#1INVESTOR PRESENTATION FOURTH QUARTER 2017 November 28, 2017 Scotiabank®#2CAUTION REGARDING FORWARD-LOOKING STATEMENTS Our public communications often include oral or written forward-looking statements. Statements of this type are included in this document, and may be included in other filings with Canadian securities regulators or the U.S. Securities and Exchange Commission, or in other communications. All such statements are made pursuant to the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995 and any applicable Canadian securities legislation. Forward-looking statements may include, but are not limited to, statements made in this document, the Management's Discussion and Analysis in the Bank's 2017 Annual Report under the headings "Outlook" and in other statements regarding the Bank's objectives, strategies to achieve those objectives, the regulatory environment in which the Bank operates, anticipated financial results (including those in the area of risk management), and the outlook for the Bank's businesses and for the Canadian, U.S. and global economies. Such statements are typically identified by words or phrases such as "believe," "expect," "anticipate," "intent," "estimate," "plan," "may increase," "may fluctuate," and similar expressions of future or conditional verbs, such as "will," "may," "should," "would" and "could." By their very nature, forward-looking statements involve numerous assumptions, inherent risks and uncertainties, both general and specific, and the risk that predictions and other forward- looking statements will not prove to be accurate. Do not unduly rely on forward-looking statements, as a number of important factors, many of which are beyond the Bank's control and the effects of which can be difficult to predict, could cause actual results to differ materially from the estimates and intentions expressed in such forward-looking statements. These factors include, but are not limited to: the economic and financial conditions in Canada and globally; fluctuations in interest rates and currency values; liquidity and funding; significant market volatility and interruptions; the failure of third parties to comply with their obligations to the Bank and its affiliates; changes in monetary policy; legislative and regulatory developments in Canada and elsewhere, including changes to, and interpretations of tax laws and risk-based capital guidelines and reporting instructions and liquidity regulatory guidance; changes to the Bank's credit ratings; operational (including technology) and infrastructure risks; reputational risks; the risk that the Bank's risk management models may not take into account all relevant factors; the accuracy and completeness of information the Bank receives on customers and counterparties; the timely development and introduction of new products and services; the Bank's ability to expand existing distribution channels and to develop and realize revenues from new distribution channels; the Bank's ability to complete and integrate acquisitions and its other growth strategies; critical accounting estimates and the effects of changes in accounting policies and methods used by the Bank as described in the Bank's annual financial statements (See "Controls and Accounting Policies-Critical accounting estimates" in the Bank's 2017 Annual Report) and updated by quarterly reports; global capital markets activity; the Bank's ability to attract and retain key executives; reliance on third parties to provide components of the Bank's business infrastructure; unexpected changes in consumer spending and saving habits; technological developments; fraud by internal or external parties, including the use of new technologies in unprecedented ways to defraud the Bank or its customers; increasing cyber security risks which may include theft of assets, unauthorized access to sensitive information or operational disruption; anti-money laundering; consolidation in the financial services sector in Canada and globally; competition, both from new entrants and established competitors; judicial and regulatory proceedings; natural disasters, including, but not limited to, earthquakes and hurricanes, and disruptions to public infrastructure, such as transportation, communication, power or water supply; the possible impact of international conflicts and other developments, including terrorist activities and war; the effects of disease or illness on local, national or international economies; and the Bank's anticipation of and success in managing the risks implied by the foregoing. A substantial amount of the Bank's business involves making loans or otherwise committing resources to specific companies, industries or countries. Unforeseen events affecting such borrowers, industries or countries could have a material adverse effect on the Bank's financial results, businesses, financial condition or liquidity. These and other factors may cause the Bank's actual performance to differ materially from that contemplated by forward-looking statements. For more information, see the "Risk Management" section of the Bank's 2017 Annual Report. Material economic assumptions underlying the forward-looking statements contained in this document are set out in the 2017 Annual Report under the headings "Outlook", as updated by quarterly reports. The "Outlook" sections are based on the Bank's views and the actual outcome is uncertain. Readers should consider the above-noted factors when reviewing these sections. The preceding list of factors is not exhaustive of all possible risk factors and other factors could also adversely affect the Bank's results. When relying on forward-looking statements to make decisions with respect to the Bank and its securities, investors and others should carefully consider the preceding factors, other uncertainties and potential events. The forward-looking statements contained in this document are presented for the purpose of assisting the holders of the Bank's securities and financial analysts in understanding the Bank's financial position and results of operations as at and for the periods ended on the dates presented, as well as the Bank's financial performance objectives, vision and strategic goals, and may not be appropriate for other purposes. Except as required by law, the Bank does not undertake to update any forward-looking statements, whether written or oral, that may be made from time to time by or on its behalf. Scotiabank® | 2#3SCOTIABANK OVERVIEW Brian Porter President & Chief Executive Officer Scotiabank® 3#4FISCAL 2017 OVERVIEW Strong full year results MEDIUM TERM FINANCIAL OBJECTIVES Key Highlights Objectives 2017 Results • Strong performance across business lines EPS Growth 5-10% 8%1 ROE 14%+ 14.6% Operating Leverage Positive . Results in-line with medium term objectives • Structural cost initiatives progressing well ahead of plan and continuing to invest in the business . Improved credit performance -0.2%1 • Capital position remains strong Capital Levels Strong Levels 11.5% 1 Adjusting for restructuring charge of $278 million after-tax ($378 million before-tax) in Q2/16 • Annual dividend increased a cumulative 5 cents or 6% during the year Scotiabank® | 4#5FINANCIAL REVIEW Sean McGuckin Chief Financial Officer Scotiabank® 5#6FISCAL 2017 FINANCIAL PERFORMANCE - ANNUAL $MM, except EPS 2017 Y/Y1 Net Income $8,243 +8% • Diluted EPS $6.49 +8% • Revenue $27,155 +3% Expenses $14,630 +3% Productivity Ratio 53.9% +20bps Core Banking Margin 2.46% +8bps PCL Ratio 45bps -5bps · NET INCOME¹ BY BUSINESS SEGMENT ($MM) +9% Y/Y +15% Y/Y +16% Y/Y YEAR-OVER-YEAR HIGHLIGHTS1 Diluted EPS grew 8% Revenue up 3% 。 Asset growth and higher core banking margin o Higher banking, wealth management and insurance o Lower trading and net gain on sale of businesses 。 Lower net gains on investment securities only partially offset by higher gains on sale of real estate Expense growth of 3% 。 Technology costs and professional fees 。 Employee-related costs and impact of acquisitions FY2017 operating leverage was flat 。 Structural cost transformation savings of approximately $500 million for the year, ahead of $350 million target Contributed to low all-bank expense growth despite large technology and digital investments 3,736 4,064 2,079 2,390 1,571 1,818 • PCL ratio improved 5 bps Canadian Banking International Banking Global Banking and Markets o Lower energy related credit losses ■ 2016 ■ 2017 1 Adjusting for restructuring charge of $278 million after-tax ($378 million before-tax) in Q2/16 Scotiabank® | 6#7Q4 2017 FINANCIAL PERFORMANCE - QUARTERLY $MM, except EPS Q4/17 Y/Y Q/Q Net Income $2,070 +3% -2% • Diluted EPS $1.64 +4% -1% • Revenue $6,812 +1% -1% Expenses $3,668 +1% Productivity Ratio 53.8% -30bps +50bps Core Banking Margin 2.44% +4bps -2bps PCL Ratio 42bps -3bps -3bps DIVIDENDS PER COMMON SHARE +$0.02 +$0.03 $0.74 $0.74 $0.76 $0.76 $0.79 Q4/16 Q1/17 YEAR-OVER-YEAR HIGHLIGHTS Diluted EPS grew 4% Revenue up 1% 。 Asset growth in retail and commercial lending o Higher core banking margin o Higher card revenues and net gains on investment securities 。 Partly offset by lower trading, lower fee and commission revenue from sale of Hollis Wealth and lower gains on sale of real estate Expense growth up 1% 。 Investments in technology, digital banking, and other initiatives 。 Higher employee-related costs 。 Partly offset by savings from structural cost transformation and impact from sale of HollisWealth PCL ratio improved 3 bps Q2/17 Q3/17 Q4/17 o Improvement across all three business lines Announced dividend increase 1 Adjusting for restructuring charge of $278 million after-tax ($378 million before-tax) in Q2/16 Scotiabank® | 7#8STRONG CAPITAL POSITION CET1 ratio of 11.5% 11.3% +30 bps -16 bps 11.5% +2 bps +4 bps Q3/17 Internal Capital Generation Business Growth RWA (ex. FX) Foreign Exchange Other Q4/17 Translation Strong CET1 ratio of 11.5%, an increase of 20 bps Q/Q CET1 risk-weighted assets increased 3% or $11 billion Scotiabank® | 8#9IFRS 9 Underlying credit performance remains strong, but expect greater volatility from IFRS 9 TIMING DISCLOSURE • Prospective adoption effective November 1, 2017 ⚫ First set of interim financial statements under IFRS 9 for the three months ended January 31, 2018 (fiscal Q1/18) . Adjustment to opening balance sheet through retained earnings • No restatement of prior period comparative statements TRANSITION IMPACT • Reduction of total shareholders equity by approximately $600 million after-tax • A reduction of CET1 ratio of 15 bps, mainly from the transition adjustment's impact on shareholder's equity and deferred tax assets Scotiabank® | 9#10CANADIAN BANKING Strong loan growth, margin expansion and positive operating leverage FINANCIAL PERFORMANCE AND METRICS¹ ($MM) Q4/17 Y/Y Q/Q • Revenue $3,265 +5% Expenses $1,629 +1% PCLS $218 -3% Net Income $1,067 +12% +2% Productivity Ratio 49.9% -190bps -10bps Net Interest Margin 2.41% +2bps PCL Ratio 0.27% -1bp -1bps . NET INCOME¹ ($MM) AND NIM (%) 2.39% 2.39% 2.38% 2.41% 2.41% • 1,045 1,067 • 954 981 971 Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 1 Attributable to equity holders of the Bank 2 Adjusted for the Tangerine run-off mortgage portfolio · YEAR-OVER-YEAR HIGHLIGHTS Net income up 12% 。 +7% was attributed to the HollisWealth gain Strong asset and solid deposit growth Loan growth of 6%, or 7%, adjusting for the Tangerine run-off mortgage portfolio o Residential mortgages up 6%² o Business loans up 13% Deposits up 3% NIM up 2 bps Driven by rising rate environment and changes in business mix PCL ratio improved by 1 bp Expenses up 1% 。 Higher investments in digital and technology o Partially offset by savings realized from cost reduction initiatives and lower expenses from the sale of HollisWealth Operating leverage of +2.9% for the year Scotiabank® | 10#11INTERNATIONAL BANKING Solid volume growth and positive operating leverage FINANCIAL PERFORMANCE AND METRICS¹ ($MM) Q4/17 Y/Y Q/Q Revenue $2,565 +3% -3% Expenses $1,395 -1% -3% PCLS $310 +5% -5% Net Income $605 +11% -1% Productivity Ratio 54.4% -210bps -10bps Net Interest Margin 4.67% -10bps -10bps • PCL Ratio 1.14% -1bps -2bps • NET INCOME¹ ($MM) AND NIM (%) 4.77% 4.73% 5.00% 4.77% 4.67% 547 576 595 614 605 Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 . • YEAR-OVER-YEAR HIGHLIGHTS Net Income up 11% or 8%² 。 Strong asset and deposit growth 。 Good expense control 。 Lower tax benefits and lower contribution from affiliates Loans up 7% or 10%² 。 Latin America loan growth up 15%² Y/Y Deposits up 7% or 11%2 NIM down 10 bps 。 Changes in business mix, including strong commercial loan growth 。 Lower net inflation impacts PCL ratio improved by 1 bp Expenses down 1% or up 2%² 。 Volume growth and inflation 。 Higher investments in digital and technology 。 Offset by savings from cost reduction initiatives and foreign currency translation Operating leverage of +3.3% for the year 1 Attributable to equity holders of the Bank 2 Adjusting for foreign currency translation Scotiabank® | 11#12GLOBAL BANKING AND MARKETS Higher contributions from equities and improved credit performance FINANCIAL PERFORMANCE AND METRICS¹ ($MM) Q4/17 Y/Y Q/Q Revenue $1,089 -7% -3% Expenses $569 +7% +7% PCLS $8 -79% -67% Net Income $391 -15% -11% • Productivity Ratio 52.3% +690bps +490bps Net Interest Margin 1.88% +10bps +12bp PCL Ratio 0.04% -15bps -7bps NET INCOME¹ AND TRADING INCOME² ($MM) 548 518 YEAR-OVER-YEAR HIGHLIGHTS Net Income down 15% 。 Higher equities and Canadian corporate banking o More than offset by lower results in fixed income, precious metals and negative impact of foreign currency translation PCL ratio improved by 15 bps 。 Lower provisions in U.S., Asia and Canada Expenses up 7% o Regulatory and compliance costs o Technology investments 。 Partly offset by lower performance-related and share- based compensation 423 448 299 461 469 517 441 391 Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 1 Attributable to equity holders of the Bank 2 Trading income on an all-bank basis ⑤Scotiabank® | 12#13OTHER SEGMENT1 Results reflect lower net gains NET INCOME² ($MM) (23) (48) (55) (78) (86) Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 YEAR-OVER-YEAR HIGHLIGHTS Lower net gain on investment securities and real estate gains Partly offset by lower expenses 1 Includes Group Treasury, smaller operating segments, and other corporate items which are not allocated to a business line. The results primarily reflect the net impact of asset/liability management activities 2 Attributable to equity holders of the Bank ⑤Scotiabank® | 13#14RISK REVIEW Daniel Moore Chief Risk Officer Scotiabank® 14#15RISK REVIEW Overall credit fundamentals are within expectations PCLs ($MM) AND PCL RATIO (bps) 45 bps 45 bps 49 bps 45 bps 42 bps 587 573 550 553 536 Q4/16 PCLs Q1/17 Q2/17 Q3/17 Q4/17 PCL ratio GILS1 ($B) AND NIL RATIO (bps) 49 bps 49 bps 44 bps 49 bps 43 bps 5.4 5.4 5.2 4.9 4.9 Q4/16 GILS Q1/17 Q2/17 Q3/17 Q4/17 NIL ratio • YEAR-OVER-YEAR HIGHLIGHTS PCLS and PCL ratio both improved, as well as Q/Q o Canada has stabilized and delinquency rates improved across all product categories o Improved loss rates in Canadian and International retail and commercial Global Banking and Markets loss rate at 4 bps Cumulative energy loan loss ratio of 2.1% below our committed 3% guidance through 2015 and 2017 Gross impaired loans improved 1% Q/Q1 。 Net impaired loan loss ratio improved by 1 bp Q/Q to 0.43% 。 Lower retail, commercial and wholesale gross impaired loans across all business lines 1 Excludes loans acquired under the Federal Deposit Insurance Corporation (FDIC) guarantee related to the acquisition of R-G Premier Bank of Puerto Rico. Scotiabank 15#16PCL RATIOS Improvement across all three business lines (Total PCL as a % of Average Net Loans & Acceptance) Canadian Banking Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 Retail 0.31 0.32 0.34 0.31 0.30 Commercial 0.14 0.21 0.14 0.09 0.07 Total 0.28 0.30 0.31 0.28 0.27 Total - Excluding Net Acquisition Benefit 0.29 0.31 0.32 0.29 0.28 International Banking Retail 2.01 2.10 2.19 2.08 2.00 Commercial 0.33 0.35 0.51 0.31 0.32 Total 1.15 1.21 1.33 1.16 1.14 Total - Excluding Net Acquisition Benefit 1.32 1.32 1.45 1.27 1.34 Global Banking & Markets 0.19 0.04 0.01 0.11 0.04 All Bank 0.45 0.45 0.49 0.45 0.42 Scotiabank® | 16#17APPENDIX Scotiabank® 17#18DILUTED EPS RECONCILIATION $ Per Share Q4/17 Reported Diluted EPS $1.64 Add: Amortization of Acquisition and Intangibles $0.01 Adjusted Diluted EPS $1.65 Scotiabank® | 18#19CORE BANKING MARGIN 2.40% 2.40% 2.54% 2.46% 2.44% Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 YEAR-OVER-YEAR HIGHLIGHTS Lower margins in International Banking given asset mix changes and lower inflation Partly offset by wider margins in Canadian Banking Scotiabank® | 19#20CANADIAN BANKING - REVENUE GROWTH AND NIM Good retail and commercial revenue growth REVENUE (TEB) ($MM) +5% Y/Y 3,266 3,265 3,112 NIM (%) 2.39% 2.39% 2.41% 2.41% 2.38% 831 815 813 1.67% 1.68% 1.64% 1.65% 1.66% 546 581 521 1,778 1,889 1,869 0.99% 0.97% 0.97% 0.96% 0.94% Q4/16 Q3/17 Q4/17 Q4/16 Q1/17 Q2/17 Q3/17 Retail Commercial Wealth Total Canadian Banking Margin Total Earning Asset Margin Q4/17 Total Deposits Margin Scotiabank® | 20#21CANADIAN BANKING - VOLUME GROWTH Strong business and residential mortgage growth, and continue to grow retail deposits AVERAGE LOANS & ACCEPTANCES ($B) +6%1 Y/Y AVERAGE DEPOSITS ($B) +3% Y/Y 325 318 306 235 235 228 42 46 47 46 75 77 74 75 73 73 68 78 160 162 162 191 196 183 Q4/16 Q3/17 Tangerine Residential mortgages mortgage run-off Q4/17 Personal & credit cards 1 Adjusting for Tangerine run-off portfolio, loans & acceptances increased 7% year over year Business Q4/16 Personal Q3/17 Q4/17 Non-personal Scotiabank 21#22INTERNATIONAL BANKING - REVENUE GROWTH Latin America continues to deliver revenue growth BY TYPE (TEB) ($MM) BY REGION (TEB) ($MM) +3%1 Y/Y +3%1 Y/Y 2,645 2,498 2,498 2,565 2,645 115 2,565 104 114 766 910 707 898 739 883 1,764 1,735 1,754 1,615 1,667 1,645 Q4/16 Net interest income Q4/17 Q3/17 Q4/17 Q4/16 Q3/17 Non-interest revenue Latin America Caribbean & Central America 1 Revenue growth of 4% Y/Y on a constant currency basis Asia ⑤Scotiabank® | 22#23INTERNATIONAL BANKING - VOLUME GROWTH Balanced loan and deposit growth AVERAGE LOANS & ACCEPTANCES ($B) AVERAGE DEPOSITS¹ ($B) +7%2 Y/Y +7%3 Y/Y 98 113 110 96 90 104 24 25 25 25 30 29 27 9 7 36 34 34 62 56 62 58 56 53 Q4/16 Q3/17 Q4/17 Q4/16 Business Residential mortgages Personal & credit cards 1 Includes deposits from banks 2 Average loans & acceptances growth of 10% Y/Y on a constant currency basis 3 Average deposits growth of 11% Y/Y on a constant currency basis Q3/17 Non- Personal Personal 62 62 Q4/17 ⑤Scotiabank® | 23#24INTERNATIONAL BANKING - REGIONAL LOAN GROWTH Strong loan and deposit growth partially offset by negative FX translation AVERAGE LOANS & ACCEPTANCES ($B) +7%1 Y/Y CONSTANT FX LOAN VOLUMES, Y/Y 104 32 32 113 110 Retail Commercial² Total 32 30 Latin America 13% 16% 15% C&CA -1% -1% Total 8% 12% 10% 81 72 Q4/16 Latin America Q3/17 80 88 Q4/17 Caribbean & Central America 1 Average loans & acceptances growth of 10% on a constant currency basis 2 Excludes bankers acceptances 6 Scotiabank® | 24#25GLOBAL BANKING AND MARKETS - REVENUE AND VOLUME GROWTH REVENUE (TEB) ($MM) -7% Y/Y 1,175 1,117 1,089 561 526 509 614 591 580 Q4/16 Business banking AVERAGE LOANS & ACCEPTANCES ($B) -2% Y/Y 81 32 82 79 Q3/17 Q4/17 Q4/16 Q3/17 Q4/17 Capital markets ⑤Scotiabank® | 25#26ECONOMIC OUTLOOK IN KEY MARKETS Macro economic growth improving for Pacific Alliance countries Real GDP (Annual % Change) Country 2000-15 Avg. 2016A 2017F 2018F Mexico 2.4 2.3 2.4 2.7 Peru 5.1 4.0 2.5 3.7 Chile 4.1 1.6 1.4 2.8 Colombia 4.0 2.0 1.6 2.5 2000-16 Avg. 2016A 2017F 2018F Canada 2.1 1.5 3.1 2.2 U.S. 1.9 1.5 2.2 2.4 Source: Scotia Economics, as of November 3, 2017 ⑤Scotiabank® | 26#27ENERGY EXPOSURES1 Well managed and performance better than expected COMMITTED TO OUR GUIDANCE OF A CUMULATIVE PCL RATIO OF LESS THAN 3%² SINCE 2015 • Cumulative PCL ratio of 2.1% as of Q4/172 ⚫ Risk of loss has declined in this sector DRAWN CORPORATE ENERGY EXPOSURE OF $15.5 BILLION INCREASED 1.2% Q/Q³ UNDRAWN COMMITMENTS OF $13.1 BILLION INCREASED 10.0% Q/Q³ Approximately 55% investment grade Approximately 75% investment grade 1 Exposures relate to loans and acceptances outstanding as of October 31, 2017 and to undrawn commitments attributed/related to those drawn loans and acceptances. 2 Cumulative PCL ratio by sector is calculated as total PCLs over the period Q1/15 - Q4/17 divided by the average quarterly exposure over the period Q1/15 - Q4/17. 3 Quarter-over-quarter impact is calculated on a constant currency basis. Inclusive of FX changes drawn exposures increased 4.0% and undrawn commitments decreased 12.0%. Scotiabank® | 27#28PROVISIONS FOR CREDIT LOSSES ($MM) Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 Canadian Retail 203 213 220 214 210 Canadian Commercial 14 22 16 10 8 Total Canadian Banking 217 235 236 224 218 Total - Excluding net acquisition benefit 221 240 247 232 224 International Retail 251 265 280 280 265 International Commercial 43 45 69 45 45 Total International Banking 294 310 349 325 310 Total - Excluding net acquisition benefit 337 340 380 355 365 Global Banking and Markets 39 80 2 24 8 All Bank 550 553 587 573 536 All Bank - Excluding net Acquisition benefit 597 588 629 611 597 Increase in Collective Allowance 0 0 0 0 0 All Bank 550 553 587 573 536 PCL Ratio (BPS) - Total PCLS as a % of Average Net Loans & Acceptances Excluding Collective Allowance 45 44 45 Including Collective Allowance 45 45 44 49 45 49 45 44 42 42 Scotiabank® | 28#29($MM) NET FORMATIONS OF IMPAIRED LOANS1 1200 1000 800 600 400 200 Q4/15 Q1/16 Q2/16 Q3/16 Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 Net formations Average 1 Excludes loans acquired under the Federal Deposit Insurance Corporation (FDIC) guarantee related to the acquisition of R-G Premier Bank of Puerto Rico. Scotiabank® | 29#30($B) 6 5 4 3 2 1 GROSS IMPAIRED LOANS1 1.15% 1.10% 1.05% 1.00% TOKE 0.95% 0.90% 0 0.85% Q4/15 Q1/16 Q2/16 Q3/16 Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 GILS (LHS) GILS as % of loans & BAS (RHS) 1 Excludes loans acquired under the Federal Deposit Insurance Corporation (FDIC) guarantee related to the acquisition of R-G Premier Bank of Puerto Rico. Scotiabank® | 30#31CANADIAN RESIDENTIAL MORTGAGE PORTFOLIO $101.5 49% $11.4 Insured Total Portfolio: $206 billion $90.1 $36.1 $31.1 $8.0 $3.8 $16.0 $1.8 $28.1 $27.3 $11.7 $0.2 $9.4 $0.7 $14.2 $11.5 $8.7 51% Ontario BC & Territories Alberta Quebec Atlantic Provinces Manitoba & Saskatchewan Uninsured Freehold $180B Condos $26B (Spot Balances as at Q4/17, $B) Average LTV of uninsured mortgages is 51%¹ New originations² average LTV of 64% in Q4/17 1 LTV calculated based on the total outstanding balance secured by the property. Property values indexed using Teranet HPI data. 2 New originations defined as newly originated uninsured residential mortgages and have equity lines of credit, which include mortgages for purchases, refinances with a request for additional funds and transfer from other financial institutions. Scotiabank | 31#32CANADIAN RETAIL: LOANS AND PROVISIONS (Spot Balances as at Q4/17, $B) $205.8 Total Portfolio: $283 billion1; 93% secured² $37.5 $32.8 $6.8 % secured Mortgages 100% Lines of Credit Personal Loans Credit Cards 61% 99% 3% PCL2 Q4/17 Q3/17 Q4/17 Q3/17 Q4/17 Q3/17 Q4/17 Q3/17 $ millions 5 3 60 61 78 83 67 67 % of avg. net loans (bps) 1 1 75 77 86 94 405 409 1 Includes Tangerine balances of $7 billion 2 81% secured by real estate; 12% secured by automotive Scotiabank® 32 32#33INTERNATIONAL RETAIL: LOANS AND PROVISIONS $18.1 $1.8 $4.3 Total Portfolio1: $56 billion; 67% secured (Spot Balances as at Q4/17, $ B1) $12.6 $1.7 $10.1 $0.5 $3.6 $2.7 $7.8 $1.4 $12.0 $5.6 $3.7 $1.6 $6.9 $7.3 $2.0 $2.7 $2.0 C&CA³ Mexico Chile³ Peru³ Colombia PCL2 Q4/17 Q3/17 Q4/17 Q3/17 Q4/17 Q3/17 Q4/17 Q3/17 Q4/17 Q3/17 $ millions 30 36 43 40 29 27 74 71 76 93 % of avg. net loans (bps) 70 78 168 156 96 42 92 405 383 571 683 Mortgages ($30.9B) Personal loans ($16.3B) Credit cards ($7.0B) 1 Total Portfolio includes other smaller portfolios 2 Excludes Uruguay PCLs of approximately $13 million 3 Includes the benefits from Cencosud and Citibank net acquisition benefits. Excluding the net acquisition benefits, C&CA's ratio would be 148 bps for Q4/17 and 119 bps for Q3/17 and Chile's ratio would be 136 bps for Q4/17 and 124 bps for Q3/17 Scotiabank® | 33#34Q4 2017 TRADING RESULTS Two trading loss days in Q4/17 14 12 10 10 (# of days in quarter) 9 ∞ 4 2 0 -0.3 2 3 4 5 6 7 8 Daily Trading Revenues ($MM) 9 10 13 15 17 22 22 ⑤Scotiabank® | 34#35Millions Q4 2017 TRADING RESULTS AND ONE-DAY TOTAL VAR Average 1-Day Total VaR Q4/17: $10.8 MM Q3/17: $11.0 MM Q4/16: $10.4 ММ 25 25 20 20 15 145 10 5 0 -5 -10 -15 1-day total VaR Actual P&L Scotiabank® 35#36FX MOVEMENTS VERSUS CANADIAN DOLLAR Canadian (Appreciation) / Depreciation Currency Q4/17 Q3/17 Q4/16 Q/Q Y/Y SPOT U.S. Dollar 0.775 0.802 0.746 3.4% -4.0% Mexican Peso 14.86 14.28 14.09 -4.1% -5.5% Peruvian Sol 2.520 2.599 2.508 3.1% -0.5% Colombian Peso 2,358 2,395 2,240 1.5% -5.2% Chilean Peso 493.3 521.1 487.0 5.3% -1.3% AVERAGE U.S. Dollar 0.800 0.758 0.762 -5.5% -4.9% Mexican Peso 14.52 13.83 14.39 -5.0% -0.9% Peruvian Sol 2.597 2.474 2.565 -5.0% -1.3% Colombian Peso 2,358 2,256 2,239 -4.5% -5.4% Chilean Peso 506.7 504.1 505.8 -0.5% -0.2% Scotiabank® 36#37INVESTOR RELATIONS CONTACT INFORMATION Adam Borgatti, Vice President 416-866-5042 [email protected] Steven Hung, Director 416-933-8774 [email protected] Scotiabank® 37 36