Welcome to Standard Chartered PLC half year 2021 results. Today's presentation is being hosted by Bill Winters, Group Chief Executive, and Andy Halford, Group Chief Financial Officer. Once the opening remarks have finished, there will be an opportunity for questions and answers. To ask a question over the phone, please press star one on your telephone keypad at any point during the presentation. Alternatively, please use the question box available on your webcast page to submit your questions. At this point, I'd like to hand over to Bill to begin. Good morning. Good afternoon, everybody. Thanks very much for joining our half year results. I am sitting here in Hong Kong. Andy is in London. I will say a couple things up front. Andy will go through a lot of the details on the half year report. I'll come back for a few thematic comments, and we'll try to save plenty of time for question and answers. Long story short, we think it was a very good, strong first half of the year. Clearly, the profits were up significantly on the back of a much improved loan impairment story. This, we think, is fundamentally attributable to the high quality of our credit portfolio. The numbers are not flattered by big reversals of provisions, but rather by low underlying losses. The impact of low interest rates clearly has taken its toll on our income line. That was substantially offset, but not entirely, by very strong underlying business momentum. We look at our affluent population, that affluent client segment continuing to perform very well, record results in the first half of the year, and the outlook for that business is very strong. The network business has continued to deliver particularly strong results in trade against the backdrop of a stronger global economy and improving trade flows. Getting back into meaningful profitability in our mass market business. Of course, sustainability, which we'll be talking about, is at the early stages of contributing to the material increase in income that we expect from that product line over time. We're very well positioned for that. In addition to pulling the strategic levers that we've been talking about for some time, we are continuing to work the capital very hard. We've restored our interim dividend, resumed the interim dividend, and have announced a new $250 million stock buyback. The objective here is obviously to operate well within our 13%-14% CET1 range, and we will continue to operate within that range dynamically. That, combined with ongoing cost management, will drive the improvement in returns that we have been targeting for some time. I will say before I hand over to Andy that our confidence that those targets are achievable has only increased, I would say, materially on the back of the operational improvements that we've seen in the early part of this year against the backdrop of an improving macroeconomic situation, notwithstanding the ongoing uncertainties. Andy, I'll hand over to you, and then I'll come back for a few comments later. Okay. Thank you, Bill, and good day to everybody. A few slides on the numbers. Slide five to pick up the highlights. Operating income $7.6 billion for the half year, down mid-single digit percentage with client momentum, which was strong, but not enough to fully offset the impact of the rates pressures, particularly in the first quarter. Expenses a little higher, but exactly as we expected, higher because of normalization of variable compensation and because of foreign exchange translation. The big change on credit impairment, a $1.6 billion charge for the first half last year, has become a $50 million credit for the first half of this year, with most indicators moving in a positive direction. We have reduced slightly the management overlay, which was $350 million, now $300 million in arriving at those numbers. That put together gives us an underlying pre-tax profit of $2.7 billion, which is up 37%, and the flow through of that into ROTE is a ROTE print for the first half of 9.3%. In terms of the balance sheet, we have seen very encouraging and strong growth for loans advanced to customers, up 6% year-to-date after six months. The CET1 ratio at 14.1% has, as you will have seen, enabled the recommencement of the interim dividend and the announcement of another share buyback, $250 million, so our second one of the year. Let me go into the numbers there in a little bit more detail. We move on to slide six. This is a walk on the top of the first half 2021 income compared with the first half 2020 income. You can see about $450 million reduction. This is on a constant currency excluding DVA basis. The effect of interest rates is very clear on the right-hand side. Transaction banking, cash activities, and retail deposits. The two of them together is about the $750 million drag between periods. That has been cushioned in reasonable part by the strong performances of the products on the left. Wealth Management, which I'll come on to in a minute, but had a record period. Retail mortgages, strong. Trade in transaction banking, very strong. Lending, also strong. The bottom chart is doing the walk between the first quarter of 2021 and second quarter of 2021, about a $250 million reduction there. Part of that is Wealth Management, not quite as strong as in the first quarter. Still strong, just not quite as strong. We had some realization gains in treasury in the first quarter that did not recur in the second quarter. I think quite importantly, the impact of interest rate reductions on the right-hand side have reduced significantly compared with what we saw for the full period. The areas in green, mortgages, et cetera, continued to be the ones that moved us forwards. On slide seven, we have got the net interest income summarized. You can see on here, overall, we had about a 7% reduction in the net interest income first half, playing first half last year. However, that was really a story in two parts. The first quarter, we saw the net interest margin drop by 20%, which was clearly very difficult to cover through client growth. In the second quarter, that reduction was more in the 6%-7% range, and in very large part, that was made up through the strong client growth. Within the numbers here for the first half, we have got an adjustment, favorable adjustment of $73 million. We did not previously record income from impaired assets. We have now aligned with what the industry is doing. There will be some more to come on this. We'll expect probably a similar amount to come through in the second half, possibly more in the third quarter, a little bit in the fourth quarter. That has given us, in the first half, the $70 million benefit on income, which is worth about five basis points. The NIM on an adjusted basis, if you take that out, has declined from 122 basis points to 117 basis points. Essentially, three reasons for that. First of all, HIBOR has continued to decrease slightly more than we had hoped for earlier. Secondly, we did realize some treasury gains during the first quarter, and those have been, for the moment, reinvested in cash, but when there are more profitable opportunities to invest that, we will move them there. Thirdly, to assist the ROTE, and bearing in mind the 9.3% ROTE print, we did do a bit more repo activity in the latter part of the period, and therefore that has benefited ROTE, but mathematically is slightly detrimental to the NIM calculation. The key point, just to reiterate, is that the customer growth remains strong, and overall, we have seen those two pretty much net each other out during the period. If I can move then on to slide eight. Just to take a quick snapshot on a couple of product areas. This is Wealth Management. This is the income print going back over 10 quarters. The bars across are showing the average income in each of the first half years of the last three years. You can see quite clearly here that whilst 2020 and 2019 first halves were, on the average, pretty similar, we have seen a big jump in 2021, an encouraging jump there. The first quarter 2021, particularly strong. But even that year, second quarter is the third highest, and it has been an area that has continued to do well. The investment we have made here, I think has been paying off. We have seen an increasing proportion of transactions going through digitally. Asset under management is at record levels, and we have been very, very enthused by the progress we're making. This is spread across quite a number of markets, Hong Kong, China, Korea, Singapore, all doing very well. Moving then on to slide nine. The equivalent chart on financial markets with a slightly different profile. 10 quarters again. Now, you can see that the 2021 first half is fractionally lower, about 3% lower ex DVA, than was the case in 2020. 2020, for the reasons we're all familiar with, was a very exceptional period. Actually, if you compare what we've experienced first half of this year with the actual experience two years ago in 2019, then you can see a very, very significant increase in the performance there. In the first half, we were particularly strong in the credit space, slightly less so on the macro space. Overall, the financial market's performance has been very strong, very resilient, and we again are enthused by what we see, a good exit to the quarter. Moving then on to the view by customer segment and by region. I'll keep this reasonably high level. We're now, in the first half year, we've been at the two customer segments. The corporate side, which is roughly 60% of our income. The consumer side, bottom left, which is about 40% of our income. The corporate side went slightly backwards on income, but that is almost exclusively in the cash management part of the business, the rates affected part of the business. The rest of the products actually were pretty level. We had tight control of expenses. We saw a huge reversal in credit impairment. Consequently, profit before tax up 42% and return on tangible equity for the corporate business now just above 11%. The consumer business, on the other hand, actually saw a slight increase in income. Wealth Management income and mortgage income, more than offsetting the pressure on the deposits side of the consumer business. Credit impairments also a lot lower, about 1/5 of the level of a year ago. That enabled a near doubling of the profits for that segment. The ROTE now at 14.5%, a big incremental jump from last year. In terms of the split by regions, on the right-hand side, biggest region obviously now is Asia, now that we have combined the two Asian regions into one. I think a steady performance there. Despite everything that's been going on, particularly interest rate effects, which have been significant. The income there actually was pretty much flat on a year ago, and we have seen a good performance in a number of the markets there. I think I'd particularly call out China. Second quarter there, above 20% increase in income. Korea actually also 20% increase in the second quarter. Hong Kong has been very resilient and Bill will talk more about that in a minute. India, despite COVID, has also been very resilient and again, Bill will pick that up in a minute. Africa and Middle East, income essentially flat, slightly stronger in Africa, slightly less strong in Middle East. Overall, again, impairment-driven, we have seen the operating profit, the pre-tax profit go up about five-fold to record levels going back over, I think, now five years. Finally, Europe and Americas, slight reduction on income, primarily about financial markets volatility, et cetera, but fairly stable on profit before tax. Moving then on to expenses on slide 11. Probably the most important chart, I think, is the one at the bottom. We printed $4.7 billion for the first half of the year ago. If you normalize for foreign exchange and normalize for our performance-related pay, you explain the vast majority of the increase up to the $5.1 billion print. The small delta between those two is a very deliberate delta. We have invested more in digital ventures. The $60 million increase there is investment in businesses like Mox, like nexus in Indonesia, et cetera, and that is clearly an area that we are very deliberately targeting. We have reiterated our full-year guidance remains as previously, below $10 billion, plus the FX adjustment, plus possibly some increment on performance-related pay, depending upon how the financial performance for the year overall ends up. Moving on to slide 12 on the credit front. As I said earlier, a significant reduction, in fact, reduction stroke reversal. Most of the indicators here, I think, are looking in a reasonably settled position. Obviously, we are keeping a close eye on them. Credit quality, you can see from the various charts below, after the peaks that we went through in the early stages of COVID, which I think are very visible on that bottom left chart, those now settling down. It's actually quite interesting on the early alerts. If you separate out aviation and hotels and tourism, we are very similar now to the levels that we were at pre-COVID. We have got strong cover ratios there, and we have got, I think, the vulnerable sectors as a relatively manageable part of the overall balance sheet. Whilst we know that there's still obviously some pressure points out there, the direction of travel looks good. And the loans subject to relief has also reduced period over period and continues to do so. And we've said for the remainder of the year that barring major events that are unforeseeable, we'd expect that the impairments will remain at a low level. Moving then on to slide 13, our normal risk-weighted asset and CET1 chart. Nothing particularly memorable. I think here the RWA has grown very much in line with the growth that we've had in client demand, which as I say, has been strong. We are working very hard on maximizing returns on the risk-weighted assets, still intending that the full year will see about a mid-single digit growth in RWAs overall. The CET1, the 14.4% of last year moderated very slightly to 14.1%. Essentially the investment in client loans, et cetera, the RWA effect of that and profit after tax broadly offsetting each other. The $250 million buyback, which will decrement the 14.1% by 0.1% in the next quarter. Of course, do remember that we have got software in here, which on the first of January next year will disappear. That's about 0.3%. If you take those two out, we're sort of on an underlying 13.8%, 13.7% after the buyback. In conclusion, looking ahead, we are enthused by what we have seen in the first half of the year. Whilst the NIM is slightly weaker, the customer growth slightly stronger, therefore we have continued with our guidance that we would expect the income overall for this year to be similar to last year on a constant currency basis. That we'll get back into the 5%-7% range from next year onwards. Expenses, as I said, reiterating the guidance there. The credit impairment, we would expect it to be low for the remainder of this year. On capital, we will continue to very actively manage that within the range more so going forwards, and we will manage it dynamically. To the extent there are opportunities, we will invest it. If there are not, we will return it. With that, I'll hand back to you, Bill. Great. Thank you, Andy. Just picking up on page 16. Why are we confident that we can hit the ROTE targets, including the milestones that we set out along the way, the increasing return on tangible equity above 7% in 2023, by 2023, and then sorry, above 10% in the medium term? We're pulling every lever at our disposal. We know we've got a backdrop of good, strong business momentum, overcoming the impact of lower interest rates stubbornly but determinately. Loan portfolio appears to be in very good shape, so we're very happy with the credit performance through this cycle. It would appear that as we return to something closer to our normal through-the-cycle credit cost, that that's going to take quite a bit longer than might have been the case otherwise. Of course, we are maintaining our discipline to see if we can reduce that through the cycle of credit costs. We will operate dynamically within this 13%-14% CET1 capital range, as Andy just said. The dividend and buyback will take us down after the accounting change into that 13.7% and 13.8% range. That leaves us with plenty of capacity to continue to invest organically, as we have been. Investing as much this year as we ever have. Also to take advantage of inorganic opportunities should they arise. As we've always said, to the extent that we're looking at an inorganic opportunity, we'd want to see that both there's a very important strategic fit, but also that the returns would be in excess of the returns that we could get via our other uses of that capital, whether that's other organic uses, recognizing that we're already pretty fully invested right now organically. Obviously returning capital to shareholders, in the form of buybacks. Bottom line, we feel very comfortable with the performance in the first part of the year, and comfortable that it's allowing us to move forward with confidence that we're on the right track to hit the financial targets that we have set out and continue to course. On page 17 and page 18, I'm going to dig in a little bit on Hong Kong and China. Because in addition to being, in many ways, the earnings core of the bank, they're also some of our most exciting growth opportunities. On page 17 in Hong Kong, in a nutshell, what we see is return on tangible equity in the first half of 2021, despite the impact of lower interest rates and HIBOR, LIBOR compression, we're back almost to the record ROTE levels of the first half of 2019. This is driven by capital efficiency, by resumed income growth, and Andy mentioned the very strong wealth results. As well as the interplay between Hong Kong and China, and the opportunities that we've been able to exploit to provide our clients with cross-border services, whether it's in payments or financial markets or capital raising. Increasingly going both directions. That Hong Kong-China nexus is critically important to us and driving substantial growth. That, in addition to the very aggressive digitization strategies that we've been rolling out in Hong Kong. Mox will talk about a little bit when we get to the digital initiatives. Give us the confidence that this earnings engine is able to not just thrive but continue to grow. If we look at China has had very, very strong compound growth and income and profits over the past several years. When we look at first half 2021 profits at a record level. We look at double-digit return on tangible equity and income up 20% year-on-year. This is coming from good solid banking business. This is coming from cross-border payments and trade. Cross-border, obviously financial markets and associated investment dealings. Significant growth in our Wealth Management business. We're just beginning to tap into the opportunities that are created through the policy loosening around the Greater Bay Area. Which as you know, is a set of policy initiatives that have been announced by the leadership of China to open up the border effectively between Hong Kong, Macao, and Guangdong Province. Where we have a strong position, very strong in Hong Kong, very strong in Shenzhen and Guangzhou. Including setting up a new operational hub in Guangzhou, for technology and operations. This opportunity for us to exploit the very strong position, strong brand, super strong legacy positions, as well as penetrating the new economy, has driven a lot of our growth in China, benefiting Hong Kong as well, and will continue to drive that growth. We feel very, very optimistic, and in fact, increasingly optimistic about the opportunities in that Greater China market. If I could turn now to page 19, to hit on these four markets that we called out a couple of years ago, as some of the bigger drags on our aggregate returns. I'm happy to report that we continue to make very strong progress. I'll say in some cases, against the odds. The India results have been very strong with compound growth and income of 15% over the past three years. Continuing strong into the first half of 2021, despite the horrors that we've all witnessed firsthand around the ravages of the pandemic. This is on the back of increasing penetration of our corporate customer base, good business banking flows, and an increasing shift of our retail business to the affluent population, but also a heavy focus on digitization. Feeling very comfortable about the progress that we're making in India. Korea is a great success story. When we think back three, four, five years ago at what a drag it was on our returns. To see now generating record profit with good steady income growth, excellent cost management, and an improving return on tangible equity. We're very comfortable that we're on the right track in Korea. Still a very difficult market, make no mistake. We've made tremendous strides in that market. It's an indication what this bank can accomplish when it sets its mind to it. UAE, big turnaround. Obviously, an ugly loan impairment story last year. Much improved this year. Income has been sluggish, but we managed that through reductions in expenses and improvements in the capital position to generate substantial increase in operating profits. In Indonesia, a more challenging environment. A little bit more attractive on the income side. Managing the costs. It continues to be a challenging period certainly from a macroeconomic perspective, and the pandemic consequences in Indonesia have been difficult, but we think the franchise is fundamentally in good shape and has the ability to improve substantially. If we move on to page 20, comment a bit on the CCIB network business. As Andy mentioned, very good growth in trade volumes and improvement in trade income on the back of an improving macroeconomic environment. Also as trade flows reconfigure and supply chains reconfigure, we're seeing more and more of our trade business within the Asian region and within Asia, Middle East, and Africa. U.S.-China trade continues strong, despite the geopolitical tensions. An increasing share of our business is coming from the regions and the markets that we actually know very well. That combined with very strong financial markets results are driving the higher return on tangible equity in the CCIB in the network business relative to the rest of the CCIB. We expect that to continue, especially recognizing that the overall impact of the interest rate reduction in CCIB has been material, including on the network business. Turning to retail on page 21, for the two blocks of our business. As Andy's mentioned, I mentioned record results on the affluent client side, 162,000 new affluent clients. Importantly, 2/3 of those have come from our mass market client base. These aren't just redesignations of clients from one bucket to the other. These are clients that have increased their assets under management with us to cross our priority threshold and are actually actively dealing. That, of course, is driving the Wealth Management results. Why is this working? Well, first off, we're offering a much higher level of service to our mass market clients, through basically better digital offerings and better customer service. This obviously increases the brand affiliation of those clients. We're exposing them to our Wealth Management capabilities, which are excellent. Net Promoter Score scores just coming out this week reinforce the very, very strong position we've got in terms of relative positioning with that priority client segment, leading in many of our markets and top tier in virtually all of them. These are encouraging signs, both around the outright growth of our affluent business, but also around the ability to migrate our mass customers to affluent as we increase our mass base further and further. The mass retail business itself is seeing some pretty exciting rollouts of digital initiatives. nexus, which is our banking-as-a-service offering in Indonesia, offering a full range of banking products through the Bukalapak, initially e-commerce platforms, technically going very well. Obviously, we're still in testing. We'll have the full public launch later in the year with a layering in of important credit products over the early part of next year. That combined with what we've done with Mox and the early stages or actually maybe advanced stages of planning for our Singapore digital bank, the African digital banks, and the ongoing digitization of all of our businesses end-to-end, combined with the specific focus on improving the profitability of our credit card and personal loan business, are taking that mass business and reintroducing growth, and also giving us a clear prospect of getting to returns that can be accretive to the group rather than the drag that they have been in recent years. If we move to page 22 on sustainability. Our objectives have been dual. First is to be a thought leader in the space. There are some incredibly challenging situations for our clients and therefore for ourselves in terms of transitioning to net-zero. Our MNC customers are requiring their suppliers to have their own transition plans. Even if some of our markets haven't articulated sovereign objectives or government objectives around transition to net-zero, we know that the pressure is on our supply chain clients, nevertheless. We're helping them to understand their exposures, but also to finance the transition to net-zero. Double-digit sustainable finance income year-on-year, evidence thought leadership in terms of the transition pathway to net-zero for a bank and for a number of the industries that are most important to us, including oil and gas, metals and mining, shipping, aviation, where we put out very, very specific thought pieces on the transition to net-zero, identifying what the financing gaps are, seeking all the possible means to close them. Page 23 and 24 is a quick summary of the various digital initiatives that we have undertaken so far. I'm not going to go into a lot of detail on these. You can read the slides. We're also going to do a deep dive in September. What I would say, though, is that these ventures break down into basically three things, together with the digital initiatives inside the main bank. The first are things that we just need to do because our customers demand them. You call it table stakes. To some degree, what we've done with the African digital banks and some of our other ventures have been table stakes. These are things that we need to do just to keep pace with the market. What we've done is in many cases, including the African digital banks, is to do them sooner and faster, which gives us actually the ability to create initially mini platforms and then ultimately, much more substantial platforms off of which we can grow substantially. The second bucket of things to consider are platforms that we're building from scratch. When we look at Mox, or we look at Solv in India, so Mox, our digital bank in Hong Kong. Solv is an SME platform in India, where Standard Chartered is a participant, frankly not a material participant. It's a platform for SMEs to identify and connect with their suppliers, their customers, their financial services providers, their professional services providers. We're still in testing there, we've got 60,000 customers on that platform. We've got now up to 3.5% of the population of Hong Kong signed up to Mox with leading customer satisfaction scores. These are opportunities for us with our partners to create platforms that could become the sort of ubiquitous usage tools in some of these markets. The third are outright new business models that we developed. When we look at things like Zodia, which is our digital asset custodian, or Assembly, which we recently merged with CurrencyFair, which is a new approach to cross-border payments, primarily for the digital economy. These are new business models that will disrupt existing business models. They could disrupt parts of Standard Chartered business model. Of course, the objective in each of these cases is to create these valuable platforms or valuable business models ourselves rather than to have somebody else do it to us. Also giving us a tremendous opportunity to reconfigure our own businesses in anticipation of the competitive threats that are coming because we're developing some of those competitive threats ourselves. If I can move to page 25. Talk about something that we initially called our Bold Stands. We'll just call them Stands for short now. These are a set of aspirations that go beyond our conventional budgeting or planning process. These are aspirations that are an extension of our strategy, but that we think could have a meaningful impact on the communities in which we operate, and to the extent that we can lift ourselves out of our own day-to-day routines, can get us to a different place in terms of our own impact on our own financials. In short, Accelerating Zero is a way to go even faster to get to that net-zero economy through identifying the transition financing tools, the metrics that we can use, bringing together different pools of capital and partnerships in order to advance the pace at which we can progress to net-zero. Lifting Participation is our attempt to take the extensive network that we've got through micro-lenders, through our own business banking and partnerships that we can set up through our retail and affluent banking propositions. In particular, the emphasis that we've placed over the past several years on promoting female-led businesses, be they single entrepreneurs or women in tech. We've made tremendous advances in terms of empowering that relatively underrepresented group of clients and potential clients of ours, where we know there's a substantial multiplier effect in terms of the creation of jobs and wealth in local communities. Finally, Resetting Globalization, recognizing that globalization itself has been the greatest contributor to the alleviation of poverty. It also created quite severe hardship on the part of some of the people that were left behind. It was characterized, in many cases, by elements of inequality or unfairness in terms of trading patterns or the distribution of the gains of globalization. We've taken a step back and are developing a set of thought pieces and an action program to understand how can we, as Standard Chartered Bank, promote good, clean, fair trade, balanced, equitable in a way that allows globalization benefits to be realized without sliding back into many of the negatives that have generated consequences for us, which we're living with today. If I could just conclude on page 26. We're absolutely committed to hitting our return targets and very confident that we can do so by taking advantage of the business momentum that we've got, pulling every strategic lever at our disposal, managing our capital hard, continuing to manage our expenses extremely well, and not hesitating to innovate and to disrupt. More on all of these things no doubt in Q&A, but also in our sessions with investors to come over the coming months. Thanks again for tuning in and listening, and I look forward to a good, robust set of questions and answers. Can we turn back to the moderator for some questions, please? We will now begin the question and answer session. If you wish to ask a question via audio, please press star one on your telephone keypad and wait for your name to be announced. To cancel your request, please press the hash key. Alternatively, please use the question box available on your webcast page to submit your questions. The first question comes from the line of Omar Keenan from Credit Suisse. Sorry, Omar just disconnected. First question comes from the line of Nick Lord from Morgan Stanley. Please go ahead. Thank you very much, and thank you for taking my question and for the presentation. It's just a question about those income targets for the second half of the year, I guess, or the full year. Two points. Any indication as to what the size of a catch-up would be in the second half, which you mentioned? Probably more substantially, I just wonder if you could talk a little bit about your assumptions on financial markets revenues for the second half. Clearly, second half last year obviously fell off from a very strong first half. Just wondering if you could talk about seasonality and what sort of I think, Andy, you mentioned that there were indications of a very strong end to Q2. What sort of indications are you looking at that give you confidence on second half financial markets revenues? Maybe I could start off with your second question, Nick, on financial markets, and I'll let Andy answer the tougher question, the bigger question around the aggregate impact in the second half. Look, our financial markets business has been steadily improving. It has been steadily improving both in quality and quantity. Andy showed the quarter by quarter size. Of course, it's also volatile. We recognize that, the first quarter was exceptionally strong. Second quarter was also strong, although not compared to the second quarter last year, which was a record quarter for us. When we can draw a line through the underlying trends, and then, of course, this is something that we are able to do with all the information that we have inside. It's always hard to communicate outside. We see a much broader range of businesses. We're firing on several cylinders now. Our spot FX, our forward and options FX, our credit trading, credit origination and distribution, commodities business has done well. We've got a range of strong businesses in financial markets now that go beyond what we had historically, which was very concentrated in spot FX and a bit of forwards. That's the first thing to note, that there's been a structural improvement in quality. Second is while we don't have a huge U.S. capital markets franchise, which makes it a little bit hard to compare us side by side to either the Americans or others who have a meaningful U.S. presence. We do have a very substantial local markets, emerging markets set of capabilities, which are very strong. Usually number one in almost every case, top three in our markets. As investors continue to hunt for yield, that's a very good place for us to be, both in the currency and the credit market. While it's very difficult to forecast quarter- to- quarter what the financial markets earnings look like, we are encouraged by the strong finish to Q2. Q3 has started off fine. There's always an element of seasonality, which we will factor in. August typically is slow, and September begins to pick up, and then the fourth quarter picks up a little bit further seasonally. This year could be different. That all said, I think we're impressed by the quality of the business, and we think that there are structural growth opportunities in that product line, and we've seen all the evidence of that in the first half of the year. Nick, on your first question, I guess a number of moving parts clearly here. We have got the margin a little bit lighter than we would have envisaged three months ago. We have got the customer growth, which I think has been at the higher end of the range of our expectations. At this point in time, it shows no signs of abating. We have got the sort of catch up on the interest recognition, which, as I said, we should have probably something similar to the $70-odd million that we took in the first half coming through in the second half. Put all of that together with saying similar to 2020 levels on a constant FX basis. That's still where our minds are at. FX at the half year, projecting full year is sort of $300 million or thereabouts effect. Obviously that will move around as we go through the balance of the year. I think last year's number plus that $300 million in that sort of range is where our minds still are. Thank you very much for that. I guess, are you assuming some seasonal slowdown in financial markets within that? Are you not sort of thinking of that level of granularity, you think it'll come in on the wash? Well, it's a difficult one, isn't it? December obviously is normally a quieter month for us or any bank, I guess. If you look at the second quarter, we were slightly quieter for the first two months. We were slightly busier in the third month, the month of June. Trying to draw a trend line off that is not the easiest of things. I think if you project forwards that roughly the levels of income that we saw in that second quarter projected forwards get you to broadly that sort of stable number over the course of the year. If you think that April and May are sort of empathetic with a December experience, then I think we have implicitly put some seasonality into it. As we all know, it's not the most easy of businesses to go and accurately project to that extent. Okay. No, that's clear. Thank you very much. Next question comes from the line of Omar Keenan from Credit Suisse. Please go ahead. Hello. Thank you very much for taking the questions. I just wanted to discuss the outlook for net interest income and the shift from securities to cash. The guidance that NIM would be stable at 117 basis points for the remainder of the year. Can I firstly ask, would you be able to talk about the capacity to redeploy cash into securities or to extend treasury asset duration further? If possible, if you could give us some insights on the size, that would be great. The second part of the question is, does the stable NIM guidance reflect an expectation that the redeployment might not necessarily happen in the rest of this year, perhaps because where yields have come down to today? If not, what are the various triggers for that to happen? Finally on loan growth. The 6% growth in the first half is obviously very good. Can you help us think about the outlook for the second half? Are there any temporary loans or IPO loans that we should consider? Is the 30th of June base a good base to grow off? Thank you. Andy? Yeah. Okay. Omar, we had in the first quarter the opportunity to realize some of the treasury investments and make a profit on those and lock into those gains. The question is, okay, we've now got the cash. What are we going to do with it? We have had good client growth, so some of it has been invested there, but we've still got the surplus sitting in the treasury space. I think as we pan forwards, one of two or three things will happen. One, is we will see some pickup again on yields. Those obviously have receded a little bit. Bond yields have receded a little bit just recently. If we see those perking up again, then we will redeploy that into that space. If there is more client growth, we can redeploy it there. We look at the balance of liabilities that we're raising and take out some of the higher cost liabilities. We're sort of sitting there, I think, in a good position in many respects that actually there are several choices available to us as we move forwards. We don't need to rush on it. If we do see a pickup, for instance, in longer term rates, we can make a move on that as and when we feel it is appropriate to do so. On the loan growth itself, we are 6% up year-to-date. I think we were 2% up in the second quarter alone, and obviously we are encouraged by that. It is a little bit lumpy by market, on the other hand, across 60 markets, we tend to get the sort of law of averages applying. Some people were concerned that we were going to catch a cold with India. Overall, actually, the Indian business has done remarkably well through a very difficult COVID period. Countries like Bangladesh, Indonesia, et cetera, obviously taking some of the brunt of COVID at this point in time. Not significant to our overall numbers, but ones which we are closely monitoring. We will keep the focus upon the loan growth as much as we can do. As I said several times, we are very focused upon the RWA implications of the loan growth. We want the RWAs as best we can do to come out in the sort of mid-single-digit range, increase range for the full year overall. Hence the constant monitoring of the returns we're making on the RWAs and looking to improve the lower returners or exit those in some instances. Put those together, and that's sort of where you get to in terms of the underpinning for our similar income number projection for the full year on a constant FX basis. Okay, that's brilliant. I can just check the 117 basis points underlying. That doesn't assume that there will be a redeployment in the second half. If there is the opportunity, then there might be some upside to that number. Yeah, I think it would be fair to say that we've not put a lot of upside there. There could be a bit more from it, but we will see how the next few months progress. Okay, great. Thank you. Next question comes from the line of Yafei Tian from Citi. Please go ahead. Hi. Thank you for letting me ask the questions. The first one is around the Wealth Management business. We've seen very strong growth in first half and last couple of quarters. I want to understand a bit more granularity around the Wealth Management business. Can you give us a bit of a split, how much of the revenue is coming from private bank, how much is from mass market customers, for example? If you can give us an AUM split in that will be appreciated. Furthermore, maybe by products, how much coming from insurance, mutual fund distribution, and other more volatile items like brokerage. Second question is around the capital return. I think you sounded very positive in the capital return, particularly through buyback. You also flagged that there will be potentially more buyback after this $250 million number. Just wondering from a timing of returning that surplus capital and also the split of buyback versus cash, how are you thinking about that? One of your peers mentioned about potential M&As, and I think you mentioned M&A is also in your consideration. How is that going to impact the surplus capital return? Thank you. Andy, do you want to take a first stab and I'll add any color? Yeah, sure. The Wealth Management performance has actually been driven across most product areas. We derive a lot of the Wealth Management income from our affluent priority clients and a lesser amount from the private bank clients, but nonetheless, not inconsequential amounts from there. The asset under management, as I said, have grown. I think it was about 10% by memory, and that has been clearly a huge underpinning of it. I think if you recall, we've had about an 8% CAGR on our Wealth Management income now, going back over several years. This is sort of not a new phenomena. In fact, it goes back over about 12 years. I think the focus we have had recently on digitizing the business, on making it more accessible for customers. A big area of focus now is to actually sort of normalize the penetration we've got across different markets. As I said earlier, this is not all about Hong Kong or all about Hong Kong and Singapore. China has done well. We see huge potential sitting there. Korea has also done very well. It's really been quite multiple in its effect and in its drivers. I wouldn't call any particular element out. On your second question on capital returns, we continue with our previous mindset of saying if there are profitable opportunities to invest capital, whether that be organic or inorganic, we will absolutely look at those first. If there is still surplus left over after doing that, then we will look to return it. We have been above the 13%-14% range for particular reasons over the last year and a bit. Those reasons are receding, therefore we intend to be operating within that range as we go forward over several quarters. We will operate dynamically within that range. We will assess probably more so each half year, we will certainly assess where we think we have got surplus and witness the fact we've done two buybacks all here for now. The second of two buybacks, I should say, for this year. We absolutely are prepared to do buybacks, only if there are not more valuable ways to deploy that money. We are very, very clear that getting the ROTE up is the big target here. We've either got to get the value or we've got to get the E in ROTE down. We will do one of those two to maximize the time that it takes or improve the time it takes to get to that double-digit ROTE. Maybe I'll just add a little bit of color on the Wealth Management side. I think implicit in the question is the competitive environment. Lots of people have been talking about making big investments in Wealth Management or pivoting to Asia or things like that. Thankfully, we don't need to pivot to Asia because we never pivoted away from Asia. Thankfully, we don't need to reinvest massively in Wealth Management because we never under-invested. I would say that we, of course, we've lost some people, although more of a junior variety than a senior variety. There's been small adjustments to pay, probably big in the context of the individuals, but small in the context of the group, to address the competitive threats. Much more important than that is that we are evidenced as a very attractive destination for very strong relationship managers who come to work. We've been able to attract outstanding talent, including a new head of our affluent client franchise, including the private bank, who's coming from a first-rate private bank and who brings with him extensive affluent market experience. Beyond any individual, we've hired dozens and dozens of people who have come to Standard Chartered because of the full range of products that we offer, the consistent excellence that we've evidenced, the number one Net Promoter Score in many of our key markets, and very high customer satisfaction. The fact that we're unconflicted, so we manufacture very little of our own product. We don't have an asset management business. For the most part, we're sourcing structured products from the street. While we are deprived of the manufacturing margin, in those cases, I think we've more than offset that by having an extremely attractive platform for first rate RMs to come and operate. We're seeing that play out now in China. Obviously, it's an earlier stage in the evolution of the wealth market. We don't think we can be better positioned, in terms of the ability to step in and serve Chinese clients who are increasingly able to invest their funds in a diversified portfolio of international assets. Really, really happy with the progress that we've made on the wealth side, and even happier with the positioning from here. Absolutely and competitively. Thank you. Thank you. Next question comes from the line of Robin Down from HSBC. Please go ahead. Good morning. One sort of small technical question and one question on the Wealth Management. On the technical side, I haven't seen you call out the IPO-linked lending within the numbers. I don't know if that's something you could quantify, how much of the kind of 6% growth in the first half has come from that. I guess that's kind of volatile from one quarter to the next. The second broader question, really just on coming back to the Wealth Management side again. Just wondering if you could give us any kind of color of expectations in the second half, whether things like the closing of the Chinese border and a lot of the news flow that's been coming out of China, whether that's going to have an impact on the business in the next few months. Whether you see much potential from the Wealth Connect when that goes live. Just any kind of color you can give us on the outlook for H2 would be appreciated. Thank you. Good. Andy, why don't you take the lending question, and I'll take the Wealth Management question? You can take both, and I can add color. Well, on the lending question. There has been some IPO activity within period, but nothing that actually straddles end of period. The balances you've got loans and advances is not inflated or distorted by IPO activity. Therefore, the answer I think to your 6% question is zero. In terms of Wealth Management, I think that we have had a good momentum, and there is no reason to believe that good momentum will not be continuing with us as we go forwards. It is obviously, to some extent, sentiment based, and we do need to accept that in a period when some countries are still impacted by COVID, that there could be some impacts from that. Generally speaking, I think the momentum there has been good, and it's obviously very early stages as we move into the second half of the year. The second quarter, slightly moderated from previous, but still, as I said in one of the earlier slides, operating at pretty robust levels. It is spread now across more markets, so that is also encouraging. I hope we'll be able to keep the sort of second quarter momentum going through the balance of the year. Yeah. I would just underscore what Andy said. One, the wealth business, like financial markets, but in different ways, is sentiment driven. The equity market correction in China, is I would say in the short term unhelpful, I say in the very short term unhelpful. When you get into the longer short term or the medium term, it may actually be helpful because Chinese savers are ever more focused on finding ways to diversify their portfolio so that they're not too concentrated into either one asset class or one sector. Wealth Management Connect, and I think your question is quite an appropriate one. Wealth Management Connect, there's the early stages of an opportunity for investors, savers in China to diversify their portfolios. It would be a mistake to overstate or to overestimate what the impact could be, because the way that Wealth Connect will roll out is. By the way, we're extremely well prepared for Wealth Connect when it rolls out in terms of setups and partnerships and the like. We expect to be a first adopter and move very quickly. There's still quite strict limits on the type of investments that local savers can make. Typically in lower risk fixed income type products. There's obviously still a limit on the quantity. The policy, the stated policy intention is to relax each of those through time. Over a number of years, we'd expect to see a very substantial opening up, and not just in the Greater Bay Area but beyond. Because obviously Greater Bay Area is a bit of a pilot for the country as a whole. The opportunities to extend, obviously to the much larger population in China, but also to a broader range of products, is a very compelling proposition over the years. We're not going to see, when this thing kicks in over the next few months, we're not going to see an explosion of activity on day one. It will phase in. We do think it'll be meaningfully impactful. As Andy and I have both pointed out, we've generated very strong growth in the wealth business without the GBA Wealth Connect. That's before the Wealth Connect platform has kicked in. We're very optimistic that there's great growth there, and that will just be accelerated by the GBA Wealth Connect. Great. Thank you. Next question comes from the line of Joseph Dickerson from Jefferies. Please go ahead. Hi. Good morning. Most of my questions have been answered. When I look at the portfolio that you've outlined on slide 24, you look at things like the climate impact, the Mox, the Zodia Custody, which is quite interesting. I guess this portfolio gives you quite a bit of gearing into secular trends. How do you expect to monetize this over time? I think we can probably agree that it's not reflected in the current share price multiples, if you look at where some of the, certainly the private sector comps are for these type of businesses elsewhere. Any thoughts on how over a, I don't know, an N-year view, you expect to monetize these and realize value for shareholders would be great, because they're very interesting businesses. Then I guess coming back to the capital distribution question and asking in a different way, which is, how much of the excess capital would you be willing to use on acquisitions? Would you consume down to 13% Common Equity Tier 1 on a potential deal if it could lift your ROE up? How do you think about that? Thanks. Okay. Yeah. Thanks for the questions. I think that the first part of your question is really two parts. One is how do we create value, and second is how do we monetize it. We are creating value by offering customers something that they can't get somewhere else. Whether that's in the digital banks in Africa, Hong Kong, Singapore, obviously each very distinct operation, Singapore perspective. What we're offering is excellent customer service, and that's what our customers are telling us. To the extent that we've got the good underlying platforms that we can layer on more profitable products. The most obvious ones are various forms of credit, secured and unsecured, and then eventually Wealth Management products. That's where the money will come. Now, in a higher rate environment, we'll make money on deposits and payments, but not in a zero rate environment. We all know that. We're the first of the digital banks in Hong Kong to launch a credit product with credit cards. Quite cool. My Mox card is both a debit and a credit card. On my mobile phone app, I can decide which mean I want to use for a particular purchase, or I can split it as I wish. These are things that customers want. They're reacting to it extremely positively. We got a very good turnaround time on new credit customers and a high but not very high approval rate. All in all, as we take these platforms that have got quite a bit of traction and ownership and sponsorship, we can layer in products, obviously, that customers want, that are profitable in and of themselves. We expect these things to be profitable and accretively to our returns profitable in their own right. For the new business models, as they take something like Solv. Solv doesn't need to be owned by Standard Chartered. I think our ability to set Solv up, to create it, was absolutely informed by the challenges that we saw our small business clients experiencing in their operations. We clearly retooled it a bit during COVID times because the needs are different, which has actually been a fantastic both learning experience and customer acquisition experience. Will that be a profitable venture over time? Absolutely. I have no doubt about that. Do we need to own it? No. Can we combine with other platforms so that we have a bigger stake? Sorry, a smaller stake in a bigger platform, creating market value and capital value? Possibly. Should we sell it at some point? Possibly. Do we become a big service provider into that platform, given our knowledge of it, and generate accretive earnings that way? Possibly. We'll be talking a lot about this in September, so I don't want to take too much time now. We can create value by offering customers something that they value, and we've done that in each of the ventures that are listed on this page. We can monetize that value through profits or through sales or partnerships or mergers, and all of which is on the table. We've done some of that already. I mean, the merger of Assembly and CurrencyFair, which was done at, yeah, it's always a win-win of these things, but it was done at quite an attractive valuation for the thing that we built in Assembly, relative to the private market value of CurrencyFair. It's because we had something that was of value, and we'll continue to look for those opportunities. I'll just take a first stab at the how much could we spend on acquisitions because I think Andy Halford's kind of covered this. If we're sitting at, once the accounting changes have passed through and we've completed this $250 million buyback and obviously the interim dividend, and we're sitting at 13.7% or 13.8%, that leaves us meaningful capacity to execute either an increase in investment organically, inorganically, or a return to shareholders. Where we settle out in our 13%-14% range, as we said, we're going to manage that dynamically. Where we settle at any point in time is going to be a function of our own confidence in the quality of our earnings. I can tell you that we think the quality of our earnings is very high right now. It's a function of our own confidence in the quality of our credit portfolio. I can tell you that our credit portfolio quality is very high right now. Obviously, our outlook in the economic and political environment still some meaningful uncertainties. I mean, we'd be naive to think that the fact that we navigated as well as we have so far means that we couldn't hit some bumps in the road, especially given the markets where we operate. We'll look at those three things and decide where we want to be in the range, and obviously compare that to the opportunities that we've got through either return of capital or investment. Do you want to add anything to that, Andy? That's kind of the big question of the day, I think. Pretty clear, I think. Yeah. Just to add to your first one rather than the second one. Given, as we all know, the very differential multiples that are being applied to the sorts of businesses that we've got on this slide versus the dinosaur historic banks, we are giving some thought to how we can make the visibility of some of these ventures a bit clearer. Merely telling you that $60 million of our cost increase has gone into these sorts of areas probably doesn't actually do very much for showing what we believe real value creation is. The investor session we'll do in September will be a sort of first step in terms of how can we give more visibility to this. Beyond this year, we'll certainly look at what we can do to enhance the visibility of these ventures. They may be relatively nascent now. We do think they're genuinely very exciting and valuation wise, they should not be underestimated. That would be helpful. Thanks. Next question comes from the line of Guy Stebbings from Exane BNP Paribas. Please go ahead. Good morning. Thanks for hosting this, for taking the questions. Just one on revenue, then one on costs. On revenue and really on guidance for 2022. You're guiding for the 5%-7% growth next year. From a base, which it sounds like could be $140 million or so, flattered by the IFRS 9 benefit to NII. Just want to check implicitly, are you assuming that you'll be delivering growth sort of above 7% in 2022 from that kind of rebased level? I appreciate there's some lines you're delivering that like Wealth, and there could be some NII tailwinds if rates come through. At group level, that does sound quite demanding. I just wanted to check that's true in terms of the guidance and any product lines that you would point to where you're very confident delivering that sort of level of growth, perhaps outside of Wealth. On costs, just on performance-related pay. Firstly, how would you view the second half 2020 performance pay versus normalized levels, given it was just kind of normalization, which drove the step up in the first half? In terms of how should we think about that. I think you said, in reference to the full year cost target and consideration around pay, that'd be dependent on your own performance. I just wondered whether it was primarily driven by your own performance or whether this is market driven. If income was slightly softer than you currently anticipate, whether you would still potentially have some pressure on the cost line. Thank you. Okay. Let me pick those up. First point, the adjustment on the IFRS 9, if that is $ 140 million or so for this year, that is a sort of catch up for two or three years. There's probably maybe a third of that in the underlying going forward. That definitely would be sort of incremental, if you like, but a third of it rather than the whole bit. Secondly, we've said 5%-7% is our medium-term sort of goal, including 2022. Of course, you referred in your question immediately to above 7%. I think we did actually say 5%-7%. Anyway, we remain of the view 5%-7% is where we should be. We're not going to go and adjust that just because there's a particular accounting adjustment in here. We are obviously going to do what we can do to get that growth as high as we can. That 5%-7% remains the target for 2022 and beyond. On the performance-related pay, I think there are two or three sort of aspects to it. One is that 2020, we did have a lower P&L charge, as I think many banks, because the returns for the business were lower, et cetera. Obviously, step one is we hope that we will return to a normal situation at a minimum in the current year. Our variable compensation costs are about $1 billion, just a fraction over $1 billion. It is possible that we might see a little bit of outperformance against that if we can get the returns up. We have a scorecard of which it's assessed. Maybe against that $1 billion, there could be 10% more this year if the returns warranted at the end of the year. That is why we're just sort of saying $10 billion plus the FX, which current levels is about $0.3 billion forecast for the full year. Order of magnitude, something in that sort of range, possibly on the performance-related pay. We are mindful of market conditions, which I think is sort of where your question was going. There are one or two sort of pressure points, particularly in the Wealth Management space. I don't think I'd say in a monetary sense that those are so big that they impact the overall numbers I've talked about on their own. Obviously we are alert to those, and we are doing what is appropriate. Our overall guidance remains the $10 billion plus the FX plus possibly a small amount on that extra remuneration payment. Okay. Thank you. Very helpful. Next question comes from the line of Tom Rayner from Numis. Please go ahead. Yes. Good morning, both. Got a question for Andy and then one for Bill, please. Andy, can I just start, given your sort of overall business model, your internal systems, et cetera, how much visibility do you have on net interest margins looking forward? I ask this because at the time of Q1 results, there was only a couple of months left really of Q2, and I don't recall there being much indication of the type of NIM pressure coming through that we've now seen sort of down 4% Q2 on Q1, ex the accounting adjustment. Which could turn into a sort of potential drag of about $300 million, I think, in terms of revenue. I just wondered if you could maybe talk about that, please. For Bill, stock's trading still at less than 0.5 x tangible book. I guess my question is: Is it going to be possible to justify any inorganic acquisitions, inorganic growth compared to a share buyback when your stock is trading at the current rating? Thank you. Yeah. Tom. I think your first question is fair. We have, I think, got pretty sophisticated information inside the business forward-looking, but it is always going to be only as good as market conditions, and it will only be as good as how events unfold. HIBOR, for instance, and a forward view on HIBOR is nothing about management information systems. It is about a view as to how low HIBOR will go. Obviously that has dropped a little bit further than we thought. Back in February, we could not envisage accurately just how much of our treasury asset realizations it would be appropriate to make by the end of that quarter, because in particular, the interest rates and just what profit was inbuilt as a consequence of rates. We did decide that we would realize a little bit more subsequent to then, and we knew that that would create a bit of a drag on the NIM if we didn't have the ability to reinvest it. Yields have then fallen off a little bit just recently on the long term end, so we haven't done that reinvestment. We're going to wait until we get there. I don't think this is one of inaccuracy of information internally within the systems, but it is one where just small differences on small fronts do add up. I absolutely take your point. We would like to be more accurate on the forward forecasting and NIM, and we'll do as much as we possibly can do to make that happen. Just more color on that one. As Andy has mentioned, and I think it's clear, part of the NIM compression was HIBOR related, which you could say we misjudged. That's what happens. There's not much we could have done about that had we judged it differently. The bulk of the rest is decisions that we took to emphasize return on tangible equity improvement over NIM improvements. When we look at our treasury activities, we realized gains in Q1 at the right time. We generated good gains. We did not extend the duration of our assets at the optimal time. It would have been wonderful if we'd snuck into that window when 10-year rates were at 170 basis points. We didn't, and the yields have fallen significantly, and we'd rather sit on the cash for a while longer. Those are decisions that we've taken. The result of that in and out has been to improve, and also the repo transactions that Andy mentioned earlier, have been to improve our return on tangible equity but reduce our NIM. I'm pretty sure that that's the right call to make. I'm pretty sure that we're all more focused on getting that 10% + return on tangible equity than we are on protecting a particular NIM number, especially when we've got some good underlying asset growth that's protecting our NII. Just a little bit more color on that. Tom, obviously, your point on the cheapness of our stock price and buybacks versus an inorganic opportunity, you're 100% right. We will not make an inorganic investment that is inferior financially to buying back our own stock. Obviously, there's a lot of work that would have to be done on any particular acquisition to conclude that the combination of outright straight up financial value that comes from income less expenses and associated capital, together with whatever strategic value you attribute to a transaction. There are judgment calls in there, and there's a very human judgment call about the impact of returning money to shareholders via buyback. We said it several times, we'll say it again, we're not intending to use our surplus capital to do something that is financially inferior to the certain option that we have on the table, which is returning the cash to shareholders. If that means that there's no inorganic opportunity, so be it. Okay. Straight clear. Thank you. Next question comes from the line of Aman Rakkar from Barclays. Please go ahead. Good morning, Bill. Good morning, Andy. Most of my questions have actually been asked. I guess I have two more follow-ups. Actually, one on ECL, if I could. What do you think the chance of a net writeback is this year? I know you're talking about it being low for the remainder of the year. When you look into 2022, do you think there's a period of subnormally low charges here as things get released or kind of your medium-term view on that impairment charge would be helpful. I guess I also note the interest rate sensitivity disclosure. It looks like it's kind of stepped up quite meaningfully half on half. I've not had a chance to interrogate that in the report, but I wonder if you could kind of help us understand the moving parts about that higher rate sensitivity. Okay. Let me pick those up. We've had two quarters of near zero credit impairments, which I think a year ago, if you'd said that would be how we would enter this year, we'd have been extremely happy with. Forecasting over the balance of this year into next year, clearly, one's got to be more optimistic. That goes without saying, hence why we've changed the language to low over the balance of this year, barring major unforeseen events. I think the thing which I would reflect upon is we've got this through the cycle 35 to 40 basis points. Through the cycle, on the average, those cycles have higher interest rates than we're experiencing now and are probably likely to experience for the next couple of years. Therefore, my sense is that actually, we will not revert as quickly back into that 35 basis points-40 basis points range as we might have thought a while ago, and that therefore there will be a more gradual sort of pick up over a period of time, which should clearly be helpful for impairment charges for next year as well as for this year. On the rate sensitivity, the slides we've got in there, I think they've got sort of hard numbers on, Direction of the shape of what we put in there actually is what we put in at the end of the first quarter. Compared with what we did last year, we have put some of the behavioral changes and some of the trading book benefits we're getting from the surplus that is being invested through them. That sort of $1 billion or so benefit per 100 basis points, I think is more logical in that it does tie in much more with what we experienced when we came down, kind of last year, we are saying we do actually think the vast majority of that would be coming through as we go up the other side of that curve. Put another way, we don't think the cost base of this business is going to change very much if rates are higher. Therefore, as and when we get into periods when the rates do become sustainably higher, we will see a very high level of operational gearing coming through within the business. Can I ask you, do you think that sensitivity is underpinned by some quite conservative assumptions around deposit pass-through? I guess you're awash with liquidity on the balance sheet. Do you see scope for things like deposit betas to come in lower and there being a bit more upside to things like interest rate sensitivity? It's a difficult one to know because there are so many moving parts, and we're trying to estimate across a lot of different geographies, a lot of different currencies. In part, it also depends on what competitors do with their own deposit pricing and things like that. I would say it's a reasonable middle case view. One thing I'm sure is it won't be precisely accurate, but it is a directional steer. I would say it's not skewed massively towards the cautious, but it's not the opposite. Okay. Thank you so much. The last question comes from the line of Gurpreet Sahi from Goldman Sachs. Please go ahead. Thank you for taking my question. I have two small bits of follow-up on previously asked questions. First is on Wealth Management. Very good outcome. Congratulations on that. Can we just check as to how much of the wealth ballpark, wealth income is kind of gathered by digital transactions, and how do you see that unfold going forward? Some rough estimate would be good, and if there are any efforts to kind of move towards that direction. We note all the partnership initiatives, et cetera. The second question is more around Mox in Hong Kong. Is there a thought process around introducing new kinds of products with Mox, experimenting and then kind of looking at the wider group of clients that Standard Chartered has, let's say, payday loans or buy now, pay later to be experimented in Hong Kong with Mox? Thank you. Let me take the first. I don't think we have got a split and indeed I'm not quite sure one can do a split of digital Wealth Management because some clients will transact with us digitally some of the time and in person some of the rest of the time. What has definitely happened is the systems that we are operating are presenting information in a much more customer-friendly way. You may or may not recall, probably 5 years ago now, we started an upgrade of those systems, sort of replacement of those systems. That is certainly enabling many more people to digitally interact. I think this time last year also, when people realized that face-to-face meetings were no longer possible at that time because of COVID, actually shifted quite a lot of people more into the digital space. The increase in digital transactions is definitely continuing, and we expect it to continue as we go forwards. I don't think a split of the income is actually going to be hugely helpful. No, that's right. The number is escaping me right now, but we do look at the number of transactions that are digitally initiated. For all parts of our business, but for affluent, mass, and corporate, there's been a significant increase from quarter to quarter to quarter to quarter, so it's sort of consistent. I'm not going to guess because I don't remember outright what the percentage of transactions that are digitally initiated. On the affluent side, it's high and growing, and we'll prepare that and share that. Probably the right time to do that would be when we're talking about our innovation agenda in September. On Mox, absolutely, we're looking at new products. As I said, we've introduced a credit card product. I had mentioned how cool it was that I could use my Mox card both for a credit and debit transaction. We will also soon launch an initial personal lending product and then other personal lending products. I'm not sure that Hong Kong is a natural base for buy now, pay later, especially off of a Mox type platform, but that as an opportunity could be there. Other, especially travel related, obviously on the assumption that we are all able to travel again, a little bit different than the way I traveled to Hong Kong from London, which I can tell you is not straightforward. In a world where travel is freer, that Mox proposition with underlying multicurrency account capabilities and obviously the strong partnership with Trip.com as the largest online travel agent in the world, presents all sorts of opportunities for travel related, both currency and borrowing sorts of products. In other markets, nexus will have buy now, pay later as an initial credit product, quite natural off an e-commerce platform with Bukalapak. From day one, we will be offering a product to finance the purchase made on the Bukalapak platform. It will be completely seamless. It is today, completely seamless between the Bukalapak and the nexus platform. Credit is a product that we'll be rolling out in the early part of next year on nexus. In Africa, different types of payday lending has quite a bad connotation, but I think your relatively short-term working capital type financing for people who may be new to credit markets is the natural starter credit product for many of our clients in the digital banks in Africa and South Asia. Yeah, always looking at opportunities to extend the product range. As I mentioned, that will be the route to profitability for these ventures, because in a zero rate environment, we're not making money on deposits. Just actually coming back on your first question, sorry, this is not the Wealth Management number, but just to give you an indication for the CPBB business in total, the proportion of customers who are dealing with us on mobile devices up from below 40% to 46%, proportion of them who are digitally transacting with us up from 56% to 62% over the last 12 months. That's not quite the question you asked, but it's a sort of proxy for it. Perfect. Well, if there are no further questions, I think I heard that that was the last question. If there are no further questions, thank you very much for an excellent set of questions and for being in to listen to us. We look forward to following up with the innovation and venture session in September and continuing the bilateral engagements along the way. Thank you very much. Thank you. That concludes the presentation for today. Thank Thank you all for participating. You may now disconnect.