Royal Bank of Canada (NYSE:RY) Q3 2020 Earnings Conference Call - Final Transcript
Aug 26, 2020 • 08:00 am ET
Good morning, ladies and gentlemen, welcome to RBC's Conference Call for the Third Quarter 2020 Financial Results. Please be advised that this call is being recorded.
I would now like to turn the meeting over to Nadine Ahn, Head of Investor Relations. Please go ahead, Ms. Ahn.
Thank you, and good morning, everyone. Speaking today will be Dave McKay, President and Chief Executive Officer; Rod Bolger, Chief Financial Officer; and Graeme Hepworth, Chief Risk Officer. Then we'll open the call for questions. We also have with us in the room Neil McLaughlin, Group Head, Personal and Commercial Banking; Doug Guzman, Group Head, Wealth Management Insurance and I&TS; and Derek Neldner, Group Head, Capital Markets.
As noted on slide one, our comments may contain forward-looking statements, which involve assumptions and have inherent risks and uncertainties. Actual results to differ materially. I would also remind listeners that the Bank assesses its performance on a reported and adjusted basis and considers both to be useful in assessing underlying business performance.
To give everyone a chance to ask questions, we ask that you limit your questions and then re-queue.
With that, I'll turn it over to Dave.
Thanks, Nadine, and good morning, everyone. Thank you for joining us today. We hope you and your loved ones are keeping safe and well in this period of uncertainty. Our main focus remains in ensuring the health and well-being of our employees and standing by our clients and communities in these challenging times. Against the pandemic backdrop, we are actively supporting our clients through numerous relief options, through financial advice and proactive client outreach to meet their needs. Since the onset of the pandemic, we have enabled over 500,000 clients globally through our various payment deferral programs.
At the end of July, the outstanding exposure that's been deferred has reduced significantly, as many of our clients rolled off the deferral programs during the quarter. Many clients took deferrals as a precaution, and we expect most to resume payments when deferrals expire. We had noticed last quarter that Canada's finances were well positioned should further actions be required, and since then, we have seen an extension of federal income support programs. The combination of these government and client support programs, strong equity in homes and elevated savings rates, along with strong bank balance sheets provide us with comfort around transition to the next phase of the economic recovery.
In Canada, in addition to client relief programs, we are also committed to supporting recovery in the small business sector, which is critical to the broader economic recovery. Through the launch of Canada United we're bringing together government business associations, and more than 50 of Canada's leading brands to rally consumers and give local businesses the support they need to re-open during these uncertain times.
We also launched points for Canada, a program to help stimulate local economies by giving increased RBC rewards to our clients, as they dine and shop in Canadian restaurants and stores. We are optimistic the strength