Powerful retail banking franchise in Spain and well diversified business model. Better credit risk profile than Spanish average and material reduction of real estate foreclosed assets. Solid deposit base, balanced funding structure, and limited reliance on wholesale funding. Geographic concentration in Spain and Portugal. More vulnerable than most other domestic peers if political risks in Catalonia resurface. Lower capital levels than peers mostly due to the treatment of its equity portfolio and insurance subsidiary. The stable outlook reflects that our view of the bank's creditworthiness is unlikely to change in the next 18-24 months. We expect CaixaBank to remain a dominant player in Spain while strengthening its position in Portugal, maintain a prudent liquidity profile, and continue its balance sheet
