Toronto-Dominion Bank (TD) 2023 Q1 法說會逐字稿

Good afternoon, everyone, welcome to the TD Bank Group Q1 2023 earnings conference call. I would like to turn the meeting over to Ms. Hales.

大家下午好，歡迎來到道明銀行集團 2023 年第一季度收益電話會議。我想將會議轉交給黑爾斯女士。

Thank you, operator. Good afternoon and welcome to TD Bank Group's first quarter 2023 investor presentation. Many of us are joining today's meeting from lands across North America. North America is known as Turtle Island by many Indigenous communities. I'm currently situated in Toronto. As such, I'd like to begin today's meeting by acknowledging that I am on the traditional territory of many nations, including the Mississaugas of the Credit, the Anishinaabe, the Chippewa, the Haudenosaunee and the Wendat peoples, and is now home to many diverse-based First Nations, Métis and Inuit peoples. We also acknowledge that Toronto is covered by Treaty 13 signed with the Mississaugas of the Credit and the Williams Treaties signed with multiple Mississaugas and Chippewa bands.

謝謝你，運營商。下午好，歡迎來到道明銀行集團 2023 年第一季度的投資者介紹會。我們中的許多人來自北美各地參加今天的會議。北美被許多土著社區稱為海龜島。我目前住在多倫多。因此，在今天的會議開始之際，我想承認我在許多國家的傳統領土上，包括信貸的密西沙加人、Anishinaabe、奇佩瓦人、豪德索尼人和溫達特人，現在是許多人的家園多元化的原住民、梅蒂斯人和因紐特人。我們還承認，多倫多受與 Mississaugas of the Credit 簽署的第 13 條條約以及與多個 Mississaugas 和 Chippewa 樂隊簽署的 Williams 條約的保護。

We will begin today's presentation with remarks from Bharat Masrani, the bank's CEO, after which Kelvin Tran, the bank's CFO, will present our first quarter operating results. Ajai Bambawale, Chief Risk Officer, will then offer comments on credit quality, after which we will invite questions from prequalified analysts and investors on the phone.

我們將從銀行首席執行官 Bharat Masrani 的講話開始今天的演講，之後銀行首席財務官 Kelvin Tran 將介紹我們第一季度的經營業績。隨後，首席風險官 Ajai Bambawale 將就信用質量發表評論，之後我們將通過電話邀請通過資格預審的分析師和投資者提問。

Also present today to answer your questions are Michael Rhodes, Group Head, Canadian Personal Banking; Paul Douglas, Group Head, Canadian Business Banking; Raymond Chun, Group Head, Wealth Management and Insurance; Leo Salom, President and CEO, TD Bank, America's Most Convenient Bank; and Riaz Ahmed, Group Head, Wholesale Banking.

今天出席並回答您問題的還有加拿大個人銀行業務集團主管 Michael Rhodes；加拿大商業銀行業務集團負責人 Paul Douglas；財富管理及保險集團主管 Raymond Chun；美國最便利銀行道明銀行總裁兼首席執行官 Leo Salom；批發銀行業務集團負責人 Riaz Ahmed。

Please turn to Slide 2. At this time I would like to caution our listeners that this presentation contains forward looking statements, that there are risks that actual results could differ materially from what is discussed and that certain material factors or assumptions were applied in making these forward-looking statements. Any forward-looking statements contained in this presentation represent the views of management and are presented for the purpose of assisting the bank's shareholders and analysts in understanding the bank's financial position, objectives and priorities and anticipated financial performance. Forward-looking statements may not be appropriate for other purposes.

請轉到幻燈片 2。此時我想提醒我們的聽眾，此演示文稿包含前瞻性陳述，存在實際結果可能與所討論內容存在重大差異的風險，並且在做出這些陳述時應用了某些重大因素或假設前瞻性陳述。本演示文稿中包含的任何前瞻性陳述均代表管理層的觀點，旨在幫助銀行股東和分析師了解銀行的財務狀況、目標和優先事項以及預期的財務業績。前瞻性陳述可能不適用於其他目的。

I would also like to remind listeners that the bank uses non-GAAP financial measures, such as adjusted results, to assess each of its businesses and to measure overall bank performance. The bank believes that adjusted results provide readers with a better understanding of how management views the bank's performance. Bharat will be referring to adjusted results in his remarks. Additional information on items of note, the bank's use of non-GAAP and other financial measures, the bank's reported results and factors and assumptions related to forward-looking information are all available in our Q1 2023 report to shareholders.

我還想提醒聽眾，該銀行使用非 GAAP 財務指標（例如調整後的結果）來評估其每項業務並衡量銀行的整體業績。該銀行認為，調整後的結果可以讓讀者更好地了解管理層如何看待該銀行的業績。 Bharat 將在他的評論中提到調整後的結果。有關注意事項的更多信息、銀行使用非公認會計原則和其他財務措施、銀行報告的結果以及與前瞻性信息相關的因素和假設，都可以在我們向股東提交的 2023 年第一季度報告中找到。

With that, let me turn the presentation over to Bharat.

有了這個，讓我把演示文稿交給 Bharat。

Thank you, Brooke and thank you everyone for joining us today. To start I want to express that our thoughts are with all those impacted by the devastating earthquakes in Turkey and Syria, including our colleagues, customers and communities, who have deep ties to these countries. TD has contributed directly to the relief efforts and enable customers to do so as well, through branches and online. Together, a collective effort can make a difference and provide some comfort during this terrible hardships.

謝謝你，布魯克，感謝大家今天加入我們。首先，我想表達的是，我們與所有受土耳其和敘利亞毀滅性地震影響的人同在，包括我們的同事、客戶和社區，他們與這些國家有著深厚的聯繫。 TD 直接為救災工作做出了貢獻，並使客戶也可以通過分支機構和在線方式這樣做。齊心協力，集體努力可以有所作為，並在這種可怕的困難中提供一些安慰。

It's been a busy week and before I review our strong quarter and start to the fiscal year, I would like to provide a few strategic updates. As you know on February 9, we mutually agreed with First Horizon to extend the close day to May 27 as provisioned in our contract. Since then, we've come to believe that the deal is not expected to receive regulatory approval in time to close the transaction by that date. Regulatory approval is not within the bank's control.

這是忙碌的一周，在我回顧我們強勁的季度並開始本財年之前，我想提供一些戰略更新。如您所知，在 2 月 9 日，我們與 First Horizon 共同同意按照合同規定將關閉日延長至 5 月 27 日。從那時起，我們開始相信該交易預計不會及時獲得監管部門的批准，無法在該日期之前完成交易。監管批准不在銀行的控制範圍內。

So we are doing what is prudent and appropriate. We've opened discussions with First Horizon about a potential additional extension. I cannot speculate on when we will receive approval. I can tell you that we are fully committed to the transaction. We have a robust community benefits plan in place with broad community support across our combined footprint and our teams have made progress on integration plans. This is a great transaction that offers scale and new capabilities to our U.S. franchise.

因此，我們正在做謹慎和適當的事情。我們已經與 First Horizon 就潛在的額外延期展開討論。我無法推測我們何時會獲得批准。我可以告訴你，我們完全致力於這筆交易。我們制定了強有力的社區福利計劃，在我們的聯合足跡中獲得了廣泛的社區支持，我們的團隊在整合計劃方面取得了進展。這是一項偉大的交易，為我們的美國特許經營權提供了規模和新功能。

We made another unrelated announcement earlier in the week regarding the Stanford matter. The settlement we announced allows us to avoid the distraction and certainty and uncertainty of a long legal proceeding and is in the best interest of shareholders and the bank. And of course, yesterday, we closed the Cowen transaction. TD Securities and Cowen are a powerful combination, accelerating our U.S. growth strategy and helping to create an integrated North American dealer with global reach.

本週早些時候，我們就斯坦福事件發布了另一個不相關的公告。我們宣布的和解協議使我們能夠避免分心以及漫長法律程序的確定性和不確定性，並且符合股東和銀行的最佳利益。當然，昨天，我們完成了 Cowen 交易。 TD Securities 和 Cowen 是一個強大的組合，加速了我們的美國增長戰略，並幫助創建了一個具有全球影響力的綜合性北美交易商。

The acquisition of Cowen adds key capabilities to our growing global markets platform in U.S. equity sales and trading and in U.S. equity research. It also adds scale and industry expertise across U.S. capital markets and M&A advisory. Congratulations to everyone on this important milestone and a very warm welcome to our over 1,500 new colleagues. I know I speak for Riaz and all of TD securities, when I say we are very excited for what we will accomplish together.

收購 Cowen 為我們不斷發展的美國股票銷售和交易以及美國股票研究的全球市場平台增加了關鍵能力。它還增加了美國資本市場和併購諮詢的規模和行業專業知識。祝賀大家實現這一重要的里程碑，並熱烈歡迎我們的 1,500 多名新同事。我知道我代表 Riaz 和所有 TD 證券發言，當我說我們對我們將共同取得的成就感到非常興奮時。

Let me now turn to our first quarter performance. TD delivered a strong Q1. Earnings increased 8% to $4.2 billion, and EPS rose 7% to $2.23. Revenue grew 16% year-over-year, reflecting margin expansion, strong volume growth and our diversified business mix. We took advantage of this environment to continue to invest in our business to drive future growth while delivering robust operating leverage.

現在讓我談談我們第一季度的表現。 TD 交付了強勁的第一季度。收益增長 8% 至 42 億美元，每股收益增長 7% 至 2.23 美元。收入同比增長 16%，反映出利潤率擴張、強勁的銷量增長和我們多元化的業務組合。我們利用這種環境繼續投資於我們的業務，以推動未來增長，同時提供強大的運營槓桿。

As expected, we saw some credit normalization this quarter, but credit performance remained strong overall, supported by consistent and disciplined underwriting practices. TD CET1 ratio ended the quarter at 15.5% or 15% pro forma for the closing of the Cowen acquisition. With TD's strong internal capital generation capabilities and the various capital levers available to the bank, we continue to expect TD CET1 ratio to be comfortably above 11% post closing of the First Horizon transaction. These strong results are matched by a brand that is second to none.

正如預期的那樣，本季度我們看到了一些信貸正常化，但在一致和紀律嚴明的承銷做法的支持下，信貸表現總體保持強勁。 TD CET1 比率在本季度結束時為 15.5% 或 15%，以完成對 Cowen 的收購。憑藉 TD 強大的內部資本生成能力和銀行可用的各種資本槓桿，我們繼續預計 TD CET1 比率在 First Horizon 交易結束後將輕鬆高於 11%。這些強勁的業績與首屈一指的品牌相得益彰。

TD was recently named one of the 2023 global top 500 most valuable brands by Brand Finance earning the highest ranking in Canada. Across our distribution channels, the bank delivers personalized connected legendary experiences. For the ninth consecutive year, the TD mobile app had the highest number of monthly active mobile users among Canadian banks according to mobile analytics firm, data.ai.

TD 最近被 Brand Finance 評為 2023 年全球最具價值品牌 500 強之一，在加拿大排名最高。通過我們的分銷渠道，該銀行提供個性化的互聯傳奇體驗。根據移動分析公司 data.ai 的數據，TD 移動應用程序連續第九年成為加拿大銀行中每月活躍移動用戶數量最多的。

Let me now turn to each of our businesses and review some highlights from Q1. Our Canadian personal and commercial banking segment delivered record earnings of $1.7 billion, reflecting revenue growth of 17% and significant positive operating leverage. The personal bank continued to demonstrate momentum with sales of our everyday banking products up over 20% year-over-year and industry-leading market share gains in nonterm deposits again this quarter, driven by strength in branch banking.

現在讓我談談我們的每項業務，並回顧第一季度的一些亮點。我們的加拿大個人和商業銀行業務部門實現了創紀錄的 17 億美元收益，反映了 17% 的收入增長和顯著的積極經營槓桿。個人銀行業務繼續保持強勁勢頭，本季度我們日常銀行產品的銷售額同比增長超過 20%，並且在分行銀行業務實力的推動下，非定期存款的市場份額再次獲得行業領先的增長。

We saw a record Q1 acquisition in the New to Canada customer segment and announced an exclusive strategic relationship with CanadaVisa, one of the leading online sources of Canadian immigration information with over 2 million monthly visits. Through this relationship, TD will help support newcomers as they navigate financial services while settling into their lives in Canada. We also had record Q1 credit card spend and organic loan growth driven by a rebound in travel and our compelling TD Aeroplan offering, coupled with our best-ever quarter for digital acquisition for TD cards.

我們在加拿大新客戶群中看到了創紀錄的 Q1 收購，並宣布與 CanadaVisa 建立獨家戰略合作關係，CanadaVisa 是加拿大移民信息的主要在線來源之一，每月訪問量超過 200 萬。通過這種關係，TD 將幫助支持新移民在適應加拿大生活的同時駕馭金融服務。在旅遊反彈和我們引人注目的 TD Aeroplan 產品以及我們有史以來最好的 TD 卡數字收購季度的推動下，我們還實現了創紀錄的第一季度信用卡支出和有機貸款增長。

In our real estate secured lending business, our teams delivered robust retention rates and enhancements in mobile mortgage specialist productivity despite a softening housing market. The business bank achieved double-digit loan growth for the sixth consecutive quarter, and we were proud to collaborate with the Federation of African Canadian Economics to help black business owners in their entrepreneurial journeys, enabling them to access capital and scale their businesses.

在我們的房地產擔保貸款業務中，儘管房地產市場疲軟，但我們的團隊提供了強勁的保留率並提高了移動抵押貸款專家的生產力。該商業銀行連續第六個季度實現了兩位數的貸款增長，我們很自豪能與非裔加拿大經濟聯合會合作，幫助黑人企業主踏上創業之旅，使他們能夠獲得資金並擴大業務規模。

Turning to the U.S. Our U.S. Retail Bank delivered record earnings of USD 1 billion, reflecting revenue growth of 27% and significant positive operating leverage. With the contribution from our investment in Schwab of USD 222 million segment earnings were USD 1.2 billion. This quarter, enabled by our investments in event streaming technology, TD launched deposit balance thresholds alerts, the first of several self-service alerts that will further enhance customer convenience and experience.

轉向美國 我們的美國零售銀行實現了創紀錄的 10 億美元收益，反映了 27% 的收入增長和顯著的積極經營槓桿。由於我們對 Schwab 的投資貢獻了 2.22 億美元，分部收益為 12 億美元。本季度，由於我們對事件流技術的投資，TD 推出了存款餘額閾值警報，這是多個自助服務警報中的第一個，將進一步提高客戶的便利性和體驗。

We delivered strong loan growth year-over-year, led by 18% growth in mortgages and 9% growth in cards, personal loans were up 11%. And TD demonstrated continued momentum in the middle market and C&I space with business loans up 9%, excluding PPP loan forgiveness.

我們的貸款同比增長強勁，其中抵押貸款增長 18%，信用卡增長 9%，個人貸款增長 11%。 TD 在中間市場和 C&I 領域表現出持續的勢頭，商業貸款增長 9%，不包括 PPP 貸款寬恕。

Finally, this quarter, we were proud to announce a 20-year extension of our agreement with Delaware North, keeping Boston's delevered, landmark, arena named as TD Garden to 2045. Our wealth management and insurance segment earned $550 million this quarter. Revenue was up 4% as higher insurance volumes and the benefit of higher interest rates helped offset a challenging market environment. In TD Direct Investing, we took the #1 spot in the Globe and Mail's annual ranking of digital brokers and increased market share of new account acquisition quarter-over-quarter. In TD Asset Management TD regained its position as the #1 money manager for Canadian pension assets and widened its lead versus competitors as the #1 Canadian institutional asset manager.

最後，在本季度，我們很自豪地宣布將我們與北特拉華州的協議延長 20 年，將波士頓的去槓桿化地標性體育場 TD Garden 保留到 2045 年。我們的財富管理和保險部門本季度賺取了 5.5 億美元。收入增長 4%，因為保險量增加和利率上升的好處幫助抵消了充滿挑戰的市場環境。在道明自管投資方面，我們在《環球郵報》年度數字經紀商排名中名列第一，新客戶獲取市場份額環比增加。在道明資產管理方面，道明重新奪回了其作為加拿大養老金資產第一大資金管理人的地位，並擴大了其作為加拿大第一大機構資產管理人與競爭對手的領先優勢。

Highlighting the breadth of our capabilities, several TD Asset Management ETFs and mutual funds across equities, fixed income and balanced funds were recognized this quarter with FundGrade A+ awards.

本季度，多個道明資產管理 ETF 和股票、固定收益和平衡基金的互惠基金獲得了 FundGrade A+ 獎項，彰顯了我們能力的廣度。

On the insurance side, our expansion into small business insurance will launch in the coming months. As the #1 direct-to-consumer insurer in Canada, this is a natural extension for us to leverage our expertise to deliver exceptional insurance experiences for small business owners.

在保險方面，我們將在未來幾個月內向小企業保險領域擴張。作為加拿大排名第一的直接面向消費者的保險公司，這是我們利用我們的專業知識為小企業主提供卓越保險體驗的自然延伸。

In our Wholesale Banking business, we delivered net income of $347 million, with revenues roughly flat year-over-year. The impact of lower underwriting and trading revenues was offset by higher global transaction banking and lending revenues as we continue to support our clients through market cycles. This quarter, TD Securities acted as financial adviser to GIC and Dream Industrial REIT on their acquisition of Summit Industrial Income REIT.

在我們的批發銀行業務中，我們實現了 3.47 億美元的淨收入，收入與去年同期大致持平。隨著我們繼續在市場週期中為客戶提供支持，承保和交易收入下降的影響被全球交易銀行業務和貸款收入的增加所抵消。本季度，道明證券擔任 GIC 和 Dream Industrial REIT 收購 Summit Industrial Income REIT 的財務顧問。

Our wholesale banking team also acted a joint book runner on the government of Canada's $500 million Ukraine-sovereignty bond to assist the government of Ukraine in providing essential service to Ukrainians and restoring energy infrastructure. And as I mentioned earlier, Cowen is now part of TD Securities with robust integration plans in place, work is already underway to tap the combined strengths of the business and extend our competitive advantage in the market.

我們的批發銀行業務團隊還擔任加拿大政府 5 億美元烏克蘭主權債券的聯合賬簿管理人，以協助烏克蘭政府向烏克蘭人提供基本服務並恢復能源基礎設施。正如我之前提到的，Cowen 現在是 TD Securities 的一部分，並製定了強有力的整合計劃，已經在開展工作以利用業務的綜合優勢並擴大我們在市場上的競爭優勢。

Guided by our purpose, TD is committed to creating value for all our stakeholders. I'm proud that the bank was listed in the DJSI World Index for the ninth consecutive year. TD is one of 6 banks listed in the DJSI North American Index and the only North American bank included in the World Index. The bank was also recently recognized with the top 10% S&P Global ESG score again, standing out from its peers as the only North American bank to be listed in the top 10%. And TD Bank, America's Most Convenient Bank was recognized as one of America's best employers for veterans by Forbes for the third consecutive year. This recognition is a reflection of our commitment to the communities we serve.

在我們的目標指引下，TD 致力於為所有利益相關者創造價值。我很自豪該銀行連續第九年入選 DJSI 世界指數。 TD 是 DJSI 北美指數中的 6 家銀行之一，也是世界指數中唯一一家北美銀行。該銀行最近還再次獲得標準普爾全球 ESG 評分前 10% 的認可，從同行中脫穎而出，成為唯一一家躋身前 10% 的北美銀行。美國最方便的銀行道明銀行連續第三年被《福布斯》評為美國最適合退伍軍人的雇主之一。這種認可反映了我們對所服務社區的承諾。

Earlier this week, as part of the TD Ready Challenge, we were pleased to announce a total of $10 million in grants to 10 nonprofit and charitable organizations that are working on solutions to help those may be disproportionately affected by climate change and the transition to a low carbon economy.

本週早些時候，作為 TD Ready Challenge 的一部分，我們很高興地宣布向 10 個非營利組織和慈善組織提供總計 1,000 萬美元的贈款，這些組織正在研究解決方案，以幫助那些可能特別受到氣候變化和過渡到氣候變化影響的人。低碳經濟。

Later this month, TD will release its 2022 ESG reporting suite, including our climate action plan. We're excited to share the outcomes of a year of effort and accomplishments by thousands of dedicated TD colleagues, who transformed our aspirations into action. Our TD bankers continue to deliver for all of our stakeholders, and it is a privilege to work alongside them every day. I would like to thank them for all they do to make TD the better bank.

本月晚些時候，TD 將發布其 2022 年 ESG 報告套件，包括我們的氣候行動計劃。我們很高興與大家分享 TD 數千名敬業的同事一年來的努力和成就，他們將我們的願望轉化為行動。我們的道明銀行家繼續為我們所有的利益相關者提供服務，每天與他們一起工作是一種榮幸。我要感謝他們為使 TD 成為更好的銀行所做的一切。

I will end by noting that this Paul Douglas' last earnings call as Group Head Canadian Business Banking. Barbara Hooper will assume leadership of this segment. Paul's almost 47-year TD career is filled with remarkable achievements and success. He and his team have built one of Canada's premier business banks known across the market for their dedication to their customers. Paul has also built the best team of business bankers in the country and leaves behind a tremendous bench of talent that will continue to drive growth.

最後，我要指出這是保羅道格拉斯作為加拿大商業銀行集團負責人的最後一次財報電話會議。 Barbara Hooper 將領導該部門。保羅將近 47 年的 TD 職業生涯充滿了非凡的成就和成功。他和他的團隊建立了加拿大首屈一指的商業銀行之一，以其對客戶的奉獻精神而聞名於世。保羅還建立了該國最好的商業銀行家團隊，並留下了將繼續推動增長的大量人才。

I've known Paul throughout my entire time at TD and want to thank him for his partnership, support and significant contributions to the bank's success over many decades. Paul will assume a newly created position as Chair, Canadian business banking, will also serve as a special adviser to me. Congratulations to Paul and I look forward to continuing to benefit from his wise counsel as we build for the future.

我在 TD 的整個時間裡都認識保羅，感謝他幾十年來對銀行成功的合作、支持和重大貢獻。保羅將擔任加拿大商業銀行業務主席這一新設立的職位，他還將擔任我的特別顧問。祝賀保羅，我期待著在我們為未來建設的過程中繼續從他的明智建議中受益。

With that, I'll turn things over to Kelvin.

有了這個，我會把事情交給開爾文。

Thank you, Bharat. Good afternoon, everyone. Please turn to Slide 11. For Q1, the bank reported earnings of $1.6 billion and EPS of $0.82, down 58% and 59%, respectively. Reported earnings include the Stanford litigation settlement a net loss from mitigation of impact from interest rate volatility to closing capital on the First Horizon acquisition and the recognition of a provision for income taxes in connection with the Canada recovery dividend and increase in the Canadian federal tax rate for fiscal 2022.

謝謝你，巴拉特。大家下午好。請轉到幻燈片 11。第一季度，該銀行公佈的收益為 16 億美元，每股收益為 0.82 美元，分別下降 58% 和 59%。報告的收益包括斯坦福大學訴訟和解、利率波動影響緩解對 First Horizon 收購關閉資本的淨損失以及與加拿大復蘇股息和加拿大聯邦稅率增加有關的所得稅準備金的確認2022 財年。

Adjusted earnings were $4.2 billion and adjusted EPS was $2.23, up 8% and 7%, respectively. Reported revenue increased 8% and includes a net loss for mitigation of impact from interest rate volatility to closing capital on the First Horizon acquisition. Adjusted revenue increased 16%, reflecting margin and volume growth in the personal and commercial banking businesses and the impact of FX translation. Provision for credit losses was $690 million, compared with $72 million in the first quarter last year.

調整後收益為 42 億美元，調整後每股收益為 2.23 美元，分別增長 8% 和 7%。報告的收入增長了 8%，其中包括為緩解利率波動對 First Horizon 收購的收盤資本的影響而產生的淨虧損。調整後收入增長 16%，反映了個人和商業銀行業務的利潤率和交易量增長以及外匯換算的影響。信貸損失準備金為 6.9 億美元，而去年第一季度為 7200 萬美元。

Reported expenses increased 39% primarily reflecting the Stanford litigation settlement and higher acquisition and integration-related charges. Adjusted expenses increased 11%, driven by higher employee-related expenses, the impact of FX translation and higher spend supporting business growth. On our Q4 call, I noted that we expected adjusted expense growth, excluding FX, to moderate in fiscal 2023 on a quarter-over-quarter basis.

報告的費用增加了 39%，主要反映了斯坦福訴訟和解以及更高的收購和整合相關費用。受員工相關費用增加、外匯換算的影響以及支持業務增長的支出增加的推動，調整後的費用增加了 11%。在我們的第四季度電話會議上，我注意到我們預計調整後的費用增長（不包括外匯）將在 2023 財年環比放緩。

We saw that this quarter with adjusted expense growth moderating sequentially as we continue to prioritize our investments. Our goal of delivering positive operating leverage over the medium term remains unchanged. Absent the retailer partners net share of the profits from the U.S. strategic card portfolio adjusted expenses increased 10.4% ex FX.

隨著我們繼續優先考慮投資，我們看到本季度調整後的費用增長環比放緩。我們在中期提供積極經營槓桿的目標保持不變。不包括零售商合作夥伴的淨利潤份額從美國戰略卡組合調整後的費用增加 10.4%（不含外匯）。

Reported total bank PTPP was down 26% year-over-year, primarily reflecting the Stanford litigation settlement. Consistent with prior quarters, Slide 26 shows how we calculate adjusted total bank PTPP and operating leverage, removing the impact of the U.S. strategic card portfolio along with the impact of foreign currency translation and the insurance fair value charge. Adjusted total bank PTPP was up 14% after these modifications.

報告的銀行 PTPP 總額同比下降 26%，主要反映了斯坦福訴訟和解。與前幾個季度一致，幻燈片 26 顯示了我們如何計算調整後的銀行總 PTPP 和運營槓桿，消除了美國戰略卡組合的影響以及外幣換算和保險公允價值費用的影響。經過這些修改後，調整後的銀行總 PTPP 上升了 14%。

Please turn to Slide 12. We Canadian personal and commercial Banking net income for the quarter was $1.7 billion, up 7% year-over-year. Revenue increased 17%, reflecting higher margins and volume growth. Average loan volumes rose 8%, reflecting 6% growth in personal volumes and 14% growth in business volume. Average deposits rose 3%, reflecting 8% growth in personal deposits and a 5% decrease in business deposits.

請轉到幻燈片 12。本季度我們加拿大個人和商業銀行業務的淨收入為 17 億美元，同比增長 7%。收入增長 17%，反映出更高的利潤率和銷量增長。平均貸款量增長 8%，反映個人貸款量增長 6%，業務量增長 14%。平均存款上升 3%，反映個人存款增加 8%，而商業存款減少 5%。

Net interest margin was 2.80 -- 2.8%, up 10 basis points compared to the prior quarter primarily due to higher deposit margins, reflecting rising interest rates, partially offset by lower margin -- lower loan margins. While many factors can impact margins including the path of short-term rates, tractors on and off rates, customer activity and competitive market dynamics and margins may bounce around quarter-to-quarter, we currently expect net interest margin expansion to moderate for the remainder of fiscal 2023.

淨息差為 2.80 - 2.8%，與上一季度相比上升 10 個基點，這主要是由於較高的存款利差，反映了利率上升，部分被較低的利差 - 較低的貸款利差所抵消。雖然許多因素都會影響利潤率，包括短期利率的路徑、拖拉機開/關率、客戶活動和競爭激烈的市場動態，而且利潤率可能會逐季反彈，但我們目前預計淨息差擴張將在剩餘時間內放緩2023 財年。

Total PCL of $327 million increased $98 million sequentially. Total PCL as an annualized percentage of credit volume was 0.25%, up 8 basis points sequentially. Noninterest expenses increased 10% year-over-year reflecting higher spend supporting business growth, including technology and employee-related expenses.

PCL 總額為 3.27 億美元，環比增加 9800 萬美元。總 PCL 佔信貸量的年化百分比為 0.25%，連續上升 8 個基點。非利息支出同比增長 10%，反映支持業務增長的支出增加，包括技術和員工相關支出。

Please turn to Slide 13. U.S. retail segment reported net income for the quarter was USD 1.2 billion, up 17% year-over-year. Adjusted net income was USD 1.2 billion, up 23% year-over-year. U.S. Retail Bank reported net income was USD 955 million, up 18%, primarily reflecting higher revenue partially offset by higher noninterest expenses, including acquisition and integration-related charges for the First Horizon acquisition and higher PCL. U.S. Retail bank adjusted net income was $1 billion up 26%, USD 1 billion.

請轉到幻燈片 13。美國零售部門報告的本季度淨收入為 12 億美元，同比增長 17%。調整後淨收入為 12 億美元，同比增長 23%。美國零售銀行公佈的淨收入為 9.55 億美元，增長 18%，主要反映收入增加被非利息支出增加部分抵消，包括 First Horizon 收購的收購和整合相關費用以及更高的 PCL。美國零售銀行調整後淨收入為 10 億美元，增長 26%，為 10 億美元。

Revenue increased 27% year-over-year, reflecting higher deposit margins and loan volumes, partially offset by lower loan margins and deposit volumes, lower overdraft fees and lower income from PPP loan forgiveness. Average loan volumes increased 9% year-over-year. Personal loans increased 11% reflecting strong originations, lower prepayments and higher credit card sales volumes. Business loans increased 6%, reflecting strong originations, new customer growth, higher commercial line utilization and increased customer activity, partially offset by PPP loan forgiveness. Excluding PPP loans, business loans increased 9%. Average deposit volumes, excluding sweep deposits, were down 2% year-over-year. Personal deposits were flat. Business deposits declined 4% and sweep deposits decreased 15%.

收入同比增長 27%，反映出較高的存款保證金和貸款量，部分被較低的貸款保證金和存款量、較低的透支費用以及 PPP 貸款免除收入減少所抵消。平均貸款量同比增長 9%。個人貸款增長 11%，反映出強勁的發放、較低的預付款和較高的信用卡銷量。商業貸款增長 6%，反映出強勁的來源、新客戶增長、更高的商業線利用率和增加的客戶活動，部分被 PPP 貸款免除所抵消。不包括 PPP 貸款，商業貸款增長了 9%。不包括清掃存款的平均存款量同比下降 2%。個人存款持平。商業存款下降 4%，轉存存款下降 15%。

Net interest margin was 3.29%, up 16 basis points sequentially as higher deposit margins, reflecting the rising interest rate environment were partially offset by lower loan margins and negative balance sheet mix. While many factors can impact margins, including the path of short-term rates, tractors on and off rates, customer activity and competitive market dynamics, margins may bounce around quarter-to-quarter, we currently expect net interest margin expansion to moderate for the remainder of fiscal 2023. Total PCL was USD 149 million, a decrease of USD 20 million sequentially. The U.S. retail net PCL ratio, including only the bank's share of PCL for the U.S. strategic cards portfolio, as an annualized percentage of credit volume was 0.34%, lower by 6 basis points sequentially.

淨息差為 3.29%，連續上升 16 個基點，因為較高的存款利差反映了利率上升的環境被較低的貸款利差和負資產負債表部分抵消。雖然許多因素都會影響利潤率，包括短期利率的路徑、拖拉機開/關率、客戶活動和競爭激烈的市場動態，但利潤率可能會按季度反彈，我們目前預計淨息差擴張將放緩2023 財年剩餘時間。PCL 總額為 1.49 億美元，環比減少 2000 萬美元。美國零售淨 PCL 比率（僅包括銀行在美國戰略卡組合中的 PCL 份額）佔信貸量的年化百分比為 0.34%，環比下降 6 個基點。

Reported expenses increased 22% and include acquisition and integration-related charges for the First Horizon acquisition. Adjusted expenses were up 16%, reflecting higher employee-related expenses, credit card growth-related expenses and other business investments. The contribution from TD's investment in Schwab was USD 222 million, up 11% from a year ago, reflecting higher net interest income, partially offset by higher expenses lower asset management fees and lower trading revenue.

報告的費用增加了 22%，其中包括 First Horizon 收購的收購和整合相關費用。調整後的費用增長了 16%，反映了員工相關費用、信用卡增長相關費用和其他業務投資的增加。 TD 對嘉信理財的投資貢獻為 2.22 億美元，比一年前增長 11%，反映出更高的淨利息收入，部分被更高的支出、更低的資產管理費和更低的交易收入所抵消。

Please turn to Slide 14. Wealth Management and insurance net income for the quarter was $550 million, down 14% year-over-year. Revenue increased 4%, reflecting higher margins, an increase in fair value of investments supporting claims liabilities and higher insurance volumes, partially offset by lower volumes and lower transaction and fee-based revenue in wealth.

請轉到幻燈片 14。本季度財富管理和保險淨收入為 5.5 億美元，同比下降 14%。收入增長 4%，反映出更高的利潤率、支持理賠負債的投資公允價值的增加以及更高的保險量，部分被較低的數量和較低的交易和基於費用的財富收入所抵消。

Insurance claims increased 29% year-over-year, reflecting the impact of changes in the discount rate, which resulted in a similar increase in the fair value of investments, supporting claims, liabilities reported in noninterest income, increased driving activity and inflationary costs, partially offset by fewer, severe weather-related events.

保險索賠同比增長 29%，反映出貼現率變化的影響，導致投資公允價值的類似增長、支持索賠、非利息收入中報告的負債、駕駛活動增加和通貨膨脹成本，部分抵消了與惡劣天氣相關的事件減少。

Noninterest expenses were flat year-over-year, reflecting higher spend supporting business growth, including higher employee-related expenses and technology costs, partially offset by lower variable compensation. Assets under management decreased 3% year-over-year, reflecting market depreciation. Assets under administration decreased 3% year-over-year, reflecting market depreciation, partially offset by net asset growth.

非利息支出同比持平，反映出支持業務增長的支出增加，包括與員工相關的支出和技術成本增加，部分被較低的可變薪酬所抵消。管理資產同比下降 3%，反映市場貶值。管理資產同比下降 3%，反映市場貶值，部分被淨資產增長所抵消。

Please turn to Slide 15. Wholesale Banking reported net income for the quarter was $331 million, a decrease of 24% year-over-year, reflecting higher noninterest expenses and PCL. Adjusted net income was $347 million, down 20% year-over-year. Revenue was $1.3 billion, largely unchanged year-over-year reflecting lower trading-related revenue and underwriting fees, offset by higher global transaction banking and lending revenue. PCL for the quarter was $32 million, an increase of $6 million from the prior quarter.

請轉到幻燈片 15。批發銀行業務報告的本季度淨收入為 3.31 億美元，同比下降 24%，反映出較高的非利息支出和 PCL。調整後淨收入為 3.47 億美元，同比下降 20%。收入為 13 億美元，同比基本持平，反映出與交易相關的收入和承銷費用較低，但被較高的全球交易銀行業務和貸款收入所抵消。本季度的 PCL 為 3200 萬美元，比上一季度增加 600 萬美元。

Reported expenses increased 16% and included acquisition and integration-related charges, primarily for the Cowen acquisition. Adjusted expenses increased 13%, reflecting continued investments in Wholesale Banking's U.S. dollar strategy, including the hiring of banking, sales and trading and professionally -- and technology professionals, higher severance and the impact of foreign exchange translation.

報告的費用增加了 16%，其中包括與收購和整合相關的費用，主要是對 Cowen 的收購。調整後的費用增加了 13%，反映出對批發銀行業務美元戰略的持續投資，包括銀行、銷售和交易以及專業和技術專業人員的聘用、更高的遣散費以及外匯換算的影響。

Please turn to Slide 16. The Corporate segment reported net loss of $2.6 billion in the quarter compared with a reported net loss of $227 million in the first quarter last year. The year-over-year increase primarily reflects the Stanford litigation settlement, a net loss from mitigation of impact from interest rate volatility to closing capital on the First Horizon acquisition, the recognition of a provision for income taxes in connection with the Canada recovery dividend an increase in the Canadian federal tax rate for fiscal 2022 and higher net corporate expenses. Adjusted net loss for the quarter was $140 million compared with an adjusted net loss of $127 million in the first quarter last year.

請轉到幻燈片 16。企業部門報告本季度淨虧損 26 億美元，而去年第一季度報告的淨虧損為 2.27 億美元。同比增長主要反映了斯坦福訴訟和解、利率波動影響緩解對 First Horizon 收購關閉資本的淨損失、確認與加拿大復蘇股息相關的所得稅準備金和2022 財年加拿大聯邦稅率上調和更高的公司淨支出。本季度調整後的淨虧損為 1.4 億美元，而去年第一季度調整後的淨虧損為 1.27 億美元。

Please turn to Slide 17. The common equity Tier 1 ratio ended the quarter at 15.5%, down 69 basis points sequentially. We had strong internal capital generation this quarter, which added 42 basis points to CET1. This was more than offset by an increase in RWA net of FX, which decreased CET1 by 62 basis points. We saw a 14 basis point increase in CET1 related to the issuance of common shares under our dividend reinvestment plan.

請轉到幻燈片 17。普通股一級資本比率在本季度末為 15.5%，環比下降 69 個基點。本季度我們產生了強勁的內部資本，為 CET1 增加了 42 個基點。這被扣除外彙的風險加權資產的增加所抵消，這使 CET1 減少了 62 個基點。根據我們的股息再投資計劃，我們看到與普通股發行相關的 CET1 增加了 14 個基點。

Relating to the First Horizon acquisition, a net loss from the mitigation of impact from interest rate volatility to closing capital decreased CET1 by 13 basis points and an FX hedge decreased CET1 by 6 basis points. Previously announced regulatory changes also impacted our CET1 this quarter. We saw a 16 basis point decrease in CET1 related to the Canada recovery dividend and an 8 basis point decrease related to the elimination of the transitional arrangements for expected credit losses. Finally, the previously announced Stanford litigation settlement decreased CET1 by 23 basis points this quarter.

與 First Horizon 收購相關，緩解利率波動對期末資本影響的淨損失使 CET1 降低了 13 個基點，外匯對沖使 CET1 降低了 6 個基點。先前宣布的監管變化也影響了我們本季度的 CET1。我們看到與加拿大復蘇紅利相關的 CET1 下降 16 個基點，與取消預期信用損失的過渡安排相關的下降 8 個基點。最後，之前宣布的斯坦福訴訟和解協議將本季度的 CET1 降低了 23 個基點。

RWA, including FX, increased 2.8% quarter-over-quarter, reflecting higher credit risk RWA. Credit risk RWA increased $16.8 billion or 4%, mainly reflecting higher volumes, asset quality reflecting further credit normalization and parameter updates and methodology changes in preparation for Basel III reforms. Market risk RWA decreased $3.4 billion or 15%, reflecting lower exposures and tightening credit spreads. The leverage ratio was 4.8% this quarter and the LCR ratio was 141%, both well above published regulatory minimums.

包括外彙在內的風險加權資產環比增長 2.8%，反映出更高的信用風險風險加權資產。信用風險 RWA 增加了 168 億美元或 4%，主要反映了交易量增加、資產質量反映了進一步的信用正常化和參數更新以及為巴塞爾協議 III 改革做準備的方法變化。市場風險 RWA 減少 34 億美元或 15%，反映出較低的敞口和收緊的信用利差。本季度槓桿率為 4.8%，LCR 比率為 141%，均遠高於公佈的監管最低水平。

I will now turn the call over to Ajai.

我現在將把電話轉給 Ajai。

Thank you, Kelvin, and good afternoon, everyone. Please turn to Slide 18. Gross impaired loan formations increased by 2 basis points to 16 basis points quarter-over-quarter, driven by Canadian commercial banking, primarily related to a new formation in the health and social services sector and some further normalization of credit performance largely reflected in the Canadian and U.S. consumer lending portfolios.

謝謝你，開爾文，大家下午好。請轉到幻燈片 18。在加拿大商業銀行的推動下，總減值貸款形成環比增加 2 個基點至 16 個基點，主要與衛生和社會服務部門的新形成以及信貸進一步正常化有關表現主要反映在加拿大和美國的消費貸款組合中。

Please turn to Slide 19. Gross impaired loans were stable quarter-over-quarter and remained at cyclically low levels.

請轉到幻燈片 19。總減值貸款環比穩定，並保持在周期性低水平。

Please turn to Slide 20. Recall that our presentation reports PCL ratios, both gross and net of the partner share of the U.S. strategic card PCLs, we remind you that U.S. card PCLs recorded in the corporate segment are fully absorbed by our partners and do not impact the bank's net income. The bank's provisions for credit losses increased 3 basis points quarter-over-quarter to 32 basis points. The increase was largely recorded in the Canadian personal and commercial banking segment.

請轉到幻燈片 20。回想一下，我們的演示文稿報告了 PCL 比率，包括美國戰略卡 PCL 的合作夥伴份額的毛額和淨額，我們提醒您，記錄在企業部門的美國卡 PCL 完全被我們的合作夥伴吸收，而不是影響銀行的淨利潤。該銀行的信貸損失準備金環比增加 3 個基點至 32 個基點。增長主要體現在加拿大個人和商業銀行業務領域。

Please turn to Slide 21. The bank's impaired PCL was $553 million, an increase of $99 million quarter-over-quarter and primarily related to some further normalization of credit performance largely reflected in the consumer lending portfolios. The bank's current quarter impaired PCL rate remained well below 2019 levels. Performing PCL of $137 million this quarter was largely recorded in the Canadian personal and commercial Banking and wholesale banking segment.

請轉到幻燈片 21。該銀行受損的 PCL 為 5.53 億美元，環比增加 9900 萬美元，主要與消費貸款組合中反映的信貸業績進一步正常化有關。該銀行當前季度的受損 PCL 率仍遠低於 2019 年的水平。本季度執行的 PCL 為 1.37 億美元，主要記錄在加拿大個人和商業銀行業務以及批發銀行業務部門。

Please turn to Slide 22. The allowance for credit losses increased by $113 million quarter-over-quarter, reflecting volume growth and credit conditions, including some deterioration in the economic outlook, partially offset by the impact of foreign exchange. The bank's allowance coverage remains elevated to account for ongoing uncertainty relating to the economic trajectory and credit performance.

請轉到幻燈片 22。信貸損失準備金環比增加 1.13 億美元，反映了交易量增長和信貸狀況，包括經濟前景的一些惡化，部分被外彙的影響所抵消。該銀行的配額覆蓋率仍然較高，以應對與經濟軌跡和信貸表現相關的持續不確定性。

In summary, the bank's credit performance was strong again this quarter. However, as anticipated, key credit metrics continue to rise from cyclically low levels experienced last year with this trend, most evident in the consumer lending portfolios. Looking forward, while results may vary by quarter, I continue to expect total PCLs to be in the range of 35 to 45 basis points in 2023 as credit performance continues to normalize, and we progress along the economic path. TD remains well positioned given we are adequately provisioned. We have a strong capital position and we have a business that is broadly diversified across products and geographies.

綜上所述，該行本季度的信貸表現再次強勁。然而，正如預期的那樣，關鍵信貸指標繼續從去年經歷的周期性低水平上升，這一趨勢在消費貸款組合中最為明顯。展望未來，雖然結果可能因季度而異，但隨著信貸表現繼續正常化以及我們沿著經濟道路前進，我繼續預計 2023 年總 PCL 將在 35 至 45 個基點的範圍內。鑑於我們的供應充足，TD 仍然處於有利地位。我們擁有雄厚的資本實力，我們的業務在產品和地域方面廣泛多元化。

With that, operator, we are now ready to begin the Q&A session.

有了這個，接線員，我們現在準備開始問答環節。

(Operator Instructions)

（操作員說明）

And the first question is from Meny Grauman from Scotiabank.

第一個問題來自豐業銀行的 Meny Grauman。

Few questions on First Horizon, Bharat, you addressed it in your opening comments in terms of renegotiating of the contract. And I'm just wondering what extension data are you looking for, for that new contract?

關於 First Horizon 的幾個問題，Bharat，你在關於重新談判合同的開場評論中提到了它。我只是想知道您要為那個新合同尋找什麼擴展數據？

Meny, we've just started those conversations. I think it's premature for me to give you any specific dates. We are thinking through as to what might be appropriate and when the timing is right, then we will certainly let you know.

Meny，我們剛剛開始這些對話。我認為現在給你任何具體日期還為時過早。我們正在考慮什麼是合適的，什麼時候合適，我們一定會讓你知道。

And just as a follow-up to that, as a result of these negotiations, could the purchase price change? Is that something that is a potential.

作為後續行動，作為這些談判的結果，購買價格會發生變化嗎？那是一種潛力嗎？

Well, we've just initiated the negotiations. And once the negotiations are finalized, we will be sure to give you further details.

好吧，我們剛剛開始談判。一旦談判完成，我們一定會為您提供更多細節。

Okay. And then just a final one on the same topic. Just wondering about the nature of the delay given that the fact that the commentary that we're hearing comes so soon after the contract was extended to the end of May. So I'm wondering, is the issue a procedural issue? Or is it something more substantive? How would you sort of describe the delay as you see it?

好的。然後只是關於同一主題的最後一個。只是想知道延遲的性質，因為我們聽到的評論是在合同延期到 5 月底後很快就出現的。所以我想知道，這個問題是程序問題嗎？或者它是更實質性的東西？您如何描述您所看到的延遲？

Well, first, let me -- as we've discussed previously, we are really excited about this transaction. We worked very hard to date and continue to work very, very hard. And our planning for integration continues. We've set up an integration management office. I was thrilled that we announced our community benefit plan very recently, which was very important for the communities in which we operate. So really excited about what this transaction does for our U.S. franchise.

好吧，首先，讓我——正如我們之前所討論的那樣，我們對這筆交易感到非常興奮。迄今為止，我們非常努力地工作，並將繼續非常非常努力地工作。我們的整合計劃仍在繼續。我們已經成立了一個整合管理辦公室。我很高興我們最近宣布了我們的社區福利計劃，這對我們經營所在的社區非常重要。對這筆交易對我們美國特許經營權的影響感到非常興奮。

As far as timing goes, unfortunately, I can't tell you any more than what I've said in my remarks. We -- yes, we did extend the deal till May 27 since then. We believe that we will not be able to close this transaction by that date. And therefore, I started, as you would expect us to start to talk about an extension with First Horizon.

不幸的是，就時間而言，除了我在發言中所說的，我不能告訴你更多。我們 - 是的，從那以後我們確實將交易延長至 5 月 27 日。我們認為我們將無法在該日期之前完成此交易。因此，正如您所期望的那樣，我開始討論與 First Horizon 的擴展。

The next question is from Doug Young from Desjardins Capital Markets.

下一個問題來自 Desjardins Capital Markets 的 Doug Young。

Just a few CET1 on related questions. I mean, TD had negative organic capital generation this quarter about negative 20 basis points. So just a few items I just want to get some clarity on. And hoping you can dig into the asset quality drag of 21 basis points. Is that just normal migration? Or can you kind of elaborate.

只是一些CET1相關問題。我的意思是，TD 本季度的有機資本生成為負約 20 個基點。所以我只想弄清楚幾個項目。並希望您能深入了解 21 個基點的資產質量拖累。那隻是正常的遷移嗎？或者你能詳細說明一下嗎？

Yes, it's Ajai. So let me take asset quality. You would have noticed the increase there is $6.8 billion. And there are really 2 drivers of that. One is normal cost non-retail parameter updates that were made. And we make these annually. So we actually put it through in Q1. And then the second driver is credit normalization. And as I said in my prepared remarks, that credit normalization is occurring largely in the consumer portfolios, both Canada and the U.S. Hopefully, that...

對，就是阿傑。因此，讓我談談資產質量。您會注意到增加了 68 億美元。確實有兩個驅動因素。一個是進行的正常成本非零售參數更新。我們每年都製作這些。所以我們實際上在第一季度完成了它。第二個驅動因素是信貸正常化。正如我在準備好的發言中所說，信貸正常化主要發生在加拿大和美國的消費者組合中。希望……

It is. Can you kind of split the 2 in terms of which one was more impactful?

這是。你能根據哪一個更有影響力來拆分這兩個嗎？

Yes, I would say, well, it's -- I would say about 40% is the parameter updates. The balance is credit migration.

是的，我會說，嗯，我會說大約 40% 是參數更新。餘額是信用遷移。

Okay. Okay. And then second, I mean, the CET1 impact from the Basel III changes coming in Q2, it looks like you had parameter updates, because of Basel III that came through in Q1 -- can you talk about is there additional hit or benefit that you're going to have in Q2 from the upcoming Basel III changes?

好的。好的。其次，我的意思是，第二季度巴塞爾協議 III 的變化對 CET1 的影響，看起來你有參數更新，因為巴塞爾協議 III 在第一季度通過了——你能談談你是否有額外的影響或好處即將到來的巴塞爾協議 III 的變化將在第二季度進行嗎？

It's Kelvin. I'll take that one. Correct. So in Q2, we expect the impact of Basel III to be small either way.

是開爾文。我會拿那個。正確的。因此，在第二季度，我們預計巴塞爾協議 III 的影響無論哪種方式都會很小。

Okay. And then -- and I know, Bharat, you said this and Kelvin, you said this, I mean with First Horizon, CET1 comfortably above 11%. I guess the question I've got is, would that be the case even if the deal closed right now? And does that factor in any other actions? Like does that factor in selling additional stakes in Schwab? Does that factor in with loan sales? Like I'm just curious if you can give some context to what that means because I think that's one area that -- I'm getting a lot of questions on.

好的。然後——我知道，Bharat，你說過這個，Kelvin，你說過這個，我的意思是對於 First Horizon，CET1 輕鬆超過 11%。我想我的問題是，即使交易現在結束，情況也會如此嗎？這是否會影響任何其他行動？就像出售嘉信理財額外股份的那個因素一樣嗎？這會影響貸款銷售嗎？就像我只是想知道你是否可以提供一些上下文來說明這意味著什麼，因為我認為這是一個領域 - 我收到了很多問題。

Well, Doug, let's look at -- and I heard some of the noise around capital. Let's look at what TD's record has been on this. I mean, look at the last couple of years, our internal capital generation earnings less dividends is a simple way to do it. It's about 40 basis points per quarter. The DRIP contributes about 13 basis points per quarter. And that allows us to support our customers' activity through RWA growth, which over the last 5 quarters is about 15 to 20 basis points. The first quarter was unusual because I think Ajai provided some of the explanations to you.

好吧，道格，讓我們看看——我聽到了首都周圍的一些聲音。讓我們看看 TD 在這方面的記錄。我的意思是，看看過去幾年，我們的內部資本生成收益減去股息是一種簡單的方法。每個季度大約 40 個基點。 DRIP 每季度貢獻約 13 個基點。這使我們能夠通過 RWA 增長來支持客戶的活動，在過去 5 個季度中，RWA 增長了大約 15 到 20 個基點。第一季度很不尋常，因為我認為 Ajai 向您提供了一些解釋。

So the bank's capital flexibility is immense. And that's why I was quite happy to say that at the closing of First Horizon will be comfortably over 11%. But as you can see, there's a pathway to a much higher capital level, and that will depend on what the requirements are that will be announced from time to time. So feel very comfortable with where the bank's position is on capital. We have a lot of capital levers as well. And so I think the noise around this, I'm not sure that I really understand.

因此銀行的資本靈活性是巨大的。這就是為什麼我很高興地說在 First Horizon 結束時將輕鬆超過 11%。但正如您所看到的，有一條通往更高資本水平的途徑，這將取決於不時宣布的要求。因此，對銀行的資本狀況感到非常滿意。我們也有很多資本槓桿。所以我認為圍繞這個的噪音，我不確定我是否真的理解。

Well, I guess maybe just ask it another way, like, is that comfortably above 11% organic?

好吧，我想也許可以換個方式問，比如，有機含量是否超過 11%？

That's my view. Yes, I've said this that we think we're going to be over 11% -- comfortably over 11%. And then I gave you some of the calculations as to why it even goes higher over time. And so that we feel very comfortable with our capital position. And I know, Doug, you didn't ask, but many asked me what negotiations would be? And I'm not going to talk about any specific issues on those negotiations with First Horizon. We've just started a discussion. We have a fantastic relationship. It's a great franchise. And so we'll see where we get to.

這是我的看法。是的，我已經說過，我們認為我們將超過 11%——輕鬆超過 11%。然後我給了你一些關於為什麼它隨著時間的推移甚至更高的計算。因此，我們對我們的資本狀況感到非常滿意。我知道，道格，你沒有問，但很多人問我談判是什麼？我不會談論與 First Horizon 談判的任何具體問題。我們剛剛開始討論。我們的關係非常好。這是一個偉大的專營權。所以我們會看到我們到達哪裡。

The next question is from Gabriel Dechaine, National Bank Financial.

下一個問題來自國家銀行金融部的 Gabriel Dechaine。

Well, actually, Doug asked pretty much all the questions I have, but just to put a fine point on that. There's no contemplating doing what you did ahead of the Cowen transaction and selling down any Schwab? I mean you might be confused by the feedback on capital, I guess. But -- it has to do with where you ended up this quarter versus where people expected you to end up and then applying the pro forma impact of Cowen and First Horizon and you get to a number closer to 11%. I just want to know what your -- you have in the back of your mind or we'd like to know just to kind of get more comfortable with that comfortably above 11% figure?

好吧，實際上，Doug 幾乎問了我所有的問題，但只是為了說明這一點。沒有考慮做你在 Cowen 交易之前所做的事情並出售任何嘉信理財？我的意思是你可能會對資本的反饋感到困惑，我猜。但是——這與你本季度的最終結果與人們預期你的最終結果有關，然後應用 Cowen 和 First Horizon 的備考影響，你得到一個接近 11% 的數字。我只是想知道你的 - 你在你的腦海裡有什麼，或者我們想知道只是為了讓這個舒適地高於 11% 的數字變得更加舒適？

I'm not sure how you calculate your numbers, Gabe. So at some point, I'll get a chance to look at your numbers. But the numbers I gave you, there is a pathway here for TD to be in excess of 12% by next year. And this is even after closing First Horizon and Cowen. And so when you look at the first fiscal half of next year, we think we have a clear pathway to be over 12%. And if the timing were to change, we've got other capital levers. So I don't know what else I can tell you to clarify it further. I mean that's the way we are thinking about it and feel very comfortable.

我不確定你是如何計算你的數字的，Gabe。所以在某個時候，我會有機會看看你的數字。但是我給你的數字，到明年，TD 有超過 12% 的途徑。這甚至是在關閉 First Horizon 和 Cowen 之後。因此，當您查看明年上半年的財政年度時，我們認為我們有超過 12% 的明確途徑。如果時機改變，我們還有其他資本槓桿。所以我不知道我還能告訴你什麼來進一步澄清它。我的意思是這就是我們思考它的方式並且感覺非常舒服。

Okay. Well, how about this then? Some recent events in the Canadian banking space have led some banks to target a minimum capital level of 11.5%. Are you suggesting that temporarily, anyway, you would be -- let's say, 11% or just slightly above that. You're fine being at that level and working your way to 12% organically -- post-transaction closing. Is that correct?

好的。那麼，這個怎麼樣？加拿大銀行業最近發生的一些事件導致一些銀行將最低資本水平設定為 11.5%。你是否建議暫時，無論如何，你會 - 比方說，11% 或略高於此。你很好地處於那個水平並且有機地工作到 12％ - 交易後關閉。那是對的嗎？

Well, there are a lot of assumptions you are making there. I'm giving you even after closing First Horizon and Cowen, we would exceed 12% in the first fiscal half of next year. If the timing were to change, we've got other capital levers, as you know. And so it is a clear -- I thought I'm being very clear, Gabe.

嗯，你在那裡做了很多假設。即使在關閉 First Horizon 和 Cowen 之後，我也會告訴你，我們明年上半年的利潤率將超過 12%。如您所知，如果時機改變，我們還有其他資本槓桿。所以很清楚——我想我說得很清楚了，Gabe。

The next question is from Ebrahim Poonawala from Bank of America.

下一個問題來自美國銀行的 Ebrahim Poonawala。

I guess, Bharat, just wanted to follow up on the deal. 2 questions. One, should we be concerned that maybe there is a supervisory issue in the U.S. that could have an impact on your organic business in the United States as we think about TD Bank USA, your ability to grow or any of that? Can you answer that question?

我想，Bharat，只是想跟進這筆交易。 2 個問題。第一，我們是否應該擔心美國可能存在監管問題，這可能會影響您在美國的有機業務，因為我們考慮道明銀行美國，您的增長能力或任何其他方面？你能回答這個問題嗎？

Ebrahim, I can't comment on our confidential discussions with our regulators. That is an area that no bank ventures into. But with respect to First Horizon, we continue to work with our regulators as part of our application process, and we continue to do that. I can't comment any further.

易卜拉欣，我不能對我們與監管機構的機密討論發表評論。這是一個沒有銀行涉足的領域。但關於 First Horizon，我們將繼續與我們的監管機構合作，作為我們申請流程的一部分，我們將繼續這樣做。我不能再發表評論了。

I think the other questions you're asking me are hypothetical in nature. And we are -- we continue to grow our bank. Leo does a great job. I don't know how many stores that we opened last quarter, Leo. 6 stores were -- new stores were open, and you can -- I'm sure Leo would be happy to answer the loan growth we're having, the tremendous momentum we have in the U.S.

我認為你問我的其他問題本質上是假設性的。我們是——我們繼續發展我們的銀行。獅子座做得很好。 Leo，我不知道上個季度我們開了多少家店。有 6 家店——新店開張了，你可以——我相信 Leo 會很樂意回答我們的貸款增長，以及我們在美國的巨大發展勢頭。

Right. No, I think again, Bharat, I'm sure you appreciate we are in uncharted waters here. The only proxy parallel comes to mind is M&T Hudson City, which took 3 years between announcement and close. And I think that's what some investors are trying to handicap.

正確的。不，我又想了一遍，Bharat，我相信你很欣賞我們在這裡的未知水域。唯一想到的類似代理是 M&T Hudson City，它從宣佈到關閉用了 3 年時間。我認為這就是一些投資者試圖阻礙的。

Maybe, I guess, the second question for you as someone putting up $13 billion to buy First Horizon. Just talk to us how do you get comfort around franchise attrition, right? Like you heard about that from investors. It is an extremely competitive market. If I'm an employee at First Horizon getting called from 15 other banks, like how do you retain that and make sure there's no -- not meaningful attrition in the franchise if, let's say, the deal timing gets pushed out by 12 months?

也許，我想，第二個問題是給你的，因為有人出資 130 億美元購買了 First Horizon。只是和我們談談你如何從特許經營權流失中得到安慰，對嗎？就像你從投資者那裡聽說的那樣。這是一個競爭異常激烈的市場。如果我是 First Horizon 的一名員工，接到其他 15 家銀行的電話，例如，如果交易時間被推遲 12 個月，你如何保留它並確保特許經營中沒有 - 沒有意義的人員流失？

Again, I can't comment on timing. But we looked at when we announced the deal, the structure we have put in place to make sure that we've got more than adequate retention, and we feel happy about that. First Horizon as a franchise continues to perform in line with expectations as I shared during the acquisition announcement in February of '22. We are very happy with the transaction and continue to work hard to get it over the closing over the finish line.

同樣，我不能對時間發表評論。但是當我們宣布交易時，我們查看了我們為確保我們有足夠的保留而建立的結構，我們對此感到高興。正如我在 2022 年 2 月的收購公告中分享的那樣，First Horizon 作為特許經營權的表現繼續符合預期。我們對這筆交易非常滿意，並會繼續努力爭取完成交易。

The next question is from Scott Chan from Canaccord Genuity.

下一個問題來自 Canaccord Genuity 的 Scott Chan。

I'll stay away from First Horizon and maybe ask about Cowen that just closed. Riaz, on Cowen. What are you kind of seeing on the ground there in terms of now and when you announced the transaction? I know it's been difficult capital markets, but is Cowen going to be operated separately still? Or do you still have collaboration or some collaboration integration plans between the 2?

我會遠離 First Horizon，也許會詢問剛剛關閉的 Cowen。里亞茲，考恩。就現在和何時宣布交易而言，您在當地看到了什麼？我知道資本市場一直很艱難，但 Cowen 是否仍要單獨運營？或者你們兩者之間還有合作或者一些合作整合的計劃嗎？

Scott. Look, first, on the closing yesterday, I cannot say enough demonstrate the amount of exuberance that both the TD Securities leadership and folks and Cowen leadership and folks were feeling yesterday. And there was just an amazing amount of energy in the room as we announce the closing now. We've done a lot of pre-integration work. And coming into the closing, there will be some short period of time, let's say, a few weeks during which we need to continue to operate separately. And in order to just finish all our regulatory and functional and business model organization structures as we bring the broker-dealers together. And then we'll lead towards a full integration soon after that.

斯科特。看，首先，在昨天收盤時，我不能說足以證明道明證券領導層和人們以及 Cowen 領導層和人們昨天所感受到的繁榮。當我們現在宣布閉幕時，房間裡充滿了驚人的能量。我們已經做了很多預集成工作。臨近結束時，會有一段很短的時間，比方說幾週，在此期間我們需要繼續單獨運營。為了完成我們所有的監管、職能和商業模式組織結構，我們將經紀自營商聚集在一起。然後我們將在那之後很快進行全面整合。

So I'd say people are very excited to go. We've got an early operating model in place, a go-to-market strategy in place and there's just a tremendous amount of excitement. I'd say even more yesterday than we had at the date of the announcement 7 months ago. So it's really, really exciting, and we're feeling very positive about it. And Jeff Solomon and his team as well as the TD Securities leadership, just very excited to get together and get on with growing our business.

所以我想說人們非常興奮。我們已經有了一個早期的運營模式，一個進入市場的戰略，這讓我們非常興奮。我昨天說的比 7 個月前發佈公告時還要多。所以這真的非常令人興奮，我們對此感到非常積極。傑夫·所羅門 (Jeff Solomon) 和他的團隊以及道明證券的領導層，非常高興能聚在一起繼續發展我們的業務。

Have you passed out any cost or revenue synergies over the medium term? I assume it's most of the latter potential. And I don't know if there's examples that you see right now on it?

您是否在中期傳遞了任何成本或收入協同效應？我認為這是後者的大部分潛力。我不知道您現在是否看到了有關它的示例？

Yes. I'd say we're basically at the same place we were at the time when we announced the transaction, Scott, when we talked about having $300 million to $350 million of revenue synergies, and we said that we would add about USD 100 million in net income by year. And as you know, we did not announce any expense synergies at the time of the transaction.

是的。我會說我們基本上處於我們宣布交易時的相同位置，斯科特，當我們談到有 3 億至 3.5 億美元的收入協同效應時，我們說我們將增加約 1 億美元按年度計算的淨收入。如您所知，我們在交易時並未宣布任何費用協同效應。

The next question is from Paul Holden from CIBC.

下一個問題來自 CIBC 的 Paul Holden。

I'll limit myself to one question on First Horizon. I want to try something very specific. So I understand you're not going to comment on more general type question. So the OCC released its schedule of Community Reinvestment Act evaluations on Feb 28. So update is obviously interesting between when you provided the last update and the more current update. And that schedule shows that TD will be reviewed in September this year. Are the results of that evaluation something that's required for this merger approval? Is that one of the potential reasons for the delay?

我將限制自己在 First Horizon 上提出一個問題。我想嘗試一些非常具體的東西。所以我知道你不會對更一般的問題發表評論。因此，OCC 於 2 月 28 日發布了社區再投資法案評估時間表。因此，在您提供上次更新和最新更新之間的更新顯然很有趣。而該時間表顯示，TD 將在今年 9 月進行審查。該評估的結果是否是此次合併批准所必需的？這是延遲的潛在原因之一嗎？

Yes. Let's not talk about the delay in First Horizon, because I think I've said enough on that. Regarding CRA, our current rating is outstanding. And when you say that the exams will be done in September, I don't know, Leo, I think this is the longest exam period that goes on before you get any reports back.

是的。我們先不談 First Horizon 的延遲，因為我想我已經說得夠多了。關於 CRA，我們目前的評級是優秀的。當你說考試將在 9 月完成時，我不知道，Leo，我認為這是你收到任何報告之前最長的考試時間。

Yes. And Paul, just to be clear, there's -- on an annual basis, the OCC will review an institution on a number of different risk ratings, including the CRA rating. So that is the standard operating procedure, that's not tied to any transaction. It's part of the normal regulatory review process.

是的。保羅，需要明確的是，OCC 每年都會根據許多不同的風險評級（包括 CRA 評級）對一家機構進行審查。這是標準操作程序，與任何交易無關。這是正常監管審查流程的一部分。

Understand. That's helpful. A question on deposits, then we saw a drawdown in average deposit balances in the U.S., both retail and business. And I was wondering if you can give us sort of any characterization on how you view current deposits between, let's say, excess savings and core deposits? And I guess what I'm really trying to get at is, where do we think the deposits stabilize maybe in terms of when and what level? Any insight you could provide there would be, I think, helpful.

理解。這很有幫助。關於存款的問題，然後我們看到美國零售和企業的平均存款餘額下降。我想知道你是否可以給我們一些關於你如何看待活期存款的特徵，比方說，超額儲蓄和核心存款？我想我真正想知道的是，我們認為存款可能在何時和什麼水平穩定下來？我認為，您可以提供的任何見解都會有所幫助。

I'll take that one. Thanks for the question. I think what we are seeing, as a result of the increase in rates is just building rate sensitivity. I think earlier over the past 2 quarters, we were seeing a little bit of the excess savings from the pandemic relief efforts being drawn down or consumed. I think what you're seeing now is just the natural rate sensitivity in terms of where, rates are and you're more rate-sensitive clients. So think in the consumer side, your mass affluent high net worth clients and on the commercial side, your more institutional clients, looking for either more attractive higher priced deposit or off balance sheet investment alternatives.

我會拿那個。謝謝你的問題。我認為，由於利率上升，我們所看到的只是建立了利率敏感性。我認為在過去兩個季度的早些時候，我們看到大流行病救助工作帶來的多餘儲蓄被提取或消耗了一點。我認為你現在看到的只是自然利率敏感性，即利率在哪裡，你是對利率更敏感的客戶。因此，從消費者方面考慮，您的大眾富裕高淨值客戶和商業方面，您的更多機構客戶正在尋找更具吸引力的高價存款或資產負債表外投資選擇。

So you're seeing that play out and I would expect as long as rates continue to be where they are and/or continue to be increased, I think you'll see a degree of rate sensitivity. I'll point you though to just the composition of the U.S., we are a very liquid institution, our excess deposit position is quite strong and then the composition having a strong core checking account base in our retail and commercial businesses, should make us more resilient over the cycle.

所以你看到了這種情況，我希望只要利率繼續保持在原位和/或繼續增加，我認為你會看到一定程度的利率敏感性。我會指出美國的構成，我們是一個流動性很強的機構，我們的超額存款頭寸相當強勁，然後在我們的零售和商業業務中擁有強大的核心支票賬戶基礎的構成應該會讓我們更在周期中具有彈性。

So from my standpoint, and we continue to acquire clients at a very healthy clip. Just to give you one final stat, this quarter, just on a year-on-year bases, core checking account volumes were up 13%. So we're continuing to see strong momentum there and I would expect us to be able to continue to grow the franchise.

因此，從我的角度來看，我們繼續以非常健康的速度吸引客戶。給你一個最終統計數據，本季度，僅在同比基礎上，核心支票賬戶數量增長了 13%。所以我們在那裡繼續看到強勁的勢頭，我希望我們能夠繼續發展特許經營權。

That's helpful and then follow-up to that, Leo and this will be my last question, in terms of that movement out of deposits and into wealth products or as you call the off balance sheet, is this an opportunity to grow that wealth franchise in U.S.? I think it was one of your strategic priorities when you moved down there, are you seeing increasing opportunity?

這很有幫助，然後跟進，Leo，這將是我的最後一個問題，就從存款轉移到財富產品或你所說的資產負債表外而言，這是一個發展財富專營權的機會我們。？當你搬到那裡時，我認為這是你的戰略重點之一，你是否看到了越來越多的機會？

I'll start. I'll certainly ask Ray to chime in. But growing the wealth franchise in the U.S. is one of the key priorities and I would describe that on a number of different fronts. We have got the mass affluent opportunity in the stores themselves and Ray can talk about the fact that we are growing our financial advisers in the stores. There's the continue growth of the high net worth franchise. And increasingly we are seeing nice success in terms of the collaboration that's taking place between our wealth and commercial banking teams.

我會開始。我當然會請 Ray 插話。但在美國發展財富專營權是關鍵優先事項之一，我會在許多不同方面進行描述。我們在商店本身就獲得了大眾富裕的機會，雷可以談論我們正在商店中培養我們的財務顧問這一事實。高淨值人群的持續增長。我們越來越多地看到我們的財富和商業銀行團隊之間的合作取得了巨大成功。

In fact, we did see some outflows in the commercial banking deposit front. What I didn't mention to you is that 1.3 billion dollars over the last two quarters of that out flow ended up in our wealth franchise. So we are systematically trying to retain that client wallet inside the franchise and that will be a big area of focus for us going forward. Ray, I don't know if there's anything you want to add.

事實上，我們確實在商業銀行存款方面看到了一些資金流出。我沒有跟你提到的是，在過去兩個季度的流出中，有 13 億美元最終流入了我們的財富專營權。因此，我們正在系統地嘗試將客戶錢包保留在特許經營權內，這將是我們未來的一大重點領域。 Ray，我不知道你是否有什麼要補充的。

And the only thing I'd add, Paul, is in Canada we have figured out a model that generates significant partnership between our branch banking and wealth management and we're taking that model into the United States and as Leo said, targeting really the mass affluent clients and we have a significant customer base within the TD AMCB that are mass market clients. We have seen a dramatic increase now in referrals from our stores to wealth advisers, and we are continuing to scale our advisers in the U.S. and we have now 300 advisers moving to 400 advisers by the end of this year. And what I would tell you is, on a monthly basis we are continuing to see momentum and we suspect, we will continue to drive growth in our U.S. wealth franchise as we move forward.

保羅，我唯一要補充的是，在加拿大，我們已經找到了一種模式，可以在我們的分行銀行業務和財富管理部門之間建立重要的合作夥伴關係，我們正在將該模式引入美國，正如利奧所說，真正針對大眾富裕客戶，我們在 TD AMCB 中擁有大量客戶群，這些客戶是大眾市場客戶。我們現在看到從我們的商店向財富顧問推薦的人數急劇增加，我們正在繼續擴大我們在美國的顧問規模，到今年年底，我們現在有 300 名顧問，增加到 400 名顧問。我要告訴你的是，我們每個月都在繼續看到勢頭，我們懷疑，隨著我們前進，我們將繼續推動美國財富特許經營的增長。

The next question is from Sohrab Movahedi from BIMO.

下一個問題來自 BIMO 的 Sohrab Movahedi。

Maybe just if we can go to Michael Rhodes and talk about the deposit trends in Canada and what you expect to happen there first, please?

也許我們可以去找 Michael Rhodes 談談加拿大的存款趨勢以及您希望在那里首先發生什麼？

Sure, absolutely. I'll start, I mean, just as Leo mentioned, clearly, rate sensitivity in the higher rate environment is picking up. That being the case, our strategy has been and continues to be gathering core franchise accounts and think of the checking account as really the anchor of that. We have seen strong acquisition over the past quarter, actually recently, and this is actually being driven by a record number of New to Canada checking accounts for Q1. And so we are seeing very strong flows coming in.

當然，絕對。我要開始了，我的意思是，正如 Leo 提到的那樣，很明顯，較高利率環境中的利率敏感性正在上升。在這種情況下，我們的戰略一直並將繼續收集核心特許經營賬戶，並將支票賬戶視為真正的支柱。我們在過去一個季度看到了強勁的收購，實際上是最近，這實際上是由第一季度創紀錄的加拿大新支票賬戶數量推動的。因此，我們看到非常強勁的資金流入。

And the result of that is we are actually seeing that our non term share of deposits is actually -- our share across the industry is actually increasing at a very nice pace, actually on a year-to-year basis. Think about 90 points or so for shared gain for non-term deposits. And so we are seeing that. Now the overall industry that you're seeing mixed shift, if we were to look at industry data, I think, what you would actually see is that our mix shift has been much more moderate and we have been using discipline pricing across our depository product and we have been pleased how this has performed. And when you look at the NIM for the CAD P and C, I think, that provides evidence that this is being well managed.

結果是我們實際上看到我們的非定期存款份額實際上是 - 我們在整個行業中的份額實際上以非常好的速度增長，實際上是逐年增長。考慮 90 點左右的非定期存款共享收益。所以我們看到了。現在你看到的整個行業混合變化，如果我們看行業數據，我想，你實際上會看到我們的混合變化要溫和得多，我們一直在我們的存款產品中使用紀律定價我們對這方面的表現感到滿意。我認為，當您查看 CAD P 和 C 的 NIM 時，這提供了管理良好的證據。

Michael do you expect that competitive dynamics to still allow you to exercise the discipline? Or do you think eventually you will have to give into it?

邁克爾，你認為競爭激烈的動態仍然能讓你鍛煉紀律嗎？還是您認為最終您將不得不屈服？

Well, so the competitive dynamic ebbs and flows as you can imagine, week-to-week, month-to-month. And I say right now, we have been pretty disciplined -- we have been very disciplined in terms of our pricing and has performed well for us. And I don't see any real changes that are coming in the near term.

好吧，正如你想像的那樣，競爭動態潮起潮落，每週，每月。我現在說，我們一直非常自律——我們在定價方面一直非常自律，並且為我們表現良好。而且我看不到短期內會發生任何真正的變化。

Okay. And Kelvin, just very quickly, just, given the dynamic potential closing timing of the First Horizon, does your hedging, whether it's capital or interest rates, does that dynamically role forward? Is there going to be any incremental cost associated with that? Or how should we be thinking about that?

好的。開爾文，很快，考慮到 First Horizon 的動態潛在關閉時間，您的對沖，無論是資本還是利率，是否動態地發揮作用？是否會有任何與之相關的增量成本？或者我們應該如何考慮？

Yes. we will continue to dynamically roll that forward. And as we've talked about earlier on the -- the biggest hedge on the interest rate is something that we already have on the books and we will continue to role that forward and the cost is minimal. And then we also have the FX hedge as well, and we'll role that forward, too.

是的。我們將繼續動態地向前推進。正如我們之前談到的那樣 - 最大的利率對沖是我們已經在賬簿上進行的，我們將繼續發揮這一作用，而且成本是最低的。然後我們也有外匯對沖，我們也將發揮作用。

So no material, incremental or marginal risk -- or cost, sorry, associated with it?

所以沒有重大的、增量的或邊際的風險——或者抱歉，與之相關的成本？

Right.

正確的。

And just lastly, I mean, Bharat, last quarter I think when you finished off the year, you had kind of in your remarks you commented that it could even be that in 2023 the bank can deliver EPS within it's median term, growth targets. Do you still expect that to be the case?

最後，我的意思是，Bharat，我認為上個季度當你結束這一年時，你在你的評論中評論說，甚至可能在 2023 年銀行可以在其中期增長目標內實現每股收益。你還期望是這樣嗎？

So I think last quarter when I said that we said you know, given the rate momentum and the anticipated closing of the announced acquisition, that's certainly a tailwinds for us, and as well as the volume growth that we have just delivered. There are head winds, of course. There are geopolitical tensions, it's a complex operating environment and potential economic slow down. So on balance, I said at that time, unless things change, you know, we should meet that. And if there was a chance, we would exceed it. So we'll see. We are very happy with our first quarter. Organically, the being delivered 8% earning growth. So very pleased with that. You saw some of the numbers. And I think folks have talked about some of the loan numbers we are seeing and our ability to attract noninterest rate sensitive deposits, which is a core strength of the bank and continued momentum on the wealth and insurance side.

所以我認為上個季度，當我說我們說你知道，考慮到利率勢頭和宣布收購的預期結束，這對我們來說肯定是一個順風，以及我們剛剛實現的銷量增長。當然有逆風。存在地緣政治緊張局勢，這是一個複雜的經營環境和潛在的經濟放緩。所以總的來說，我當時說，除非情況發生變化，否則我們應該滿足這一點。如果有機會，我們會超越它。所以我們拭目以待。我們對第一季度非常滿意。有機地，正在交付 8% 的收入增長。對此非常滿意。你看到了一些數字。而且我認為人們已經談到了我們看到的一些貸款數字以及我們吸引非利率敏感存款的能力，這是銀行的核心優勢，也是財富和保險方面的持續動力。

So very happy with how things have started off in the year. Let's see how the next 3 quarters go.

對這一年的開端非常滿意。讓我們看看接下來的三個季度會怎樣。

And then we can sort of look back and say, all right, what -- out of the headwinds, which ones came to pass and then the tailwinds, which one came to pass and then we can talk about it then if we have exerted it even more as to why that happened. And if you haven't met it, then we will explain what caused that.

然後我們可以回顧一下，然後說，好吧，什麼——在逆風中，哪些發生了，然後是順風，哪些發生了，然後我們可以討論它，如果我們已經發揮了它更重要的是為什麼會這樣。如果您還沒有遇到它，那麼我們將解釋造成這種情況的原因。

The next question is from Mike Rizvanovic from KBW.

下一個問題來自 KBW 的 Mike Rizvanovic。

I want to ask Michael Rhodes what is your outlook on the RESL book in Canada. What do you think is in the cards for 2023?

我想問一下 Michael Rhodes，您對加拿大的 RESL 書有何看法。您認為 2023 年的前景如何？

So great question. Thanks for the question. Clearly you know that the number of sales and purchases of homes in Canada has gone down in recent data supports that. As we look across 2023, we'd expect that the RESL growth to be in the low- to mid-single digits range for the year.

這麼好的問題。謝謝你的問題。很明顯，您知道加拿大的房屋買賣數量已經下降，最近的數據支持這一點。展望 2023 年，我們預計今年的 RESL 增長將處於中低個位數範圍內。

Okay, so I guess that's consistent with what we heard from some of the other banks. Just looking at your portfolio, looks like it was down a little bit sequentially or let's just call it, flat quarter-over-quarter. And as I look at some of the large cities that have reported the Fed data for sales, it's still down plus 40% year-over-year. I'm wondering where would you see that growth coming from? What sort of -- like what's baked into that assessment when you say low to mid-single digit, it seems quite optimistic given the state of the market right now.

好的，所以我想這與我們從其他一些銀行那裡聽到的一致。看看你的投資組合，看起來它有點連續下降，或者我們稱之為，環比持平。當我查看一些報告了美聯儲銷售數據的大城市時，它仍然同比下降了 40%。我想知道你會從哪裡看到這種增長？什麼樣的 - 就像你說低到中個位數時評估中包含的內容一樣，考慮到目前的市場狀況，這似乎相當樂觀。

So a couple of things that come into play there. You're right, for the quarter. Sequentially, we were basically flat. As you look going forward, there are a couple of things. One is the first quarter, of course, is seasonally a relatively low quarter. The second is as I just look into our pipelines on a go-forward basis, I'm feeling more optimistic about things on a go-forward basis. We see our advisers are being quite productive, and we're making some operational enhancements to our processes. And so the data, I look at, gives me some optimism on a go-forward basis, recognizing the market is soft. And if the market softens up a whole bunch more than I might change my tune, but just given what I see today, I think that's achievable.

所以有幾件事在那裡發揮作用。你是對的，這個季度。隨後，我們基本持平。當你展望未來時，有幾件事。一個是第一季度，當然是季節性相對較低的季度。第二個是，當我只是在前進的基礎上研究我們的管道時，我對前進的基礎上的事情感到更加樂觀。我們看到我們的顧問效率很高，我們正在對我們的流程進行一些操作改進。因此，我看到的數據讓我在前進的基礎上有些樂觀，認識到市場疲軟。如果市場軟化很多，我可能會改變我的看法，但鑑於我今天所看到的，我認為這是可以實現的。

Okay, and Bharat, I just had a really quick follow-up for you on your earlier comment about the 12% CET1 level. I think what you said was the midpoint of 2024. I'm not going to ask you about the FHN timing or anything like that. But when you say 12% by middle of next year, is that based on the assumption of TD's normal course, the typical environment where you get that 15 to 20 basis points quarter-over-quarter sequential organic generation?

好的，Bharat，我剛剛對你之前關於 12% CET1 水平的評論進行了非常快速的跟進。我想你說的是 2024 年的中點。我不會問你關於 FHN 時間或類似問題的問題。但是，當你說到明年年中達到 12% 時，這是基於 TD 正常過程的假設，即你獲得 15 到 20 個基點的季度連續有機發電的典型環境？

Yes, Mike.

是的，邁克。

The next question is from Lemar Persaud from Cormark Securities.

下一個問題來自 Cormark Securities 的 Lemar Persaud。

It seems like the bank is not going to be able to answer most of my questions on First Horizon right now, but maybe I'll try one of them. In the outside chance the deal doesn't get regulatory approval or an agreement to extend isn't achieve, would it be fair to suggest the $435 million termination fee would not apply in this case?

銀行現在似乎無法回答我關於 First Horizon 的大部分問題，但也許我會嘗試其中的一個。如果交易未獲得監管部門批准或未達成延期協議的可能性很小，那麼建議 4.35 億美元的終止費不適用於這種情況是否公平？

I think the deal terms are in the document that we filed, and Lemar, best for you to check that, as to what the technicalities are there in that all the details around it.

我認為交易條款在我們提交的文件中，Lemar 最好讓你檢查一下，關於它的所有細節中有哪些技術細節。

Okay. And then maybe turning to Canadian P&C banking. Can you talk to what's driving the weaker business deposit growth? It looks like it's a drop for 2 consecutive quarters. So would it be fair to suggest this is just the deployment of some excess COVID deposits?

好的。然後可能會轉向加拿大的 P&C 銀行業務。你能談談是什麼推動了商業存款增長疲軟嗎？看起來是連續2個季度下降。那麼建議這只是部署一些多餘的 COVID 存款是否公平？

Yeah, it's Paul. Thanks, Lemar. If you look back to the early part of the pandemic, you would see that TD outgrew most of the banks for quite a while in the early part of the pandemic. Some of that is just the reversal of that now that we've ended. And that has to do just with the makeup of our book compared to others. And then in addition, as Leo spoke about, there is a seek for yield here going on. We're not losing any accounts. The core business is quite strong. Some of the excess deposits that our commercial bank customers hold are chasing yield. And our policy has always been to be very disciplined around margins. And so we have lost some deposits.

是的，是保羅。謝謝，勒馬爾。如果回顧大流行的早期階段，您會發現在大流行初期，TD 的增長超過了大多數銀行。現在我們已經結束了，其中一些只是逆轉。這與我們的書與其他書相比的構成有關。此外，正如 Leo 所說，這裡正在尋求收益。我們不會丟失任何帳戶。核心業務相當強大。我們商業銀行客戶持有的一些超額存款是為了追逐收益。我們的政策一直是對利潤率非常嚴格。所以我們損失了一些存款。

The next question is from Joo Ho Kim from Crédit Suisse.

下一個問題來自瑞士信貸銀行的 Joo Ho Kim。

Just wanted to go back to your net interest margin comment. You had mentioned that it may moderate in terms of improvement from here. And when I look at the results this quarter, you were up 2 basis points sequentially at the all bank level. So I'm curious, is that sort of the improvement that we should think about as we go forward, that maybe 1 to 2 basis points on the low single-digit kind of improvement? Just curious if you could quantify what you see for the remainder of the year?

只想回到您的淨息差評論。你提到過它可能會從這裡開始有所改善。當我查看本季度的結果時，您在所有銀行層面連續上漲了 2 個基點。所以我很好奇，在我們前進的過程中，我們是否應該考慮這種改進，可能是低個位數改進的 1 到 2 個基點？只是好奇您是否可以量化您在今年剩餘時間裡看到的情況？

It's Kelvin. I'll take that. The -- so that the 2 basis point quarter-over-quarter that you mentioned, it's the all-inclusive NIM. And so we typically look at non-trading NIM, and when you adjust for that, the quarter-over-quarter expansion is a positive 6 basis points. And so last quarter, in Q4, the margin expansion was 12 basis points and then this quarter, 6 basis points, and you expect that to moderate, and we expect that the margin expansion continue to be positive for the remainder of 2023, but the trend is going to be similar, that is going to be moderating.

是開爾文。我會接受的。你提到的季度環比增長 2 個基點，這是包羅萬象的 NIM。因此，我們通常會關注非交易 NIM，當你對此進行調整時，季度環比擴張為正 6 個基點。所以上個季度，在第四季度，利潤率擴張了 12 個基點，然後是本季度，6 個基點，你預計這種情況會緩和，我們預計利潤率擴張在 2023 年剩餘時間裡繼續保持正增長，但趨勢將是相似的，那就是緩和。

What I would like to note though is that a lot of people focus only on short-term rates. And as you know, we had a significant increase in short-term rates over the last few quarters. Forbes would indicate that there's still some to come, but less than before. But I would like to note that the long-term rate also matters. So if you look at Page 27, -- in Canada, the relevant rate is 5 years in the U.S. is 7 year. These tractors do reprice over time. And the on rate is higher than the off rate. And so what that means is that even if short-term rates doesn't go up, everything else being equal, the repricing of the tractors will continue to support margin expansion.

不過，我想指出的是，很多人只關注短期利率。如您所知，過去幾個季度我們的短期利率顯著上升。福布斯將表明仍有一些未來，但比以前少。但我想指出，長期利率也很重要。因此，如果您查看第 27 頁，——在加拿大，相關利率是 5 年，而在美國是 7 年。這些拖拉機確實會隨著時間的推移重新定價。並且開啟率高於關閉率。因此，這意味著即使短期利率沒有上升，在其他條件相同的情況下，拖拉機的重新定價將繼續支持利潤率擴張。

The next question is from Nigel D'Souza from Veritas Investment Research.

下一個問題來自 Veritas Investment Research 的 Nigel D'Souza。

The first one I had for you was on your performing credit loss provisions this quarter. I noticed that there was a build in the Canadian P&C banking segment, but a reversal in U.S. retail. Just wondering what drove that because typically, we don't see a divergence in performing PCLs across those segments?

我給你的第一個是關於你本季度履行信用損失準備金的。我注意到加拿大 P&C 銀行業務有所增長，但美國零售業務出現逆轉。只是想知道是什麼推動了這一點，因為通常情況下，我們看不到這些細分市場在執行 PCL 方面存在差異？

Nigel, it's Ajai. So let me respond to that. What I would say is you've got to look at these trends over a longer period. But if you look -- if you actually go and look at the year-over-year numbers, you'll find impaired and performing up both in Canada and the U.S. You're right in pointing out that this quarter, U.S. performing actually came down. There are really 2 reasons for that. One is we had repayments of some high-risk loans. So the associated allowance got released.

奈傑爾，我是阿傑。所以讓我對此做出回應。我要說的是，你必須在較長時期內審視這些趨勢。但是如果你看 - 如果你真的去看看同比數據，你會發現加拿大和美國都受到損害並且表現良好。你正確地指出本季度，美國的表現實際上來了向下。確實有兩個原因。一是我們償還了一些高風險貸款。因此，相關津貼得到釋放。

And the second reason is we made a methodology update relating to consumer loans, where we found we were forward predicting the move from Stage 1 to Stage 2. So we put that correction in which led to a reversal. So if you exclude these 2, you would have actually seen a small performing build in the U.S. as well. So hopefully, that's helpful to you.

第二個原因是我們更新了與消費貸款相關的方法，我們發現我們提前預測了從第一階段到第二階段的轉變。所以我們進行了導致逆轉的修正。因此，如果您排除這 2 個，您實際上也會在美國看到一個小型的性能構建。希望對您有所幫助。

That's helpful. And then the last question I had just quickly was on variable rate mortgages. Any update on the portfolio, how it's tracking? And just a question of the monthly mortgage payment. Just trying to understand if the higher rate leads to an immediate pass-through of an increase in the monthly mortgage payment proportion of it is capitalized and then pass through later on or trigger point? Just trying to understand the dynamics of how the monthly payments are tracking relative to mortgage rates for variable?

這很有幫助。然後我很快提出的最後一個問題是可變利率抵押貸款。投資組合的任何更新，它是如何跟踪的？只是每月按揭付款的問題。只是想了解較高的利率是否會立即導致每月抵押貸款支付比例的增加被資本化，然後再通過或觸發點？只是想了解每月付款如何相對於可變抵押貸款利率進行跟踪的動態？

I can start generally with credit quality, and then I'll pass it on to Michael Rhodes. So what I would tell you is, generally across the RESL book, our credit quality is strong. So if I look at delinquencies, and I see the quarter-over-quarter change, it's nominal. It's basically one (inaudible) of that to HELOC. Formations, RESL is flat; charge-offs, I would say, near 0.

我通常可以從信用質量開始，然後將其傳遞給 Michael Rhodes。所以我要告訴你的是，一般來說，在 RESL 賬簿中，我們的信用質量很高。因此，如果我查看拖欠率，並且看到季度環比變化，那是名義上的。它基本上是 HELOC 的其中一個（聽不清）。編隊，RESL持平；沖銷，我會說，接近 0。

So if I look at quality in many different ways, the quality is strong. The books we are watching, we're definitely watching the variable interest rate mortgages, in particular, the trigger point population. We are watching rate renewal risk across both the variable and fixed books as well. But overall, we're seeing strong quality. We're actually seeing customers come forward when they hit the trigger rate. And keep in mind when they had to trigger rate, there's no requirement to repay us, but we are very encouraged by what we are seeing, where they are voluntarily coming forward and making principal payments. But I'll pass it to Michael for a few minutes.

因此，如果我以多種不同的方式看待質量，那麼質量就是很強的。我們正在看的書，我們肯定是在看可變利率抵押貸款，尤其是觸發點人口。我們也在關注可變賬簿和固定賬簿的利率更新風險。但總的來說，我們看到了強大的質量。我們實際上看到客戶在達到觸發率時挺身而出。請記住，當他們不得不觸發利率時，沒有要求償還我們，但我們對我們所看到的情況感到非常鼓舞，他們自願挺身而出並支付本金。但我會把它傳遞給 Michael 幾分鐘。

Ajai, I think you touched a bit about the dynamic of how our variable mortgages work in that as rates go up, that the amount you amortize basically is going down until you could reach a point where you do end up negative aiming and there's actually -- your loan base has some capital added to it each period and then either at a trigger point or at renewal, things get reset.

Ajai，我想你稍微談到了我們可變抵押貸款的動態變化，隨著利率上升，你攤銷的金額基本上會下降，直到你達到一個你最終會負目標的地步，實際上 - - 你的貸款基礎在每個時期都會增加一些資本，然後在觸發點或更新時，事情會被重置。

And just to clarify, I assume that trigger point is 105% of some sort of loan balance amount. Is that how it works?

澄清一下，我假設觸發點是某種貸款餘額的 105%。是這樣嗎？

It depends if it's a HELOC or if it's a mortgage or for mortgages, it's linked to your loan to value at I think it's 80%.

這取決於它是 HELOC 還是抵押貸款或抵押貸款，它與您的貸款掛鉤，我認為它的價值是 80%。

80% uninsured, I think it's 105% for insured? Or is it the same for both?

80% 未投保，我認為投保是 105%？還是兩者都一樣？

It's 105% for the other one.

另一個是105%。

The next question is from Darko Mihelic from RBC Capital Markets.

下一個問題來自 RBC Capital Markets 的 Darko Mihelic。

Just a quick numbers question for Leo. I'm looking at the U.S. retail segment and the noninterest income. I realize overdraft fees are significantly lower. But when I look at this quarter's number, is it fair to say, Leo, that this is about the bottom? Or is there still some more downside to this line item?

Leo 只是一個快速的數字問題。我正在研究美國零售部門和非利息收入。我意識到透支費用要低得多。但是，當我查看本季度的數字時，Leo，可以說這是觸底了嗎？或者這個訂單項還有更多缺點嗎？

Darko, thanks for the question. So we have fully implemented all the overdraft measures that we identified last year. And so this quarter, you're right to say that we have -- you're seeing the full impact of all those changes. And just to that includes the limit -- the daily limit of overdraft charges that includes the change in the threshold, which a client begins to incur an overdraft, the 24-hour grace period, the NSF elimination fee, all of those, you've got a full quarter worth of impact. So this is the bottom. I would expect, to your point, as we continue to grow our core checking and cards base that we would see additions to our fee income line.

達科，謝謝你的提問。因此，我們已經全面實施了去年確定的所有透支措施。所以這個季度，你說我們有 - 你看到了所有這些變化的全部影響是正確的。僅此而已包括限額——透支費用的每日限額，包括門檻的變化，客戶開始發生透支，24 小時寬限期，NSF 消除費，所有這些，你'我們獲得了整整一個季度的影響。所以這是底部。就您的觀點而言，我希望隨著我們繼續擴大核心支票和信用卡基礎，我們會看到我們的費用收入線有所增加。

Okay. Great. That's very helpful. A question for Bharat. You've given us a rough road map to 12% common equity Tier 1. There is, of course, a small possibility that the regulator increases the [DSP] this summer in June. With 50 basis points, let's say, (inaudible) increase, do you have the capability of overcoming a 50 basis point increase in the minimum ratio? Or would you need to raise equity for that?

好的。偉大的。這很有幫助。巴拉特的問題。您為我們提供了 12% 普通股一級的粗略路線圖。當然，監管機構在今年夏天 6 月份提高 [DSP] 的可能性很小。假設有 50 個基點，（聽不清）增加，您是否有能力克服最小比率增加 50 個基點？或者你需要為此籌集資金嗎？

We have capability to meet that if that turns out to be the case. But these are hypothetical questions, but you asked me a straight question, I gave you a straight answer.

如果事實證明是這樣，我們有能力滿足這一要求。但是這些都是假設性的問題，但是你問我一個直截了當的問題，我給你一個直截了當的答案。

The next question is from Ebrahim Poonawala from Bank of America.

下一個問題來自美國銀行的 Ebrahim Poonawala。

Just 2 quick follow-ups. One, Leo or just sticking with the U.S. noninterest income, any sense of the impact if there are changes instituted to credit card late charge fees, what that would mean for TD?

只需 2 次快速跟進。第一，Leo 還是堅持美國的非利息收入，如果信用卡滯納金發生變化，對影響有何影響，這對 TD 意味著什麼？

Yes. Thank you very much, Ebrahim. Obviously, the CFPB has come out with some proposed rulings. It's still early. I expect there to be some evolution in terms of what that final proposal is going to look like. So I'd prefer not to speculate at this point in time in terms of the total impact. What I would say is credit card late fees as a percent of our total U.S. Retail revenues is a relatively small percentage. So in any event, it would be manageable.

是的。非常感謝你，易卜拉欣。顯然，CFPB 已經提出了一些擬議的裁決。現在還早。我希望最終提案的外觀會有一些演變。所以我不想在這個時間點就總影響進行推測。我要說的是，信用卡滯納金占我們美國零售總收入的百分比相對較小。所以無論如何，這都是可控的。

That's helpful. And just one quick one, Riaz for you. We've seen a significant growth in the loan book in Wholesale Banking. One, do you expect that to be sustainable? What's the driver of that?

這很有幫助。只是一個快速的，Riaz 給你。我們已經看到批發銀行業務的貸款賬簿顯著增長。第一，你認為這是可持續的嗎？那是什麼驅動因素？

Well, Ebrahim as you know, the -- over the course of the last 4 or 5 quarters, there's been a lot of loan demand, and we are in a fortunate position of being able to be particularly selective and grow our clients' -- client base, particularly in the United States in accordance consistently with our strategy. And we're earning very good returns on those new originations. So it's really about taking market share at a time when we're able to.

好吧，易卜拉欣，正如你所知，在過去的 4 或 5 個季度中，有很多貸款需求，我們處於幸運的位置，能夠特別有選擇性地發展我們客戶的 -客戶群，特別是在美國，這與我們的戰略一致。我們從這些新的起源中獲得了非常好的回報。所以這真的是在我們有能力的時候搶占市場份額。

And just on market share, Riaz. It's a difficult period for a bunch of investment banks right now. Is there a strategy to grow carbon beyond their existing verticals and selectively hire bankers and capabilities and maybe aggressive on that over the next 12 months or so?

就市場份額而言，Riaz。現在對一群投資銀行來說是一段艱難的時期。是否有一項戰略可以在現有垂直領域之外增加碳排放，並有選擇地聘請銀行家和能力，並可能在未來 12 個月左右積極進取？

I think we have to pace that appropriately with the integration work and bringing the 2 firms together. But look, I think there is -- there are opportunities. We're always open for them right now. We're in a good position to do that. But I think that for the next let's say, a quarter or 2, the focus will be on getting the integration correct and finished.

我認為我們必須通過整合工作和將兩家公司合併在一起來適當地調整步伐。但是看，我認為有——有機會。我們現在總是對他們開放。我們有能力做到這一點。但我認為，下一個季度或兩個季度，重點將放在正確完成集成上。

There are no further questions registered at this time. I'd like to turn the call back over to Bharat Masrani.

目前沒有其他問題登記。我想把電話轉回 Bharat Masrani。

Thanks so much. Thanks very much, operator, and thank you, everyone, for joining us this afternoon. Again, a great quarter from TD, terrific, 8% earnings growth, $4.2 billion in earnings. So very happy with the start to the year. And once again, I want to take this opportunity to thank our TD bankers around the world for once again delivering for all of our stakeholders.

非常感謝。非常感謝接線員，也感謝大家今天下午加入我們。再一次，TD 的一個偉大季度，非常棒，8% 的收益增長，42 億美元的收益。對今年的開始非常滿意。我想再次藉此機會感謝世界各地的道明銀行家再次為我們所有的利益相關者提供服務。

And Paul, congratulations again, 47 great years at the bank, and it's a good thing. You're not going away far. So we look forward to working with you in your other capacities at the bank. And Barb, congratulations on your new position with the Canadian commercial bank. Thank you, and we'll see you in 90 days.

保羅，再次祝賀，在銀行工作了 47 年，這是一件好事。你不會走遠。因此，我們期待以您在銀行的其他身份與您合作。 Barb，祝賀你在加拿大商業銀行的新職位。謝謝，我們 90 天后見。

Thank you. The conference has now ended. Please disconnect your lines at this time, and we thank you for your participation.

謝謝。會議現已結束。請此時斷開您的線路，我們感謝您的參與。