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expected to fall to the bottom line, management noted that achieving this would be accretive to its overall margin. We note that when asked where is C’s biggest opportunity to take global market share within ICG, 47% of those polled said the biggest opportunity lied within the Equities business. Chart 25: Where do you think C’s biggest opportunity is to take global market share within its IGC business? AT% 50% 45% 40% 35% 30% 29% 20% 15% 10% 5% 0% 31% 22% Fixed income markets Equity markets Banking (Treasury & Trade Solutions, advisory, ECM, DCM) Source: BofA Merrill Lynch Global Research - Lower regulatory constraints versus peers present opportunity. Given C’s strong regulatory position such as its above peer SLR ratio, management noted that it can compete in balance sheet intensive businesses such as Rates while more constrained peers are forced to pull back. In terms of its ability to take market share away from European banks, management noted that European banks are more likely to cede share in Fixed Income and less so within Equity and Banking. ¢ Longer term goal of 14% ROTCE in ICG. Management believes that under a more normalized rate environment and through its work towards improving efficiencies across ICG on back of its infrastructure refinements, ICG should be able to achieve a 14% ROTCE vs ~12% today. Chart 26: Despite material progress, C shares still trade below TBV. What will drive shares to re-rate closer to TBV? 40% 34% 37% 35% 30% 25% 20% 15% 10% 5% 0% Continued Consistent Continued core Accelerated re- Further increase in capital improvement in cost control, with capture ofits simplification of its return from the revenue further reductions deferred tax asset global business $10.4B expected = momentum in legal & (DTA) model return under the repositioning 2016 CCAR cycle charges Source: BofA Merrill Lynch Global Research 16 2016 Future of Financials Conference | 17 November 2016 Bankof America 2 Merrill Lynch HOUSE_OVERSIGHT_014330