National Bank of Canada at Barclays Global Financial Services Conference Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Brian Morton - Barclays Services Corp - Analyst : For the investors who aren't as familiar with the Credigy story, can you briefly describe your strategy and market position? And also, could you describe how you fit into the overall strategy for National Bank?

Question: Brian Morton - Barclays Services Corp - Analyst : Great. Credigy has a very unique and diverse asset portfolio. I mean maybe starting with the largest segment, structured mortgage credit investments. Maybe talk about how your competitive advantages in this segment as well as the outlook for the mortgage investments and the stable to potentially lower interest rate environment, though elevated housing prices.

Question: Brian Morton - Barclays Services Corp - Analyst : Okay. Great. Also, can you talk about the insurance-related segment? Are you seeing opportunities to deploy capital in this segment? Are you seeing insurance companies looking to divest some of these assets?

Question: Brian Morton - Barclays Services Corp - Analyst : Maybe a question just as I was thinking about, can you maybe talk about how more -- how you interact with customers? Are you just -- are you purchasing these assets through intermediaries? Or do you have direct relationships with the individual customers?

Question: Brian Morton - Barclays Services Corp - Analyst : Okay. Great. I mean do you see other adjacent asset classes to expand into? And would you consider an acquisition to add scale or capability?

Question: Brian Morton - Barclays Services Corp - Analyst : Do you see other adjacencies outside to kind of the five verticals that you're working in?

Question: Brian Morton - Barclays Services Corp - Analyst : One trend we're seeing is the rise in private credit as well as a growing number of fintechs and other financial -- nonbank financial intermediaries. How do you see the competitive environment right now from the nonbank community from potentially better funded competitors?

Question: Brian Morton - Barclays Services Corp - Analyst : Okay. Great. Now there's one thing I was looking at. So it looks like the credit loss content in the portfolio looks relatively small, kind of given the structure and secured nature of the assets, but still, do you have any concerns from a credit perspective?

Question: Brian Morton - Barclays Services Corp - Analyst : Also, maybe could you talk about the liquidity for these assets? I mean do you need to mark them to market? And if needed, do you think you can -- the assets could be liquidated quickly?

Question: Brian Morton - Barclays Services Corp - Analyst : Great. Can you discuss your funding strategy? Are you raising deposits in the United States? And what kind of support do you have from the parent for funding Also, do you match the duration of the assets with funding?

Question: Brian Morton - Barclays Services Corp - Analyst : While the business model is very efficient with an operating efficiency ratio below 30%, are you feeling pressures to increase technology investments in the business, particularly as it pertains to the implementation of AI?

Question: Brian Morton - Barclays Services Corp - Analyst : As it pertains to AI?

Question: Brian Morton - Barclays Services Corp - Analyst : And maybe can you also talk about the amount of leverage used in financing these assets? And what is your kind of target level of returns? How much capital is required to run the business? And do you feel any capital constraints? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. SEPTEMBER 08, 2025 / 1:45PM, NA.TO - National Bank of Canada at Barclays Global Financial Services Conference

Question: Brian Morton - Barclays Services Corp - Analyst : About leverage.

Question: Brian Morton - Barclays Services Corp - Analyst : And then do you target any type of level of like growth in the asset base? Or is it just kind of taking what the industry growth is?

Question: Brian Morton - Barclays Services Corp - Analyst : Can you talk about maybe some of your -- the regulatory framework for Credigy, your -- in the specialty finance area, a little bit smaller than some of the other financial firms out there, but you also have this Canadian parent bank. How does that at all this impact you on the regular framework?

Question: Brian Morton - Barclays Services Corp - Analyst : Great. Thanks, Trey. That's pretty much from my question. Is there anything else we haven't covered? Or would you like to make any concluding remarks?

Question: Brian Morton - Barclays Services Corp - Analyst : Great. Thank you very much, Trey. Let's open it up to -- does anyone have any questions on the floor? And of course, I would like to kind of keep the conversation on Credigy, anything for National bank of Canada, we'll just take those questions later off-line. But we'll start here in the front. Unidentified Participant (inaudible) --