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Mar 14 2018, 08:25 GMT
The strong gain in mortgage market share and underlying non-performing loan (NPL) cures are the key positives in the results. A higher loan-loss charge reflects a ‘prudent approach’ to the NPL strategy, which will remain the near-term focus – especially following the recent Project Glas portfolio launch. A relatively unchanged FL CET1 ratio of 15% will fall towards 12% in 2018 through the impact of IFRS9 and the targeted review of internal models (TRIM). The transitional CET1 ratio will likely remain c.2ppts higher, providing support for the NPL challenge ahead.