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: Sohrab Movahedi - BMO Capital Markets Equity Research - Analyst
: I just wanted to clarify 1 question and I want to answer and get a couple of other questions in. I think you mentioned, Rana, that if the utilization
rates, I think on the commercial products were back at pre-pandemic levels, that would be the equivalent of about $1 billion in additional assets.
Would that also be about the same amount of incremental RWA on the balance sheet at those utilization rates?
Question: Sohrab Movahedi - BMO Capital Markets Equity Research - Analyst
: Okay. Okay. And so then secondly, when you're looking at the residential real estate review, I think that you've kind of articulated in the last number
of quarters, is it only a process improvement review? Or do you anticipate that 1 of the outcomes could be that their composition or the risk texture
of that portfolio may change between I don't know, insured and uninsured or nation LTVs or something like that. Is it possible that your risk appetite
may also (inaudible) as you improve on the processes there?
Unidentified Company Representative
Sure, it's Sohrab. Thank you for the question. Right now, we're very happy with our risk appetite in the mortgage review. Our product offering was
recently recognized with an award. We operate both in the at the prime and the insured spaces. And clients seem to like our broad offering. We
don't have any change in our risk appetite. That said, we have a very high proportion of our mortgage portfolio insured. As Yvan mentioned, and
we have a relatively low LTV. So that will ebb and flow as we build the business.
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SEPTEMBER 01, 2021 / 1:00PM, LB.TO - Q3 2021 Laurentian Bank of Canada Earnings Call
Question: Sohrab Movahedi - BMO Capital Markets Equity Research - Analyst
: Okay. That's perfect. And then the last one, I think we've talked a little bit about or I think you have over the last couple of quarters anyway about
the core banking system and and some work that maybe has been put on hold a more thorough review over there. I mean, as you think about your
digital deposit capture and some of those technology type projects here. How dependent is that on having a resolution, if you will, on what's
happening with the core banking business?
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