Capital Adequacy – Quarterly Report 31 March 2016 SASFIN HOLDINGS LIMITED (Incorporated in the Republic of South Africa) Registration Number 1987/002097/06) Ordinary share code: SFN ISIN: ZAE000006565 Preference share code: SFNP ISIN: ZAE000060273 (“the Group”) SASFIN HOLDINGS LIMITED / SASFIN BANK LIMITED CAPITAL ADEQUACY – QUARTERLY REPORT 31 March 2016 Quarterly Report in terms of Regulation 43 (1) (e) (ii) of the Banks Act 1990 (as amended). Sasfin Holdings Limited and Sasfin Bank Limited are required in terms of the requirements of the Banks Act and Basel III, to report on their capital management plan, capital strategy, capital structure, capital adequacy and leverage ratio publicly. The Group's capital management plan and strategy are fully disclosed in the Group's 2015 Integrated Report and Audited Annual Financial Statements which are available at www.sasfin.com or from the Company Secretary. Sasfin Holdings Limited and Sasfin Bank Limited capital structure, capital adequacy, leverage and liquidity coverage ratios at 31 March 2016 are disclosed below. Sasfin Sasfin Bank Sasfin Holdings and Bank Limited Subsidiaries Limited R'000 % R'000 % R'000 % Capital Structure and Capital Adequacy levels Total risk weighted assets and 1. exposures 7 199 136 5 996 642 4 737 327 Credit risk 4 156 736 4 249 409 3 631 424 Operational risk 975 060 573 430 456 262 Market risk 147 287 147 287 9 798 Equity investment risk 861 206 138 246 138 246 Securitisation risk 236 059 236 059 236 059 Other risk 822 788 652 211 265 538 2. Common equity Tier 1 capital 1 322 863 18.38 1 185 295 19.77 949 743 20.05 Share capital and premium 144 327 463 476 463 476 Distributable reserves and other 1 118 214 663 295 406 907 Prescribed deductions and non- qualifying reserves 63 845 74 417 79 360 Intragroup investments -3 523 -15 893 0 3. Additional Tier 1 capital Non-redeemable preference share capital 117 270 1.63 - - - - 4. Total Tier 1 capital 1 440 133 20.00 1 185 295 19.77 949 743 20.05 5. Tier 2 capital 26 487 0.37 32 865 0.55 28 655 0.60 Sub-ordinated debt 11 611 17 989 17 989 General allowance for credit impairment 14 876 14 876 10 666 Total qualifying capital and capital adequacy ratio 1 466 620 20.37 1 218 160 20.31 978 398 20.65 6. Minimum required capital and reserves 746 910 10.38 622 152 10.38 491 498 10.38 Leverage and liquidity coverage Total Exposures for Leverage 7. disclosure 11 213 854 9 345 839 6 089 985 Leverage ratio (Total Tier 1 capital / 8. Total exposures) 12.84 12.68 15.60 9. Minimum required Leverage Ratio 4.00 4.00 4.00 10. Liquidity coverage ratio 236 11. Benchmark liquidity coverage ratio 70 12. South Africa has managed to avert a sovereign rating downgrade to below investment grade, but continues to face significant headwinds in the form of the slump in commodity prices, drought, currency volatility and low growth concerns. In terms of South African banking regulatory capital requirements, a conservation capital buffer requirement of 0.625% was introduced in 2016 while the base minimum capital requirement changed from 10.000% to 9.750%. This has resulted in an increase to the minimum regulatory capital requirement from 10.000% to 10.375%. Sasfin Holdings Limited and Sasfin Bank Limited have maintained their strong capital and liquidity positions with Total Capital Adequacy, Tier 1 Capital Adequacy, Leverage and Liquidity coverage ratios all exceeding the minimum regulatory requirements and in full compliance with Basel III. 30 June 2016 Johannesburg Independent Sponsor KPMG Services (Pty) Ltd Lead Sponsor Sasfin Capital (a division of Sasfin Bank Limited) Date: 30/06/2016 01:06:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.