2 August 2017

Half Year 2017 Results Presentation

Important Notice

This document contains or incorporates by reference “forward-looking statements” regarding the belief or current expectations of Standard Chartered PLC (the “Company”), the board of the Company (the “Directors”) and other members of its senior management about the strategy, businesses and performance of the Company and its subsidiaries (the “Group”) and the other matters described in this document. Generally, words such as ‘‘may’’, ‘‘could’’, ‘‘will’’, ‘‘expect’’, ‘‘intend’’, ‘‘estimate’’, ‘‘anticipate’’, ‘‘believe’’, ‘‘plan’’, ‘‘seek’’, ‘‘continue’’ or similar expressions are intended to identify forward-looking statements.

Forward-looking statements involve inherent risks and uncertainties. They are not guarantees of future performance and actual results could differ materially from those contained in the forward-looking statements. Recipients should not place reliance on, and are cautioned about relying on, any forward-looking statements. Forward-looking statements are based on current views, estimates and assumptions and involve known and unknown risks, uncertainties and other factors, many of which are outside the control of the Group and are difficult to predict. Such risks, factors and uncertainties may cause actual results to differ materially from any future results or developments expressed or implied from the forward-looking statements. Such risks,, factors and uncertainties include but are not limited to: changes in theges credit quality and they recoverability of loans and amounts due from counterparties;erpart ;qua y changes in the Group’s financial models incorporating assumptions, judgments and estimates which may change over time; risks relating to capital, capital management and liquidity; risks associated with implementation of Basel III and uncertainty over the timing and scope of regulatory changes in various jurisdictions in which the Group operates; risks arising out of legal and regulatory matters, investigations and proceedings; operational risks inherent in the Group’s business; risks arising out of the Group’s holding company structure; risks associated with the recruitment, retention and development of senior management and other skilled personnel; risks associated with business expansion and engaging in acquisitions; reputational risk; pension risk; global macroeconomic risks; risks arising out of the dispersion of the Group’s operations, the locations of its businesses and the legal, political and economic environment in such jurisdictions; competition; risks associated with the UK Banking Act 2009 and other similar legislation or regulations; changes in the credit ratings or outlook for the Group; market, interest rate, commodity prices, equity price and other market risk; foreign exchange risk; financial market volatility; systemic risk in the banking industry and among other financial institutions or corporate borrowers; cross-border country risk; risks arising from operating in markets with less developed judicial and dispute resolution systems; risks arising out of regional hostilities, terrorist attacks, social unrest or natural disasters; the implications of the results of the 23 June 2016 referendum in the United Kingdom and the disruption that may result in the United Kingdom and globally from the withdrawal of the United Kingdom from the European Union; and failure to generate sufficient level of profits and cash flows to pay future dividends.

Any forward-looking statement contained in this document is based on past or current trends and/or activities of the Company and should not be taken as a representation that such trends or activities will continue in the future. No statement in this document is intended to be a profit forecast or to imply that the earnings of the Company and/or the Group for the current year or future years will necessarily match or exceed the historical or published earnings of the Company and/or the Group. Each forward-looking statement speaks only as of the date of the particular statement. Except as required by any applicable law or regulations, the Company expressly disclaims any obligation or undertaking to release publicly or make any updates or revisions to any forward-looking statement contained herein whether as a result of new information, future events or otherwise.

Nothing in this document shall constitute, in any jurisdiction, an offer or solicitation to sell or purchase any securities or other financial instruments, nor shall it constitute a recommendation or advice in respect of any securities or other financial instruments or any other matter.

1

2

Bill Winters Group Chief Executive

Opening remarks

• Encouraging start to the year

Significant improvement in financial performance

Business quality getting better

Progress on client, operational and digital initiatives Progress on client, operational and digital initiatives

• Investing in people and culture: becoming simpler, faster and better

• Continuing the fight against financial crime

• External conditions improving in some areas though uncertainty remains

3

4

Andy HalfordGroup Chief Financial Officer

Operating income1 $7.2bn 6% 3%

Operating expenses2 $(4.8)bn (5)% 6%

Loan impairment $(0.6)bn 47% 55%

Profit from associates $0.1bn

nm nm

Financial performance summary

H1 17 YoY HoH Better/(Worse)

and joint ent H1 16: $27 H2 16: $(2)m and joint ventures H1 16: $27m H2 16: $(2)m

Underlying profit before tax1 $1.9bn 93% nm

H2 16: $99m

Restructuring $(0.2)bn (43)% 78%

Statutory profit before tax

$1.8bn 82% nm H2 16: $(554)m

CET 1 ratio 13.8% +70bps +20bps

Underlying RoE 5.2% +310bps nm H2 16: (1.6%)

• Continuing progress on income

• Efficiency objectives on track

• Investing in people and culture

• Significantly lower loan impairment

• Strong capital and liquid balance sheet

• Improved RoE

• Dividend to be reviewed at year end

1) In 2016 the Group disclosed its decision to exit Principal Finance. Excluding Principal Finance where gains and losses in 2017 are treated as restructuring and excluded from the Group’s underlying performance, operating income was up 4% YoY and underlying profit before tax was up 36% YoY

2) Excludes UK bank levy 5

Improving performance, heading in right direction

Operating income1 ($m) Operating expenses2 ($m)

3,345 3,465 3,465 3,533 3,608 3,614

2,249 2,285 2,387 2,671

2,378 2,391

Q1Q1 1616 Q2 16 Q3 16 Q4 16 Q1 17Q1 17 Q2 17 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17Q2 16 Q3 16 Q4 16 Q2 17 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17

Loan impairment ($m) and cost of risk (%)3 Underlying profit before taxation1 ($m)

539 455 458

(359)

1,045 874

Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17

471 625 596 690

198 385

0.73% 0.97% 0.92%

1.06%

0.30% 0.58%

Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17

-1.0%

-0.5%

0.0%

0.5%

1.0%

1.5%

(400)

100

600

1,100

1) Includes Principal Finance which recorded sequential quarterly negative income in 2016 of $(130)m, $(37)m, $(30)m and $(20)m and underlying loss before taxation of $(293)m, $(126)m, $(117)m and $(135)m respectively

2) 3)

Excludes UK bank levy Loan impairment for the ongoing business as a percentage of average gross loans and advances to customers (annualised)

6

Continuing progress on income

Operating income1 ($m)

6,810 6,998

7,222

H1 16 H2 16 H1 17

+6% YoY

H1 16 H2 16 H1 17

6,000

7,000

8,000

Operating income1 by clients and regions

$m H1 17 YoY%

Corporate & Institutional Banking 3,218 2%

Retail Banking 2,396 3%

Commercial Banking 660 (1)%

Private Banking 242 (7)%

Central & other items 706 68%

Total 7,222 6%

• Income up 4% YoY excluding Principal Finance

Includes divestments and currency impact

Seeing early progress from investments…

…and across liabilities-led businesses

c. $80m interest rate benefit

• Actions underway to accelerate momentum ay

$m H1 17 YoY%

Greater China & North Asia 2,791 9%

ASEAN & South Asia 1,964 (4)%

Africa & Middle East 1,387 (2)%

Europe & Americas 809 (1)%

Central & other items 271 nm

Total 7,222 6%

71) Includes Principal Finance which recorded negative income of $(167)m in H1 16 and $(50)m in H2 16

Efficiency objectives on track

Operating expenses1 ($m)

Partly offset by business efficiencies

2,658 2,918 2,920

1,330 1,559 1,250

546 581

599 4,534

5,058 4,769 • Expenses up 5% YoY, but down 6% HoH

Timing of investments and higher staff costs

• Managing cost base to create investment capacity

H1 16 H2 16 H1 17 H1 16 H2 16 H1 17

Staff costs Other expenses2 Regulatory costs

$2.9bn gross efficiency over 4 years

$2.9bn

~$0.4bn

~$0.7bn

$1.2bn

$0.6bn

• On track to deliver additional $700m in cost efficiencies

• Anticipate operating expenses ex-UK bank levy:

… In 2017 to be similar to 2016

… In 2018 to be below 2015

2015 2016 2017 2018 Gross target (2015-2018)

1) All references to expenses on this page exclude the UK bank levy 2) Other expenses include premises costs, general administrative expenses and depreciation and amortisation

8

Improved credit quality YoY, but remain vigilant

Loan impairment ($m)

2,356 • Overall credit quality improved YoY

Stable HoH

• Significant progress on risk priorities

Improving risk infrastructure

CIB Retail Banking Commercial Banking Private Banking Proactive portfolio reshaping

Gross NPLs and CG12 ($bn) and cover ratio (%) Better quality origination 67% 67%

13.8 13.9 14.1 11.2 11.2

• Business fully aligned with risk appetite

• Remain vigilant as some stresses remain

1,652

1,096 1,286

583

H1 15 H2 15 H1 16 H2 16 H1 17

Managing emerging risks 54% 53% 53%

4.5 5.2 6.0 5.9 6.3

4.3 7.5 6.8

3.8 3.6

H1 15 H2 15 H1 16 H2 16 H1 17 Gross NPL (ongoing portfolio) Gross NPL (liquidation portfolio) CG 12 Cover ratio

9

H1 17 profit contribution by client segments

Underlying profit before tax ($m) Key operational themes

(1)

1,919 648

501

188

583

Central & Corporate & other items Institutional

Banking

Retail Banking

Commercial Banking

Private Banking

Total

YoY change in underlying profit before tax

Corporate & Institutional Banking

• Improved income and balance sheet quality

• Drag from low volatility and asset margin compression

Retail Banking

• Strong performance in Priority, WM and Deposits

• Focus on Priority clients in core cities, enabled by digital

Commercial BankingBanking

• Returned to profitability

• Significant improvement in asset quality

Private Banking

• Continuing transformation – investing in people and productivity

Central & other items

• Treasury activities, including ALM

• Improved contribution from associates and joint ventures

+$298m +105%

+$409m +171%

+$70m +16%

+$200m nm

$(52)m (102)%

+$925m +93%

10

H1 17 profit contribution by region

Underlying profit before tax ($m)

66

1,919

400

369

59

1,025

Central & other items

Greater China &

North Asia

ASEAN & South Asia

Africa & Middle East

Europe & Americas

Total

YoY change in underlying profit before tax

Key operational themes

Greater China & North Asia

• Broad-based income growth

• Hong Kong strong; Korea and China profitable in H1 17

ASEAN & South Asia

• Good progress in key markets

• Impacted by business exits

Africa & Middle East

• Steady performance in RB and TB

• Lower impairment despite difficult environment

Europe & Americas

• Strong progress on CIB initiatives: ‘new 90’, return optimisation, coverage model transformation

Central & other items

• Absence of impact in H1 17 from Principal Finance1

+$303m +42%

+$23m +6%

+$27m +8%

+$42m +175%

+$530m +113%

+$925m +93%

1) In 2016 the Group decided to exit Principal Finance and consequently from 1 January 2017 gains and losses are treated as restructuring and excluded from the Group’s underlying performance 11

NIMs broadly stable, early balance sheet momentum

1 Group NIMs broadly stable 3 Shift to higher credit grade clients NIM (%) and Net interest income ($m) Performing loans by credit grade ($bn)

3,992 3,802 3,966

1.58% 1.48% 1.55%

171 79

184

80

+7%

+1%

H1 16 H2 16 H1 17 NetNet interest incomeinte income Net inte marginNet interest margin

Early balance sheet momentum Customer deposits and loans & advances ($bn)

2

372 378 398 266 256 269

72% 68% 68%

H1 16 H2 16 H1 17

Customer deposits Customer L&A AD ratio (%)

0.00%

0.50%

1.00%

1.50%

2.00%

-

1,000

2,000

3,000

4,000

5,000

6,000

0

50

100

150

200

250

300

20%

30%

40%

50%

60%

70%

80%

90%

0

100

200

300

400

500

4

Credit grades 1-5 Credit grades 6-11 H2H2 1616 H1 17H1 17

Improvement in volumes, liability margins Offset pressure on asset margins

YoY change Volume1 Margin

Trade

Corporate Finance

Mortgage & Auto

CASA

Cash management

Time deposits

1) Average balance 12

Strong capital position

CET 1 capital ratio (%)

13.6 13.8

0.4 (0.2)

(0.2) 0.1

+20bps

2016 Profit afte DivDividends 1 Credit W MMarket and Currency HY 17172016 Profit after tax idends 1 R A arket and Currency HYCredit RWA Operational RWA & other

Risk-weighted assets ($bn)

269 274

4 (2) 3

+$5bn • CET1 up 20bps from FY 16 to 13.8%

• Driven mainly by profit in the period

• Above 12-13% CET1 target range

• Uncertainty on regulatory developments persists

• IFRS 9 impact to be communicated later in the year 2016 Credit Market and Currency H1 17

RWA Operational & other RWA

1) Dividends include preference share dividend, AT1 coupons and regulatory foreseeable dividends 13

14

Bill Winters Group Chief Executive

H1 17 progress• Improved profitability, higher quality income and balance sheet

• Selectively added to, and diversified client base

• New CSDG1 to improve credit origination and distribution capabilities

• RWA optimisation efforts on track

Challenges•• Abundant liquidity compressing asset margins

• Low volatility affecting client activity in Financial Markets

• Emerging regulatory landscape

H2 17 Priorities• Improve client experience; expand and diversify base

• Sustain profitable balance sheet momentum

• Regain momentum in Financial Markets and Trade

• Maintain investment in regulatory and digital initiatives

Abundant liquidity compressin t margins

Corporate & Institutional BankingSubstantial progress on key priorities, but more to do

H1 17 progress • Improved profitability, higher quality income and balance sheet

• Selectively added to, and diversified client base

• New CSDG1 to improve credit origination and distribution capabilities

• RWA optimisation efforts on track

Challenges • Abundant liquidity compressin t margins• Abundant liquidity compressing asset margins

• Low volatility affecting client activity in Financial Markets

• Emerging regulatory landscape

H2 17 Priorities • Improve client experience; expand and diversify base

• Sustain profitable balance sheet momentum

• Regain momentum in Financial Markets and Trade

• Maintain investment in regulatory and digital initiatives

1.5 1.7

H1 16 H1 17

+12%

Leverage advantage in network Network income ($bn)

Shift to higher credit grade clients Performing loans mix by credit grade (%)

CG 1-5

H1 16 H1 17

CG 6-11

CG12

50% 46% 44%

49% 53% 55%

2015 2016 H1 17

1) CSDG = Capital Structuring and Distribution Group, a new team to unify our asset distribution capability and meet client appetite for bespoke solutions 15

H1 17 progress

• Strong growth in Priority with share of income increased to 44%

• Commenced end-to-end digital transformation in main markets

• Improved profitability underpinned by broad-based growth

• Continued branch optimisation

Challenges•• Strong competition and surplus liquidity compressing asset margins

• Increase pace of clients’ digital adoption

• Balancing investments with reducing cost-to-income ratio

H2 17 Priorities• Improve effectiveness of distribution model further

• Roll out end-to-end digital capabilities across main markets

• Launch Premium programme for emerging affluent client segment

• Realise value from channel investments in key markets

Stron tition and surplus liquidity compressin t margins

Retail BankingPivoting to affluent clients in core cities, enabled by digital

H1 17 progress

• Strong growth in Priority with share of income increased to 44%

• Commenced end-to-end digital transformation in main markets

• Improved profitability underpinned by broad-based growth

• Continued branch optimisation

Challenges • Stron tition and surplus liquidity compressin t margins• Strong competition and surplus liquidity compressing asset margins

• Increase pace of clients’ digital adoption

• Balancing investments with reducing cost-to-income ratio

H2 17 Priorities • Improve effectiveness of distribution model further

• Roll out end-to-end digital capabilities across main markets

• Launch Premium programme for emerging affluent client segment

• Realise value from channel investments in key markets

62% 56%

38% 44%

H1 16 H1 17

Focus on Priority segment Income mix (%)

Priority

Others

H1 16 H1 17

Income impacted by business exits Income ex-divestments ($bn)

+7%

2.2 2.4

H1 16 H1 17

16

H1 17 progress

• Returned to profitability on improved LI and cost base

• Non-financing income grew across markets

• Asset momentum returned in some products (Trade, CF)

• Completed CIB infrastructure integration

Challenges•• Shift to higher quality credits compressing asset margins

• Loan growth weak in some markets

• Strong local competition

H2 17 Priorities• Continue to focus on non-financing income growth (Cash, FX)

• Accelerate acquisition of new clients including via CIB ecosystem

• Continue to build asset momentum across products

Shift to high lity credits compressin t margins

Commercial BankingGood progress on a multi-year turnaround

H1 17 progress

• Returned to profitability on improved LI and cost base

• Non-financing income grew across markets

• Asset momentum returned in some products (Trade, CF)

• Completed CIB infrastructure integration

Challenges • Shift to high lity credits compressin t margins• Shift to higher quality credits compressing asset margins

• Loan growth weak in some markets

• Strong local competition

H2 17 Priorities • Continue to focus on non-financing income growth (Cash, FX)

• Accelerate acquisition of new clients including via CIB ecosystem

• Continue to build asset momentum across products

Returned to profitability, broad-based Underlying profit before tax ($m)

(30)

34

(16)

48

85

55

GCNA ASA AME

Asset momentum emerging Loans and advances to customers($bn)

(30) H1 16 H1 17

26.1 24.0 26.8

H1 16 H2 16 H1 17

+3% YoY +12% HoH

17

H1 17 progress

• New hires integrated, delivering to targets

• GCNA growth has accelerated

• ASA has stabilised after multiple quarters of decline

• Multiple technology projects delivered; people investment on track

Challenges•• Cost base increased during investment phase

• Growth below market given de-risking

• NNM momentum positive but needs to accelerate significantly

H2 17 Priorities• Build on momentum in GCNA and AME

• Improve performance in ASA and EA

• Grow NNM through people, product, referral and advisory initiatives

Cost bas increased during investment pha

Private BankingInvesting for long-term transformation

H1 17 progress

• New hires integrated, delivering to targets

• GCNA growth has accelerated

• ASA has stabilised after multiple quarters of decline

• Multiple technology projects delivered; people investment on track

Challenges • Cost bas increased during investment pha• Cost base increased during investment phase

• Growth below market given de-risking

• NNM momentum positive but needs to accelerate significantly

H2 17 Priorities • Build on momentum in GCNA and AME

• Improve performance in ASA and EA

• Grow NNM through people, product, referral and advisory initiatives

Growth in NNM, but need to accelerate Net new money (NNM) ($bn)

0.3

(2.0)

0.6

2015 2016 H1 17

De-risking actions impacting income, investments driving cost base ($m)

2015 2016 H1 17

236 235 242(209)

(254) (243)

H1 16 H2 16 H1 17

Income Expenses1

1) Excluding an insurance recovery of $25m in the first half of 2016 18

Regions: GCNA and ASA

Greater China & North Asia (GCNA) ASEAN & South Asia (ASA)

Progress Progress

• Encouraging momentum across segments and markets • Significant progress securing foundations

• Positive progress in Korea and China turnaround • Pockets of momentum in key markets

Priorities Priorities

• Step up investment in core Hong Kong market • Continue to invest in digital for better client experience and productivityand productivity

• Build on turnaround momentum in Korea and China • Sustain non-financing income growth

Underlying profit / (loss) before tax in key markets (% YoY)

Korea

$139m Hong Kong

$662m

22%

China

$145m

65%196%

Singapore India

$151m $110m

(43%) nm

19

Regions: AME and EA

Africa & Middle East (AME) Europe & Americas (EA)

Progress

• Steady performance in Retail Banking

• Building momentum in CIB; Returned CB to profitability

Priorities

• Drive growth and higher returns in UAE

• Invest in Africa – digital and frontline staff

Progress

• Significant improvement in underlying profitability and growth in network income

• Good progress on CIB initiatives – ‘New 90’

Priorities

• Continue to board ‘New 90’ target clients• Continue to on-board ‘New 90’ target clients

• Leverage core network advantage

Underlying profit / (loss) before tax in key markets (% YoY)

20

UAE

$88m Africa

$216m

(6%)

UK

$114m

73%

US

$(44)m 31%132%

Investing selectively

H1 16 H2 16 H1 17

System enh t Strategic

~230 ~280

Strategic and system enhancements

Cash investment ($m)

+25% • CIB – e-connectivity with clients

• RB – digitisation, alliances and increased sales

• PB and WM – digitisation and advisory capabilities

• Targeted investment to

Increase income growth potential

Accelerate technology enhancement

Improve productivity and controls

H1 16 H2 16 H1 17

Regulatory System replacement

System enhancement Strategic

Cash investment ($m)

Managing risk – Regulatory and IT obsolescence

• Major programmes to meet regulatory change requirements

• Mandatory system upgrades

• BCBS, IFRS, MiFID II, stress testing

• Financial Crime Risk Mitigation Programme

+16%

~270 ~310

21

sc.com/fightingfinancialcrime

Continuing the fight against financial crime

Fighting financial crime matters

Investing in people, processes and systems

New Cyber Financial Intelligence team, combining cyber and FCC expertise

De-risking through education

FinCEN Law Enforcement award letter (3rd consecutive year)

Working in partnership with regulators, law enforcement and other global banks on

• Singapore AML and Countering potentially transformational initiatives the Finance of Terrorism Industry Partnership

sc.com/fightingfinancialcrime

The right controls • Continued investment in

people, processes and systems

• Cyber Financial Intelligence team in the US

Engaging our people• The Whole Story:

multi-year campaign

• Mandatory and specialist training on AML, ABC and sanctions

How we are

Forging new Helping to raise financial partnerships

• UK Joint Money Laundering Intelligence Taskforce

• HK Fraud and Money Laundering Intelligence Taskforce

industry standards • Correspondent

Banking Academies

• Involvement in Wolfsberg, Swift, ICC, UK Finance, BSAAG, ACAMS and RUSI

fighting

crime

22

Summary

• Began year with a strong balance sheet and need to improve earnings

Good progress in H1 17; clearly plenty of capacity to improve further

Becoming leaner, more resilient and more profitable

Investing to leverage core advantages in network and local capabilities

Confidence returning internally – focused on clients and profitable growth

• Global economic recovery gaining momentum but outlook remains uncertain

• Stronger foundations in place for growth

23

24

Q&A

25

Fixed Income

~70markets

~90%

income fromAsia, Africa &

Middle East

44 client

segmentsand 4 regions

Operating

income

$7.2bn

Profit before

taxation

$1.9bn

Common

Equity Tier 1

ratio

13.8%

Earnings

per share

34.4c

Standard Chartered overview

Over 150 years in some of the world's

most dynamic markets

Group income by region

~70 markets

~90%

income from Asia, Africa &

Middle East

4 4 client

segments and 4 regions

39%

27%

19%

11% 4% GCNA

ASA

AME

EA

C&OI

H1 17 performance highlightsH1 17 performance highlights

Operating

income

$7.2bn

Profit before

taxation

$1.9bn

Common

Equity Tier 1

ratio

13.8%

Earnings

per share

34.4c

Group income by segment

45%

33%

9%

3%10% CIB

RB

CB

PB

C&OI

All financial information in this presentation is on an underlying basis 26

Balance sheet diversity

Balance sheet assets

41%

20%

12%

12%

7%

8%

$658bn

Loans & advances to customers

Investment securities

Cash & balances at central banks

Loans & advances to banks

Derivatives

OtherOther assets

Balance sheet liabilities

66%6%

3%

8%

6%

3% 8%

$606bn

Customer accounts

Other debt securities in issue

Senior debt

Derivatives

Deposits by banks

Subordinated liabilities & other borrowed funds Other liabilities

Hong Kong CIB

Korea RB

China CB

Singapore PB

India C&OI

UAE

UK

US 16% Other

25%

12%

4%6%

4%

11%

4%

19%

47%

37%

10%

5% 2%

$269bn

26%

8%

5%

15%4%3%

14%

10%

16%

54% 31%

8% 6% 1%

$398bn

Customer loans & advances by country and segment

Customer accounts by country and segment

CIB

Korea

Hong Kong

RB

China CB

Singapore PB

India C&OI

UAE

UK

US

Other

27

Liquid and resilient balance sheet

Total customer and bank deposits ($bn) LCR eligible assets

221 226 233

192 190 204

413 416 438

95%

4% 1%

$149bn

Level 1

Level 2A

Level 2B

H1 16 H2 16 H1 17

CASA Time deposits & other

Components of LCR Level 1 ($bn) LCR eligible assets by region

141

69

8

60

12

149 141

Level 1

Level 2

Liquidity pool Level 1

Cash and Central Bank Reserves

Securities – Central Banks, Governments and PSEs 1

Securities – Other

29%

13%

3%

55%

GCNA

ASA

AME

EA

$149bn

1) Other includes mostly Multilateral Development Banks & International Organisations 28

4.4 2.0

2.0

1.0

2.0

1.3

2.1 1.8

2.3

0.5

2.5 3.0

3.9 2.8

2016 2017 2017 2018 2019 2020 2021

Tier 1 Tier 2 PLC Senior

Funding profile

Issuance US$bn Maturity Profile US$bn

1) As at 30 June 2017 2) Capital refinancing has been modelled based on first call date at the Group level only 3) Values based on FX translation at issuance

29

-

Example application of UK resolution waterfall

Senior Unsecured

T2

Senior Unsecured

OpCo losses follow OpCo creditor hierarchy

Once investments in OpCo “A” are written down or converted to equity, losses are taken to HoldCo

OpCo losses are transferred to the HoldCo

Excluded liabilities

nti

al O

p C

o l

osses

er

PL

C l

oss a

bso

rben

cy

CET1

AT1

T2

Internal LAC

Unsecured

Op

Co

Lo

ss

CET1

AT1

through the write down or conversion of intercompany assets

Internal LAC T1

CET1 Loss

Transfer Loss

Transfer

Ho

ld C

o L

oss

Po

ten

Fu

rth

e

Down stream

OpCo "A" HoldCo assets down- HoldCo equity streamed to OpCo "A" and liabilities

• Internal Loss Absorbing Capacity (LAC) is designed to recapitalise the OpCo, avoid OpCo failure, and maintain critical economic functions

• Quantum of internal LAC will be set in conjunction with the Group’s resolution authority and the relevant local regulators

• If losses transmitted from OpCo cannot be absorbed by the HoldCo, then the HoldCo would be placed into resolution

• If the HoldCo is placed into resolution, externally-issued liabilities will be written-down or converted to equity

• At H1 17 the Group estimated it had ~$70bn of MREL eligible instruments of which ~$58bn was subordinated to PLC senior

1) Example based on the Group’s current understanding of the Bank of England's approach to resolution. Subject to change as rules evolve 2) There are currently instruments issued externally from the Group’s main operating company (Standard Chartered Bank) and certain other banking

subsidiaries, these instruments would rank pari-passu with internally issued instruments 30

~

~

~

MREL transition – well positioned

~26% 25.4%

Recapitalisation amount 10.8%

19.8%

22.6%

2019 2020 2022 Estimated June 2017

TLAC minimum 16.0%

Loss-absorption amount 10.8%

Loss-absorption amount 10.8%

8.0%

CET1 $37.8bn

Non-equity capital $20bn

PLC Senior $12bn

Combined Buffer 3.8%

Recapitalisation amount 8.0%

Combined Buffer 3.8%

Combined Buffer 3.8%

• Non-binding, indicative MREL requirements communicated to the Group in 2017

• MREL requirement to increase through to 1 Jan 2022

• Requirement of 21.6% of RWA from 1 Jan 2022

• Regulatory buffers sits above MREL

• HoldCo (PLC) issuance strategy results in substantial existing HoldCo stock

•• Current estimate excludes Current estimate excludes

Non-European Economic Area law capital instruments

Regulatory capital and PLC senior < 1 year remaining tenor

• European Commission currently reviewing MREL eligibility criteria. Until the proposals are in final form it is uncertain how they will affect the Group

1) Chart for illustrative purposes only. MREL requirements and definitions are subject to significant change as rules evolve 2) Estimates based on Statement of Policy on the Bank of England’s approach to setting a minimum requirement for own funds and eligible liabilities from November 2016 3) Combined Buffer comprises Capital Conservation Buffer, G-SII Buffer and any Countercyclical Buffer 4) Non-equity capital includes AT1, Tier 2 with a remaining maturity of greater than 1 year and Standard Chartered PLC issued subordinated debt with a remaining maturity of

greater than 1 year but is outside the scope of regulatory capital recognition 31

-

Standard Chartered Group – simplified legal structure

Medium Term Senior Notes

Tier-2 Benchmark Issuance

Legacy Tier-1 Securities and AT1 Securities

Equity

Standard Chartered Holdings Limited

Standard Chartered Bank Medium Term Senior Notes

Standard Chartered PLC BBB+/A2/A+

(S&P/Moody’s/Fitch)

Standard Chartered Bank (single legal entity)

Hong Kong2

A+/A1/-Nigeria

100% 100%

Pakistan

100% 100% 100%

Kenya Korea

A-/A2/A China A/-/A

74.3% 100% 98.99% 99.99%

49%

Principal Subsidiaries

Singapore (ex Retail)

USIndia UAEGermany Japan UKSouth Africa

Standard Chartered Bank A/A1/A+

(S&P/Moody/Fitch)

Principal Branches

Structured Product Programme

Legacy Tier-2 Securities

Commercial Paper / Certificates of Deposit

51%

Malaysia -/Baa1/-

Singapore (Retail)1

-/Aa3/A

Taiwan A-/-/A

Thailand -/Baa2/A

1) Singapore Retail subsidiary excluding Private Bank 2) Hong Kong Subsidiary (Standard Chartered Bank (Hong Kong) Ltd ) is 51% owned by Standard Chartered Bank and 49% owned by Standard Chartered Holdings Ltd, an

intermediate holding company 32

0.3%

0.3%

0.3%

Capital requirements & distribution considerations

• A breach of the Combined Buffer¹ restricts discretionary distributions

• Combined Buffer began to phase-in from 2016 and will include any future Countercyclical Capital Buffer (CCyB)

• Discretionary distributions include dividends, variable compensation and AT1 coupons²

• H1 17 Standard Chartered PLC distributable reserves of $15.2bn

• Further $1bn AT1 issuance in January 2017 took the Group’s stock of AT1 to ~$6.7bn

0.8%

1.0% MDA 8.0%

MDA 9.0%

6.8% ~$19bn4

3.9% ~$11bn4

0.3%

4.5% 4.5% 4.5%

1.6% 1.6% 1.6%

1.3%

1.9% 2.5%

0.5%

0.8%

H1 17 2017 2018 2019

8.0%

0.1%

0.3%

0.3%

H1 17 CET1: 13.8%

2019 MDA3 threshold: 9.9%

AT1 conversion trigger: 7.0%

G-SII

CCyB

Capital conservation buffer

Pillar 2A

Pillar 1

1) As of 30 June 2017, it was the Group’s understanding that the fully phased Combined Buffer (“CB”) will be made up of a G-SII Buffer of 1%, a Capital Conservation Buffer of 2.5% and a CCyB of 0.3%. The CB sits on top of the CRD IV minimum Pillar 1 and Pillar 2A requirements. The CB is subject to change over time; 2) The maximum permitted amount of discretionary payments is calculated by multiplying the profits made since the most recent distribution by a scaling factor. In the bottom quartile of the buffer the scaling factor is 0, in the second quartile the scaling factor is 0.2, in the third it is 0.4 and in the top quartile it is 0.6; 3) The MDA thresholds assumes that the maximum 2.0% of the Pillar 1 and Pillar 2A requirement has been met with AT1. As of 30 June 2017, the Group had ~2.4% of AT1 outstanding. MDA based on CRD IV as transposed in the UK and does not reflect current proposals of the European Commission, which envisage including the TLAC/MREL requirement in the calculation of the MDA threshold; 4) Absolute buffers based on 30 June 2017 RWA of $274bn

33

34

Appendix

Group financial summary

($m) H1 17 H2 16 H1 16 H1 17 vs H2 16 %1

H1 17 vs H1 16 %1

Operating income 7,222 6,998 6,810 3% 6%

Operating expenses (4,170) (4,477) (3,988) 7% (5%)

Regulatory costs (599) (581) (546) (3%) (10%)

UK bank levy - (383) - nm nm

Pre-provision operating profit 2,453 1,557 2,276 58% 8%

Loan impairment (583) (1,286) (1,096) 55% 47%

Q2 17 Q1 17 Q2 16 Q2 17 vs Q1 17 %1

Q2 17 vs Q2 16 %1

3,614 3,608 3,465 0% 4%

(2,101) (2,069) (1,982) (2%) (6%)

(290) (309) (303) 6% 4%

- - - nm nm

1,223 1,230 1,180 (1%) 4%

(385) (198) (625) (94%) 38%Loan impairment (583) (1,286) (1,096) 55% 47%

Other impairment (84) (170) (213) 51% 61%

Profit from associates 133 (2) 27 nm nm

Underlying profit before tax 1,919 99 994 nm 93%

Restructuring (165) (740) (115) 78% (43%)

Other items2 - 87 84 nm nm

Statutory profit / (loss) before tax 1,754 (554) 963 nm 82%

Taxation (548) (262) (338) nm (82%)

Profit / (loss) 1,206 (816) 625 nm 93%

(385) (198) (625) (94%) 38%

(31) (53) (90) 42% 66%

67 66 (10) 2% nm

874 1,045 455 (16%) 92%

(110) (55) 8 nm nm

- - - - -

764 990 463 (23%) 65%

1) Better/(Worse) 2) Other items include net gains/(losses) on businesses disposed/held for sale (2017: nil, H2 16: $253m, H1 16: nil), goodwill impairment (2017: nil, H2 16: $166m, H1 16: nil)

and gain on debt buy back (H1 17: nil, H2 16: nil, H1 16: $84m) 35

Performance by client segments

Retail Commercial Central & other H1 17 ($m) CIB Banking Banking Private Banking items (segment) Total

Operating income 3,218 2,396 660 242 706 7,222

Operating expenses (2,123) (1,723) (427) (243) (253) (4,769)

Pre-provision operating profit 1,095 673 233 (1) 453 2,453

Loan impairment (369) (172) (42) - - (583)

Other impairment (78) - (3) - (3) (84)

Profit from associates - - - - 133 133

Underlying profit/(loss) before tax 648 501 188 (1) 583 1,919

Statutory profit/(loss) before tax 472 505 182 (2) 597 1,754

H1 16 ($m)

Operating income 3,147 2,316 667 261 419 6,810

Operating expenses (2,090) (1,643) (436) (209) (156) (4,534)

Pre-provision operating profit 1,057 673 231 52 263 2,276

Loan impairment (606) (242) (247) (1) - (1,096)

Other impairment (212) - 4 - (5) (213)

Profit from associates - - - - 27 27

Underlying profit/(loss) before tax 239 431 (12) 51 285 994

Statutory profit/(loss) before tax 124 431 (12) 51 369 963

YoY%1

Operating income 2% 3% (1%) (7%) 68% 6%

Underlying profit/(loss) before tax 171% 16% nm (102%) 105% 93%

1) Better/(Worse) 36

Performance by region

H1 17 ($m) Greater China &

North Asia ASEAN &

South Asia Africa &

Middle East Europe & Americas

Central & other items (region) Total

Operating income 2,791 1,964 1,387 809 271 7,222

Operating expenses (1,759) (1,250) (887) (680) (193) (4,769)

Pre-provision operating profit 1,032 714 500 129 78 2,453

Loan impairment (76) (315) (129) (63) - (583)

Other impairment (54) (3) (2) - (25) (84)

Profit from associates 123 4 - - 6 133

Profit before tax (underlying) 1,025 400 369 66 59 1,919

Profit before tax (reported) 1,015 353 362 51 (27) 1,754

H1 16 ($m)

Operating income 2,551 2,054 1,420 817 (32) 6,810

Operating expenses (1,654) (1,189) (845) (669) (177) (4,534)

Pre-provision operating profit 897 865 575 148 (209) 2,276

Loan impairment (242) (412) (214) (124) (104) (1,096)

Other impairment (35) 4 (19) - (163) (213)

Profit from associates 102 (80) - - 5 27

Profit before tax (underlying) 722 377 342 24 (471) 994

Profit before tax (reported) 703 277 325 46 (388) 963

YoY%1

Operating income 9% (4%) (2%) (1%) nm 6%

Profit before tax (underlying) 42% 6% 8% 175% 113% 93%

1) Better/(Worse) 37

Performance by product

($m) H1 17 H2 16 H1 16 H1 17 vs H2 16 %1

H1 17 vs H1 16 %1

Transaction Banking 1,597 1,466 1,418 9% 13%

Trade 593 595 604 (0%) (2%)

Cash Management and Custody 1,004 871 814 15% 23%

Financial Markets 1,189 1,390 1,339 (14%) (11%)

Foreign Exchange 497 521 629 (5%) (21%)

Rates 289 334 343 (13%) (16%)

Commodities and Equities 80 112 78 (29%) 3%

Credit and Capital Markets 201 209 155 (4%) 30%

Other Financial Markets 122 214 134 (43%) (9%)

Corporate Finance 918 953 944 (4%) (3%)

Wealth Management 856 764 719 12% 19%

Retail Products 1,776 1,825 1,833 (3%) (3%)

CCPL and other unsecured lending 684 764 793 (10%) (14%)

Deposits 709 659 628 8% 13%

Mortgage and Auto 349 363 376 (4%) (7%)

Other Retail Products 34 39 36 (13%) (6%)

Asset and Liability Management 310 91 217 241% 43%

Lending and Portfolio Management 180 196 280 (8%) (36%)

Principal Finance2 - (50) (167) nm nm

Other 396 363 227 9% 74%

Total operating income 7,222 6,998 6,810 3% 6%

Q2 17 Q1 17 Q2 16 Q2 17 vs Q1 17 %1

Q2 17 vs Q2 16 %1

812

296

516

563

272

127

32

82

50

471

435

905

340

363

185

17

106

85

-

237

785

297

488

626

225

162

48

119

72

447

421

871

344

346

164

17

204

95

-

159

702 3% 16%

299 (0%) (1%)

403 6% 28%

642 (10%) (12%)

264 21% 3%

174 (22%) (27%)

34 (33%) (6%)

80 (31%) 3%

90 (31%) (44%)

474 5% (1%)

370 3% 18%

918 4% (1%)

390 (1%) (13%)

327 5% 11%

183 13% 1%

18 0% (6%)

112 (48%) (5%)

130 (11%) (35%)

(37) nm nm

154 49% 54%

3,614 3,608 3,465 0% 4%

1) Better/(Worse) 2) In 2016 the Group decided to exit Principal Finance and consequently from 1 January 2017 gains and losses are treated as restructuring and excluded from the Group’s

underlying performance 38

Ongoing business and liquidation portfolio

($m)

6 m

Ongoing

business

onths end

30 Jun 17

Liquidation

portfolio

ed

Total

6 m

Ongoing

business

onths end

31 Dec 16

Liquidation

portfolio

ed

Total

6 m

Ongoing

business

onths end

30 Jun 16

Liquidation

portfolio

ed

Total

Gross loans and advances

Net loans and advances

271,795

267,692

3,643

1,206

275,438

268,898

258,396

254,463

3,854

1,433

262,250

255,896

265,293

261,670

7,266

4,204

272,559

265,874

Credit quality quality

Gross Non Performing Loans

Individual Impairment Provisions

Net Non Performing Loans

6,303

(3,551)

2,752

3,619

(2,437)

1,182

9,922

(5,988)

3,934

5,880

(3,355)

2,525

3,807

(2,421)

1,386

9,687

(5,776)

3,911

6,005

(3,045)

2,960

6,806

(3,062)

3,744

12,811

(6,107)

6,704

Credit Grade 12 accounts1

Cover ratio (%)2

Cover ratio (after collateral) (%)3

1,283

67

73

21

67

81

1,304

67

76

1,499

69

73

22

64

80

1,521

67

76

1,247

62

73

82

45

61

1,329

53

67

Risk-weighted assets 271,396 2,767 274,163 265,637 3,808 269,445 273,660 19,566 293,226

1) Includes CIB, CB and Central & other items 2) Including portfolio impairment provision 3) Excluding portfolio impairment provision

39

(600)

(400)

(200)

0

Restructuring charges

Restructuring charges ($m)

2015 2016 H1 17

Impact of Principal Finance ($m)1

Restructuring progress

• $165m of restructuring charges in H1 17

Relating to liquidation portfolio and Principal Finance

• Cumulative restructuring charges $2.9bn

• Remain expectation restructuring charges will total around $3bn once complete

H1 16

Income / (Loss)

H2 16

1,845

2,865

855 165

Total since N 15Nov 15

(167)

(50) (15)

(418)

(253)

(79)

H1 17

Profit / (Loss) before tax

1) In 2016 the Group decided to exit Principal Finance and consequently from 1 January 2017 gains and losses are treated as restructuring and excluded from the Group’s underlying performance

40

Interest rate sensitivityEstimate ~$80m of NII benefit in H1 17, in line with current estimate

NII sensitivity to +50bps rise in global interest rates1 Transmission from USD rates to LCY so far limited2

$300-400m 2.0

annualised NII benefit

USD

1.8

1.6

1.4

1.2

1.0

0.8

0.6

0.4

0.2

0.0

KRW

SGD

HKD

HKD

SGD

KRW

Other non USD Dec-15 Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17

3M USD LIBOR 3M HKD HIBOR

3M SGD SIBOR 3M KORIBOR

1) NII sensitivity based on a 50bps instantaneous parallel shift (increase) across all currencies. Estimate subject to significant modeling assumptions and subject to change 2) Source: Standard Chartered Global Research , Bloomberg

41

Glossary

Acronym/term Explanation

A/D ratio Advances-to-deposits ratio

ABC

ACAMS

AME

AML

ASA

AT1

BSAAG

BCBS

C&OI

CASA

CB

CET 1

CF

CG

CIB

Cover ratio

EA

Ecosystem Group initiative to bank clients’ networks of suppliers and buyers

Association of Certified Anti-Money Laundering Specialists

Anti-Bribery and Corruption

Africa & Middle East

ASEAN & South Asia

Basel Committee on Banking Supervision

Bank Secrecy Act Advisory Group

Central and other items

Common Equity Tier 1 capital

Commercial Banking

Credit grade

Corporate Finance

Represents extent to which NPLs are covered by impairment allowances

Corporate & Institutional Banking

Anti-money laundering

Additional Tier 1 capital

Current account and savings account

Europe & Americas

Acronym/term Explanation

FX Foreign Exchange

GCNA Greater China & North Asia

HoH Half-on-half

ICC International Chamber of Commerce

IFRS International Financial Reporting Standards

LI Loan impairment

Liquidation portfolio

Portfolio of assets beyond current risk appetite metrics and is held for liquidation

NII Net interest income

NIM Net interest margin

NNM Net new money

nm Not meaningful

NPL Non-performing loans

PB Private Banking

RB Retail Banking

RUSI Royal United Services Institute

RWA Risk-weighted assets

WM Wealth Management

YoY Year-on-year

42