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INVESTEC LIMITED - Investec Limited Basel III disclosures at 30 June 2022

Release Date: 29/07/2022 13:00
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Investec Limited – Basel III disclosures at 30 June 2022

 Investec Limited                                                    Investec plc
 Incorporated in the Republic of South Africa                        Incorporated in England and Wales
 Registration number 1925/002833/06                                  Registration number 3633621
 JSE share code: INL                                                 LSE share code: INVP
 JSE Hybrid code: INPR                                               JSE share code: INP
 JSE debt code: INLV                                                 ISIN: GB00B17BBQ50
 NSX share code: IVD                                                 LEI: 2138007Z3U5GWDN3MY22
 BSE share code: INVESTEC
 ISIN: ZAE000081949
 LEI: 213800CU7SM6O4UWOZ70


As part of the dual listed company structure, Investec plc and Investec Limited notify both the London Stock
Exchange and the JSE Limited of matters which are required to be disclosed under the Disclosure Guidance,
Transparency Rules (DTR) and Listing Rules of the United Kingdom Listing Authority (the “UKLA”) and/or the
JSE Listing Requirements.

Accordingly, we advise of the following:

Investec Limited – Basel III disclosures at 30 June 2022

Capital disclosures
Investec Limited calculates capital resources and requirements at a group level using the Basel III framework,
as implemented in South Africa by the South African Prudential Authority, in accordance with the Bank’s Act
and all related regulations. Investec Limited continues to hold capital in excess of regulatory requirements and
board-approved minimum targets.

                                                  Including unappropriated profits

                                                Investec Limited*                    IBL*
 As at 30 June 2022                                        R'mn                  R'mn


 Common equity tier 1 capital                             44,765               44,672

 Additional tier 1 capital                                 3,065                2,560

 Tier 1 capital                                           47,830               47,232

 Tier 2 capital                                            6,575                5,395

 Total regulatory capital                                 54,405               52,627

 Risk-weighted assets per risk type:
 Credit risk                                             245,952              229,492
 Counterparty credit risk                                  7,161                7,721
 Credit valuation adjustment risk                          2,731                3,048
 Equity risk                                              16,492               12,072
 Market Risk                                               4,473                3,617
 Operational risk                                         28,774               23,845
 Total risk-weighted assets                              305,583              279,795

 Total minimum capital requirement                        36,670               33,575

 Capital ratios
 Common equity tier 1 ratio                                14.6%                16.0%
 Tier 1 ratio                                              15.7%                16.9%
 Total capital adequacy ratio                              17.8%                18.8%


Leverage ratio disclosures
                                                            Including unappropriated profits

                                                         Investec Limited*                          IBL*
 As at 30 June 2022                                                     R'mn                      R'mn
 Tier 1 capital                                                       47,830                    47,232
 Total exposure                                                      634,297                   594,783
 Leverage ratio                                                        7.5%                      7.9%




                                                            Excluding unappropriated profits

                                                         Investec Limited*                          IBL*
 As at 30 June 2022                                                     R'mn                      R'mn


 Common equity tier 1 capital                                         43,206                     44,133

 Additional tier 1 capital                                              3,066                     2,560

 Tier 1 capital                                                       46,272                     46,693

 Tier 2 capital                                                         6,581                     5,395

 Total regulatory capital                                             52,853                     52,088

 Risk-weighted assets per risk type:
 Credit risk                                                         245,598                   229,492
 Counterparty credit risk                                              7,161                     7,721
 Credit valuation adjustment risk                                      2,731                     3,048
 Equity risk                                                          16,492                    12,072
 Market Risk                                                           4,473                     3,617
 Operational risk                                                     28,774                    23,845
 Total risk-weighted assets                                          305,229                   279,795

 Total minimum capital requirement                                    36,627                     33,575

 Capital ratios
 Common equity tier 1 ratio                                            14.2%                     15.8%
 Tier 1 ratio                                                          15.2%                     16.7%
 Total capital adequacy ratio                                          17.3%                     18.6%


Leverage ratio disclosures
                                                           Excluding unappropriated profits

                                                         Investec Limited*                          IBL*
 As at 30 June 2022                                                    R'mn                      R'mn
 Tier 1 capital                                                       46,272                    46,693
 Total exposure                                                      634,156                   594,783
 Leverage ratio                                                        7.3%                      7.9%

* Where: IBL is Investec Bank Limited consolidated. The information for Investec Limited includes the information for IBL.
Liquidity disclosures

Liquidity coverage ratio (LCR)
The objective of the LCR is to promote the short-term resilience of the liquidity risk profile of banks by ensuring
that they have sufficient high-quality liquid assets to survive a significant stress scenario lasting 30 calendar
days.

With effect from 1 April 2020, the minimum LCR requirement in South Africa was reduced from 100% to 80%.
As the PA is now of the view that this relief measure is no longer necessary, the minimum LCR requirement
has been revised back to 100% from 1 April 2022. This applies for both Investec Bank Limited (IBL) (solo
basis) and Investec Bank Limited (IBL) consolidated group.

In accordance with the provisions of section 6(6) of the South African Banks Act 1990 (Act No. 94 of 1990),
banks are directed to comply with the relevant LCR disclosure requirements. This disclosure is in accordance
with Pillar 3 of the Basel III liquidity accord, as specified by BCBS d400 (2017) and Directive D1/2018.

The following table sets out the LCR for IBL (solo basis) and IBL consolidated group for the quarter ending 30
June 2022:

                                                    IBL (solo basis) – Total                  IBL consolidated group – Total
                                                    weighted value                            weighted value
 High quality liquid assets (HQLA) (R’mn)                                        107,488                                        112,410

 Net cash outflows (R’mn)                                                          74,320                                        76,249

 Actual LCR                                                                       145.2%                                        148.1%

 Required LCR                                                                       100%                                          100%


The values in the table are calculated as the simple average of 91 calendar daily values over the period 1 April 2022 to 30 June 2022 for
IBL (solo basis). IBL consolidated group values use daily values for IBL (solo basis), while those for other group entities use the average
of April, May and June 2022 month-end values.

Net stable funding ratio (NSFR)
The objective of the NSFR is to promote the resilience of the banking sector by requiring banks to maintain a
stable funding profile in relation to the composition of their assets and off-balance sheet activities on an ongoing
structural basis. By ensuring that banks do not embark on excessive maturity transformation that is not
sustainable, the NSFR is intended to reduce the likelihood that disruptions to a bank's funding sources would
erode its liquidity position, increase its risk of failure, and potentially lead to broader systemic risk.

The minimum NSFR requirement in South Africa is 100%. This applies to both IBL (solo basis) and IBL
consolidated group.

In accordance with the provisions of section 6(6) of the South African Banks Act 1990 (Act No. 94 of 1990),
banks are directed to comply with the relevant NSFR disclosure requirements. This disclosure is in accordance
with Pillar 3 of the Basel III liquidity accord, as specified by Directive 11/2015 and Directive 01/2018.

The following table sets out the NSFR for IBL (solo basis) and IBL consolidated group as at 30 June 2022:

                                                    IBL (solo basis)                          IBL consolidated group

 Actual NSFR                                                                      113.9%                                        114.1%

 Required NSFR                                                                      100%                                          100%



Further disclosures with respect to Investec Limited’s and Investec Bank Limited’s capital and liquidity will be
provided on the Investec website in due course as required by the relevant regulations.

29 July 2022
Sponsor: Investec Bank Limited

Date: 29-07-2022 01:00:00
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