The following is excerpted from the question-and-answer section of the transcript.
(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)
Question: Gabriel Dechaine - National Bank Financial, Inc., Research Division - Analyst
: Thanks for the rate sensitivity disclosure change there, but I have had a question about the surge deposit. Like have you ever -- can you quantify
that deposit base against which we're evaluating an additional benefit? And like how do you define a surge deposit?
Question: Gabriel Dechaine - National Bank Financial, Inc., Research Division - Analyst
: Okay. So as the total increase since the pandemic started, that's -- and a 1/3 of that amount is considered surge?
REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us
consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies.
MARCH 01, 2022 / 12:15PM, BMO.TO - Q1 2022 Bank of Montreal Earnings Call
Question: Gabriel Dechaine - National Bank Financial, Inc., Research Division - Analyst
: All right. And just to clarify on the -- this fair value and hedging kind of offset, you will see fluctuations in the core Tier 1 ratio. There's an important
timing difference there, we should be aware of, I think, anyway, that you'll see fluctuations in the core Tier 1 ratio until you close when you have
gains or losses on those swaps, but then the goodwill adjustment is the offset at close, whether that's up or down, like they move -- that's correct,
right?
Question: Gabriel Dechaine - National Bank Financial, Inc., Research Division - Analyst
: Okay. But it's important for investors to know that you'll not panic if rates go down and your core Tier 1 ratio goes down because there's an offset
at the end of the line.
|
