Strong market position and franchise in the Canton of Vaud. Satisfactory risk management. Solid capitalization. Limited geographic diversification outside the Canton of Vaud. High exposure to regional real estate markets. Standard&Poor's Ratings Services' long-term counterparty credit rating on Switzerland-based Banque Cantonale Vaudoise (BCV) factors in two notches of support above the bank's current stand-alone credit profile (SACP). This reflects implicit support from its main shareholder, the Swiss Canton of Vaud (AA+/Positive/--), despite the absence of a full statutory guarantee. The second-largest cantonal bank in the Swiss Confederation (Switzerland; AAA/Stable/A-1+), BCV is a government-related entity (GRE), according to Standard&Poor's methodology. It maintains a "very strong" link with the Canton of Vaud and plays a "very important" role
