Objectives by business area

Wealth Management

The Italian savings market is one of the largest in Europe, and as such offers attractive opportunities to realize Mediobanca’s ambition of establishing itself as a leader in this segment, standing out for its quality, responsibility, innovativeness, and the value of its product offering for Premier and Private clients, and entrepreneurs. Following the strong growth delivered in recent years, there will be a radical change of approach in WM, creating a unique operator in Italy: Mediobanca’s strengths (brand, product offering, ability to attract bankers) will be applied consistently across the Premier and Private customer segments, generating strong growth and value. WM will accelerate its repositioning in terms of product offering (liquid and illiquid, based on an “inhouse guided” approach) and services (offering also Investment Banking services) to Premier and Private clients, leveraging on Mediobanca’s distinctive positioning as a Private & Investment Bank. Through substantial investments in distribution (with salesforce targeted to increase by 25% to over 1,500 professionals), technology and products.

Highlight

At the end of BP-2023-26 the division Whealth Management:

Outperform the market in terms of growth in TFAs (which will reach €115bn, +11% CAGR vs +8% for the market), revenues (over €1bn in FY26), and profitability (RORWA +110 bps to 4.0%);
Become a market leader in Italy, closing the gap versus other leading asset gatherers in terms of size and profitability;
Take full advantage of its distinctive potential deriving from:
- Strong focus on HNWI/UHNWI clients (40% of TFAs, 2x listed players’ average);
- Global advisory approach focused on both entrepreneurs and businesses;
- Completion of CheBanca! repositioning with rebranding as Mediobanca Premier;
Become the main growth driver for the Group, its second contributor in terms of revenues and first in terms of fee income.

Consumer Finance

The Italian market offers significant growth opportunities: it is less mature than other European economies, with opportunities to capture market shares as traditional banking networks reduce their footprint. By leveraging on its distinctive features (market leadership, high scoring and pricing capabilities, solid asset quality), empowering distribution significantly, direct and digital, and developing innovative products (in e-commerce and BNPL especially).

Highlight

At the end of BP-2023-26 the division Consumer Finance:

Increase revenues to €1.3bn, maintaining high profitability (RORWA 2.9%);
Upgrade its leading position in Italy as a multi-channel platform;
Tap new markets and client segments digitally (as opposed to physically);
Implement further derisking policies, with no change to its high efficiency and asset quality ratios;
Confirm its position as the Group’s main source of revenues and net interest income

Corporate & Investment Banking

The European Corporate & Investment Banking market, while continuing to reflect a highly challenging environment, still offers attractive opportunities especially for investment banks specializing in advisory business, which are continuing to gain market share because of their increased client focus and flexible business models. By leveraging the distinctiveness of its business model (leadership in reference markets, strong reputation, lean organizational structure, client-centricity, ability to attract talent, and excellent asset quality).

Highlight

At the end of BP-2023-26 the division Corporate&Investment Banking:

Increase revenues (to approx. €0.9bn) and profitability (RORWA +60 bps to 1.6%);
Become a stronger, broader and more diversified European platform, with higher non-domestic revenues (up from 40% to 55%) generating more capital-light income (up from 28% to 40%), with advisory business to become the main product in terms of contribution to and growth in CIB revenues;
Strengthen its leadership position by leveraging on the Private & Investment Banking model and exploiting the clear intra-Group potential opportunities (in particular with Private Banking, MA and Arma Partners), confirming its position as partner of choice for medium-sized and large companies in its target markets (Italy, France and Spain);
Become the main source of capital optimization for the Group (RWAs down 13% over 3Y to €17bn) and the second largest contributor by revenues and fees

Insurance

Virtually all of this division consists of the investment in Assicurazioni Generali (13% ownership), which will continue to contribute positively to revenue and profit creation at Group level, improving stability and visibility

Highlight

ASSICURAZIONI GENERALI WILL CONTINUE TO CONTRIBUTE POSITIVELY TO REVENUE AND PROFIT CREATION AT GROUP LEVEL
PROFITABILITY AND AS A VALUE OPTION