on daily basis on funds' underlying assets Win-winsolution: lower price for clients, higher margins

59

(1) Figures as of October 31st, 2020

Fineco UK vs Competitors: products and services

Coming Soon - see slide 32

60

Fineco UK vs Competitors: features

Fineco platform: usability, reliability and advanced tools

61

Fineco UK: Premium service without premium price (1/2)

Disruptive pricing 100% sustainable thanks to our strong operating leverage

OTC: zero commission, no added spreads

Stock broking: flat fees

Platform fees: the most competitive

Transaction fees

1. (1)

1. (1)

1. Plus Custody fees

62

Fineco UK: Premium service without premium price (2/2)

Disruptive pricing 100% sustainable thanks to our strong operating leverage

Multicurrency: best spreads, no commissions

1. Equivalent for each transaction - Exchage rate GBP/EUR: 1,1217

63

Preserving our best price/quality ratio

An update on the main outcomes from our Smart Repricing

Competitive landscape (1)

€			Online										€ 86 avg									€ 150 avg
			Branch						online costs								branch costs
			IWBank (IWConto)	4																												89
			Widiba (Conto Flat)			20
			ING (Conto Arancio)			24
			Webank			24
			Fineco					25
			B.Generali (BG Deluxe)			47												59
			HelloBank! (Hello! Money)			58
			Banca Sella (Websella)			62																								161
																								35
			CreditAgricole (Easy)			66
			CheBanca! (Premier)				72
		Banco BPM (YouWelcome NEW)				74																				98
			B.Mps (Mio Plus)					81																		93
	Poste Italiane (BancoPosta Medium)																		115												129
			BNL (X-Smart)																			122														184
			UBI Banca (Ubi Conto)																			127											170
			BPER (Ondemand)																			137										166
			Deutsche Bank (Smart New)																			137									181
			B.Mediolanum																						146
			UniCredit (MyGenius Silver)																													185																		295
			Intesa SanPaolo (Xme)																														204															219

	(1) Most convenient current accounts. Source: Figures based on publicly available costs for families with average online operations of the main
64	Italian banks (ICC - Indicatore Complessivo dei Costi). The figures relates to the costs of current accounts reported in brackets, and are not
taking into account promotions on the fee for the first year.

Additional Tier 1

First public placement successfully issued with strong demand (9x the offer)

€200 mln AT1 issued in January 2018		€300 mln AT1 issued in July 2019

• On January 23rd, 2018 the Bank issued a €200mln perpetual AT1
• Coupon fixed at 4.82% for the initial 5.5 years
• Private placement, fully subscribed by UniCredit SpA
• Semi-annualcoupon
• Coupon (net of taxes) will impact directly Equity reserves

• On July 11th, 2019 Fineco issued a €300mln perpetual AT1 in order to maintain the Leverage Ratio above 3.5% after the exit from the UniCredit Group
• Coupon fixed at 5.875% (initial guidance at 6.5%) for the initial
  5.5 years
• Public placement, with strong demand (9x, €2.7bn), listed in Euronext Dublin
• Semi-annualcoupon
• Coupon (net of taxes) will impact directly Equity reserves
• The instrument was assigned a BB- rating by S&P

Italian AT1 yield at first call date

On Oct. 29th, 2020

S&P Global Ratings

upgraded Fineco's outlook

to Stable and affirmed

ratings at BBB/A-2

65