About Grupo Financiero Galicia

Grupo Financiero Galicia S.A. operates as a financial services holding company for Banco de Galicia y Buenos Aires S.A.U. (Banco Galicia), which offers a wide range of financial services, both to individuals and companies. Banking Banco Galicia is one of Argentina's full-service banks and is a leading provider of financial services in Argentina. It is also the company's largest subsidiary. Banco Galicia provides a full range of financial services through one of the most extensive and diversified distribution platforms amongst private-sector financial institutions in Argentina. Banco Galicia's customer base was consisted of approximately 3 million customers, who were consisted of mostly individuals but who also included 25,682 companies. Banco Galicia has a strong competitive position in retail banking, both with respect to individuals and (Small and Medium Enterprises) SMEs. Specifically, based on internal studies undertaken by Banco Galicia, it is estimated that Banco Galicia is the primary providers of financial services to individuals, one of the providers of credit cards, one of the primary private-sector institutions serving SMEs, and has traditionally maintained a leading position in the agriculture and livestock sectors. Banco Galicia's primary clients are classified into three categories or segments, Wholesale, Retail, and Financing. Segments Retail segment The Retail segment is made up of all clients, individuals, and legal entities. This segment serves some 3.5 million customers, of which 3.1 million are individuals with no business activity, 320,000 are individuals with business activity, and 100,000 are small and medium enterprises. During 2022, Banco Galicia continued working on satisfying new needs, developing new functionalities in service channels, with special emphasis on digital channels, and adopting cutting-edge technologies to improve the experience and day-to-day life of its customers. During 2022, Banco Galicia focuses on improving digital services, reducing waiting times and claim resolution processes, as well as improving interaction via email, chat and social networks. In addition, Banco Galicia incorporated the possibility for its clients to be assisted by a service officer through WhatsApp 24 hours a day, seven days a week, which leads to minimum response and resolution times. Clients in the Retail segment are divided according to the type of services that they are given in various clusters, such as Personas (Individuals); MOVE (Individuals); EMINENT (Individuals); Negocios & Profesionales (Business and Professionals 'NyPs'); and PyMEs (Small and Medium Enterprises 'SMEs'). Personas, Prefer and MOVE Cluster: Banco Galicia serves more than 3 million clients, and 86% of those clients belong to these two clusters. For the universe of Personas and MOVE, during 2022, Banco Galicia continues to promote initiatives that impact its customers' entire life cycle at the bank, starting with registration and welcome steps through biometric processes that protect the clients´ identity, to digital access to solve their after-sales needs and requests. Banco Galicia offers the Galicia EMINENT premium service, which provides differential and exclusive attention to its clients through EMINENT executives in the branch network and also digitally through Galicia Conecta using personal WhatsApp messages or e-mails, no matter the location, with 24x7 service. Business & Professionals (NyPs) and SMEs Cluster: Within its SMEs cluster client base, 50% of its clients is dedicated to activities related to wholesale/retail trade and the reaming 50% are dedicated to activities related to the service, industrial, agricultural and mining sectors. During 2022, Banco Galicia's client base in this cluster reached a total of more than 108,000 SMEs and 400,000 NyPs, including more than 46,000 businesses within these two segments. In 2022, Banco Galicia launched a new service model for SMEs and NyPS which consisted of providing remote access for executives so that they do not need to be physically present in the corresponding branch, improving customer service experience and providing faster responses to customer inquiries, helping to further develop such clients' businesses on a remote basis. Additionally, Banco Galicia continues to strengthen its special offer for startups by adjusting and customizing its different credit lines to the specific activities and needs of each client. During 2022, Banco Galicia repositioned 'Buenos Negocios', a brand used within the NyPs and SMEs cluster, by organizing and holding several meetings, events, talks and courses led by renowned speakers on different topics of interest to its customers, offering its clients business networking opportunities and introducing them to valuable financial tools and services. These events were attended by more than 25,000 attendees overall, including businesses, entrepreneurs, and SMEs. Banco Galicia continues to promote special offers for new start-up clients, and to adjust and customize its different credit lines to the specific activities and needs of each corresponding SME. It also adjusted and customized some of the services provided to entrepreneurs, independent professionals and businesses, not only as a result of changes in the dynamics of Banco Galicia's attention and self-management, but also to satisfy its clients needs, who requested traditional payment and collection services to transition to digital and online based payment and collection services. Wholesale segment The Wholesale Segment was consisted of 25,682 customers as of December 31, 2022 (both individuals and legal entities) and divided in the following clusters (depending on each client's profile and activities, as described further below): corporate, companies, and agribusinesses. The Wholesale segment focuses on providing its clients with a business platform that offers specialized financial and business advice. This segment works to provide a flexible and straightforward experience to its clients. Banco Galicia creates lasting bonds with clients through a value proposition that leads to recurring and growing results. Banco Galicia continues to enhance a single-channel strategy for Wholesale Banking customers, focusing on relationship banking and the provision of customized and highly specialized attention and service. In line with this strategy and in order to provide national coverage to these clients, there are 20 business centers. In 2022, Banco Galicia launched a program called 'Socios de Valor', which connects the value chain between suppliers and buyers. The bank also provides the same level of service at all points of contact, thus providing for consistent customer service. During 2022, this segment's 'Office Banking', a digital banking interaction channel, doubled its traded volumes and number of transactions as compared to 2021 thanks to newly incorporated capabilities which allowed many customers to transact through such channel 24 hours a day, 7 days a week. In addition, Banco Galicia also improved its 'Office Banking' app, adding new features that allow customers in the Wholesale Segment to carry out transactions from any location where they are present. The main types of transactions and products utilized by the Wholesale Segment banking customers, which consists of payments and collections, foreign trade, and financial and investment products, are 100% digital and self-managed. The Wholesale Segment focuses on three core areas: customer experience, efficiency, and business growth. Clients in the Wholesale segment are divided by the type of services that they are given in various clusters, such as companies; agrobusiness; and corporate banking. Companies Cluster: During 2022, Banco Galicia continues to promote and improve all of the collection and payment solutions offered through the 'Office Banking' tool and the 'Office App', making it easier for its customers to operate and transact in an agile and straightforward manner. In addition, Banco Galicia began incorporating the network connection to these tools via API, allowing for the functionalities of the same to be used by other applications or software. In 2022, Banco Galicia launched the 'NAVE' platform, which has the purpose of simplifying its clients day-to-day operations, providing them with tools that make it easier for them to focus on their sales, allowing them to save time by running their business in a faster and more practical way. Banco Galicia continues to provide credit to companies with extensive offers of financing lines with the possibility of fully and quickly accessing them for working capital and investment projects. It also provides SMEs companies with productive line offers, monetizing Ps.19,728 million in short-term lines and Ps.3,230 million in long-term lines. In 2022, Banco Galicia started offering financial leasing services through the 'Office Banking' platform and expanded the offer of financings guaranteed by Sociedad de Garantía Recíproca (SGR) which are also 100% digital. Agrobusinesses Cluster: This cluster within the Wholesale segment is the only one that is determined by the activity of the clients it serves. Banco Galicia has always supported the development of Argentine agricultural producers and companies throughout the agro-industrial chain. Banco Galicia accompanies the digital transformation of its Agribusiness clients by promoting digital and agile solutions for their daily operations in their different stages of developing and taking into account the seasonality of their business. Banco Galicia adds value through the provision of digital products to finance the purchase inputs and capital goods and to provide working capital to Agribusiness Cluster clients. These products are used by companies in this cluster as a primary means of payment for such goods and services in the producer´s account. The launch of Nera, Grupo Galicia's newest subsidiary in 2022 allows Banco Galicia to continue developing and improving its digital financing products and offerings. Corporate Cluster: This cluster features a service model that is based on developing commercial, strategic and close, long-term relationships. This category is consisted of 835 economic groups with annual sales that start at a minimum of Ps.10,000 million or that -given the complexity of their businesses or their multinational profile- might require very specific attention in terms of financial advice and structuring. Financial segment The Financial segment includes financial institutions clients, the public sector, and institutional clients. Financial Institutions: At an international level, Banco Galicia's relationships in the financial institutions cluster are consisted of correspondent banks, international credit agencies, official credit banks, and export credit insurance companies; whereas at a domestic level, Banco Galicia's clients include banks, financial companies, exchange bureaus, fintechs, and other entities that carry out related financial activities. Banco Galicia continues to enjoy long-term relationships with multilateral organizations and official credit banks, with the purpose of expanding the range of services offered to its client base, mainly in the agro-industrial sector and in the areas of energy efficiency and renewable energies. Public Sector: This segment focuses on the development of the bank's relationship with, among other entities, National, Provincial and Municipal States, State-Owned Companies, State Universities and Educational Institutions, Savings Banks, Schools, Unions', and Healthcare Services. During 2022, Banco Galicia participated in, and was selected as winning bidder of, certain tender processes to provide financial services to the National University of Misiones, the National University of Avellaneda and the University of Buenos Aires. This allowed the bank to grow in terms of asset gathering and at a transactional level, achieving visibility in an increasingly competitive market. Additionally, Banco Galicia managed to be engaged as financial agent for the Municipality of the City of Mendoza, allowing it to reaffirm its commitment to said province and generate new business on a large scale. During 2022, Banco Galicia made efforts to connect its clients to 'Galicia Securities', a channel 100% committed to the provision of investment advisory services. This allowed the bank to increase the size of its investment portfolio, which grew significantly as compared to 2021. Institutional: This segment is consisted of the banks's clients that are mutual funds, insurance companies and other institutional funds (e.g., the National Social Security Administration (Administración Nacional de la Seguridad Social, ANSES)) served by the bank. These clients generally require services consisting of investments (purchase and sale of public and private bonds, through primary and secondary markets), demand and term deposits, and custody of assets. Trading & Global Markets One of the main responsibilities of the Office of Trading & Global Markets is the administration and operation of the positions in foreign currency, financial derivatives, liquidity position and securities, public or private, for its own portfolio or intermediation, in the primary or secondary market, with counterparties or clients. Consumption Grupo Financiero Galicia offers financing and digital services to low- and medium-income customer segments in Argentina. In addition, through Banco Galicia, Grupo Financiero Galicia also offers credit cards to customers in Argentina. In terms of consumption, one of the highlights in 2019, was the launching of Naranja X, the virtual wallet from Naranja X, which focuses on technology and digital channels. During 2020, Naranja launched Tarjeta Virtual Naranja, available via the Naranja App and Naranja Online (NOL), to better assist clients in the context of the COVID-19 pandemic. This card allows customers to make purchases online in a more secure way. Insurance Galicia Seguros provides life, property, and casualty insurance to customers. With respect to property and casualty insurance products, Galicia Seguros primarily underwrites home and ATM theft insurance. With respect to life insurance, group life and personal accident insurance are its most significant source of revenues. Galicia Retiro offers annuity products and Galicia Broker is an insurance broker. Galicia Seguros, Galicia Retiro and Galicia Broker are subsidiaries that operate exclusively in Argentina. Other Business Asset Management has dedicated to the administration of the Fima Common Investment Funds that are distributed through the different commercial channels of Banco Galicia. It has a wide range of investment funds designed for each investor profile, which allows all types of investors to easily access the capital market through the various Fima funds. Sales and Marketing Grupo Galicia's subsidiaries interact with their customers through a variety of marketing channels, which include digital tools and physical branches, tailored to meet specific customer needs. The bank introduced the 'Chat 24 x 7' initiative, becoming the first Argentine bank to provide assistance to customers every day at every hour. Additionally, Banco Galicia developed tools and solutions for its clients to self-manage their information needs. Banco Galicia worked together with its planning and customer experience departments to determine the impact that problem solving upon first contact can have on the customer's experience. Digital and Self-Management Channels Banco Galicia developed solutions to enable its clients to self-manage their information needs. It also enhanced and improved its interactive voice response systems (IVRs) capabilities, adding new features to 'Gala', its virtual assistant, and improving the content of the help section for individuals. Banco Galicia incorporated a new 'Help Section' into its web and mobile channels, creating an unassisted channel focused on providing self-management capabilities for its retail and wholesale customers. These are some of Grupo Financiero Galicia's (or its subsidiaries) digital and self-management channels: Galicia App: This is the mobile online banking app for Banco Galicia. It allows clients to manage their day-to-day banking needs in one place, enabling them to send and request money transfers, make payments with a QR code, withdraw cash without a card, pay for services, request loans, make investments, purchase insurance coverage and control their expenses. In 2022, the app was used by more than 2 million clients, averaging 63 million monthly logins. In addition, the Galicia App continued to offer functionalities, such as contactless payments for Visa and Mastercard, display of outstanding installments and reporting of lost or stolen cards. Online Banking: This is a web-based online platform that Banco Galicia offers to clients in its retail segment. Through this platform, clients can pay services, make transfers, view and download account transactions, consult their available credit cards, apply for personal loans, invest in Fima Funds and apply for insurance. Office Banking: This is a web-based online platform that Banco Galicia offers to clients in its wholesale segment. Banco Galicia has promoted self-management, and the office banking platform allows companies to carry out a credit assessment of themselves with just one click. The office banking platform, both through its web and mobile versions, offers the bank's clients the ability to manage their businesses from any location. Banco Galicia continues to make technological improvements to offer more robust solutions to companies and add new functionalities to the Galicia Office App. In 2022, more than 110 thousand clients used office banking, averaging over 6 million monthly logins. Additionally, the Galicia Office App was relaunched featuring new functionalities: transaction simulation in connection with, and taking out of, immediate loans 24 hours a day, issuance of checks and simulation of their sale, payment and management of services, consultation with Fima Funds, making transfers on any desired day and time and registering account salaries for employees 24 hours a day. Banco Galicia added new functionalities that allow customers to access their credit rating online to know the lines and amounts of financing available to them; issue electronic checks 24 hours a day; and make use of 100% online payment solutions. Gala: This is the name of Banco Galicia's virtual assistant. It is featured in five different channels and it functions 24x7. Gala was designed to answer customer and non-customer inquiries, providing information on more than 200 topics related to products, services, password management and Quiero! Points, among other things. In 2022, Banco Galicia added new features to Gala in order to further digitize customer related interactions and inquiries, such as PIN restoring, balance display, display of transaction limits and available balances on credit cards, display of latest checking account movements, provision of latest account PDF summaries/extracts, CBU and Alias consultation and proof, consultation of closings and expirations, card replacement, resolution of foreign trade transfer status inquiries, display of Delivery Status of cards, card redemption and card delivery between branches and resolution of FIMA fund balance inquiries. Laia: Galicia Seguros added more sales and after-sales procedures to their BOT 'Laia', such as requesting a policy, scopes of coverages, lodging complaints for losses and additional services. Galicia Seguros improved their service through WhatsApp, which is the channel handling between 20% and 30% of the transactions, streamlining it and making it accessible for all operations with customers. Nixi: In 2022, Naranja X developed an automated service bot via WhatsApp in order for its services to be available through such app. Galicia Seguros also launched its corporate WhatsApp channel to streamline all procedures, and this channel became the clients' first option when contacting Naranja X. NX App: Naranja X continued working on the migration of credit card self-management functionalities from the Naranja application to the Naranja X mobile application. Additionally, it sought to migrate the channels and access points to a single Naranja X ecosystem, adapting the conversational style and the Chat and WhatsApp accesses. Social Media Networks: Banco Galicia uses social media networks to inform, educate and solve inquiries. Banco Galicia focuses on financial education and awareness about cybersecurity. Naranja X's 2022 social media strategy was based on six content pillars: product and sales proposal, financial inclusion and education, promotions, cybersecurity, community, and environment. Banco Galicia conducted the core campaign 'Gente en Ascenso' (Advancing People), created with the purpose of encouraging financial improvement and the idea that everything in life can be achieved. Naranja X focuses on sharing content about the Naranja X app, as well as its bank account and its credit and debit cards. Through campaigns and content created especially for social networks, Naranja X highlighted the accessibility of its products and the ease of resolving 100% of transactions online. Nera platform: Through the Nera platform, Agri Tech connects producers with the main inputs suppliers in the sector to promote development throughout the ecosystem. This 100% digital tool generates immediate financing for the agriculture industry and unifies the purchase process with financing in the same channel. Inviu: The company's new financial innovation company, launched in 2021, through an innovative app focuses on customers. Inviu brings investing individuals and companies closer to Financial Advisors through innovative digital tools that allow investing in the United States and the local Argentine market in just a few steps, fostering inclusion and accessibility to financial services. Assisted Channels Officers and executives at Grupo Financiero Galicia offer clients assisted support. Banco Galicia and Naranja X feature a large network of branch offices throughout the country, help centers for clients, and remote customer service. Banco Galicia developed a new channel for its clients: supplementary financial services agents, also known as non-banking correspondents. Through this new channel, clients can carry out transaction operations, such as the payment of statement balances, receipt of ANSES subsidies (subsidies granted by the Argentine Government Department that administers the funds of the country's state-run pension system -'Administración Nacional de la Seguridad Social'), and make cash withdrawals, in stores or collecting companies, such as Pago Fácil (easy pay). Banco Galicia expanded its geographic coverage and further grew its network of face-to-face service channels, resulting in an improved customer experience. Throughout 2022, through this service offering, Banco Galicia increased by 50% the number of transactions made by its customers and reached 313,020 new users. Automatic Banking Automatic banking consists of self-service terminals (TAS) and ATMs, all of them located at Banco Galicia and Naranja X branch offices and other spots in the country. Through the self-service terminals, customers have access to withdrawal order functionalities in the self-service terminals and ATMs, with the aim of allowing clients to send money even to third parties that do not have a savings account or a Galicia debit card and a Banelco PIN (4-digit Personal Identification Number which allows customers to operate through ATMs with a Galicia Debit Card); deposit of paychecks in custody and sale of paychecks; the ability to use paychecks under custody to make pending payments; and placing withdrawal order for companies through office banking for an amount of up to Ps.100,000. Products and Services Grupo Galicia provides products and services tailored for each customer, individual or company, that are designed to satisfy their unique needs. Grupo Galicia creates and manages these products and services, including financing, E-checks, insurance, credit cards, investments, foreign trade operations, among others. Banco Galicia offers various financing products for its customers: Retail Personal Loans: The traditional loan for retail customers with an amount of up to Ps.5 million and a term of up to 72 months. The accreditation is immediate through online banking or the Galicia app. Salary Advance: It is a quick financing solution for the day-to-day life of its customers, where the bank lends the client up to 50% of his salary. The maturity for this type of loans is between 2 to 45 days. Prestamos Express (Express loans): Through Online Banking, Banco Galicia offers loans with a total repayment schedule that goes from 2 to 45 days. Prestamos Express is a product exclusively designed for clients who have not purchased the payroll services of Banco Galicia and which helps them better manage their finances. AfterPay: The AfterPay product allows customers to select installment plans for purchases already made with their debit card. The functionality is available to the entire customer portfolio and can be accessed from the app, in the 'Accounts' or 'Loans' sections. Buy Now Pay Later: This loan allows customers to pay for their purchases in installments without the need for a credit card. Wholesale Prestamo Inmediato (Immediate loans): Loan with immediate credit without collateral. The client can choose whether to pay in monthly, quarterly, or semi-annual installments as well as the term. This type of loan is intended for the purchase of capital goods. During 2022, borrowings pertaining to this type of loans amounted to Ps.187,000 million. Discount of electronic credit invoice and e-checks: The bank implemented the discount of electronic credit invoice and confirming checks; in both cases, the customer is allowed to discount the instrument and the debt is allocated to the payer's margin. During 2022, borrowings pertaining to this instrument amounted to Ps.269,000 million. Pledge and mortgage loans: The bank lends customers up to 70% of the purchase price of a capital asset. During 2022, borrowings pertaining to this type of loans amounted to Ps.2,384 million. SGR loans (Sociedad de Garantía Recíproca, 'SGR'): Similar to a pledge loan, this loan is guaranteed by reciprocal guarantee associations. During 2022, more than Ps.28,000 million were placed pursuant to this product. Overdrafts: It is a line of credit that covers customers transactions if their bank account balance is insufficient. Socios de valor (Value Partners): The purpose of this product is to enable Banco Galicia´s customers to offer financing at a rate subsidized by them to their own customers. Productive Line: It is an assistance line offered by the Argentine State, focusing on productive capital. Leasing: It is a type of loan through which companies are granted financing of up to 100% for the purchase of a vehicle for 36 months. When it ends, the client has the option to acquire the vehicle for a very competitive market value. During 2022, the following products stood out: Buy Now Pay Later: Banco Galicia developed Buy Now Pay Later, which gives clients the possibility to quantify consumption without the need for a credit card. This product is offered through the merchant´s online store, the transaction is prepared through NAVE and the customer accepts it through the Galicia App. Value Partners: In 2022, the Socios de Valor proposal evolved and the product offering was extended to 24 months, reaching a placement of Ps.6,000 million. In addition, new functionalities were incorporated into the office banking app. Platform Banking: In 2022, Banco Galicia develops Prestamos Personales through platform banking, offers Banco Galicia personal loans through third-party portals for both customers and non-customers. Customers can access a personal loan through a secure Banco Galicia platform by going through simple steps. Relaunch of Leasing: Galicia relaunched its leasing line for SMEs and companies, with a 100% digital proposal and a simplified after-sales service. Additionally, Naranja X offers pre-approved personal loans with minimum requirements in a 100% digital way, which loans are credited on the spot through the Naranja X app or at branches. + B line: Exclusive financing line for Triple Impact B Certified Companies, which seeks to generate a high social or environmental impact. It was created jointly with Sistema B, for those companies seeking to prioritize the well-being of people, societies, and nature. Linea Resiliencia (Resilience line): In 2022, Banco Galicia, together with Resilencia SGR, develops a line of financing for companies that promote diversity and inclusion as part of their internal policies, in their business model or in the creation of products and services. This line continues to reinforce the bank's commitment to society and the economic development of companies. Microcredits for small enterprises: In 2022, Naranja X promoted people's development by facilitating their economic growth and empowering their ability to manage their finances. To this end, it launched a line of microcredits for small productive enterprises to enable them to acquire materials and work inputs. These were financed by the Inter-American Development Bank (IDB), through the Argentine Ministry of Productive Development. E-Checks Banco Galicia previously developed an electronic check, an instrument, which allows companies to make collections and payments online and which has become a key tool. In 2022, more than 58% of the checks issued by Banco Galicia's customers were electronic and over 71% of payments made with checks were through an electronic check. Banco Galicia continues to improve and implement new functionalities in its multiple channels. The bank creates special sections in office banking for the management of check transactions, enabling the endorsement of multiple checks at the same time and allowing for the making of deposits in Interbanking (a multi-bank service designed for treasury management of medium and large companies). in respect of checks received. Banco Galicia continues to be the Argentine bank with the highest number of monthly electronic check issuances. The bank's focus on digital transformation has resulted in an exponential increase in the use of electronic checks. Insurance Galicia Seguros has a wide range of products that, in turn, provides a large number of different insurance coverages, fully covering the different needs of customers, based on their occupation, age or income level. Insurance is sold to customers of Banco Galicia, as well as of Naranja X. Galicia Seguros offers specific coverage through its broker, so that each customer feels protected and has support in everything it needs. In December 2022, Galicia Seguros had 2,657,758 active policies. Credit Cards Banco Galicia responds to the needs of its clients with an outstanding offer of services and benefits provided through its Galicia credit and debit cards. Banco Galicia offers Visa, Mastercard and American Express cards, and they are offered to clients of all tribes. Some of the products offer International, Gold, Platinum, Black/Signature cards. In 2022, Galicia added more than 10 new innovative features to facilitate the customer experience with credit and debit cards, focusing on self-management and digital channels with new operational functionalities. Virtual Wallets Galicia App is Banco Galicia's virtual wallet. With it, clients can pay using a QR code with the attached means of payments, which allows them to always have an alternative means of payment within their phones. Through the use of virtual wallets, Banco Galicia's clients can send money to their phone contacts with MODO (a digital payment solution), without the need to introduce CBU or Alias account codes; request money from their phone contacts to be sent through links; pay with a QR code; contactless payment in stores with android cell phones; make payments by scanning any QR code; and pay contactless (Apple Pay), through their mobile device or through their smartwatch. From the Galicia App, clients can access MODO and use the QR code to make payments to affiliated stores. Another feature is the possibility of transferring money to people registered as a contact on the client's cell phone, without the need to request a Unique Banking Key (Clave Bancaria Uniforme, 'CBU') or an Alias code. Banco Galicia also added Apple Pay technology, Apple's mobile payment service, to its digital operations, which allows its customers to pay with contactless technology through any iOS device. Investments Through Banco Galicia, Fondos Fima, Galicia Securities and Inviu, Grupo Financiero Galicia has a wide range of investment products. Banco Galicia channels the investments of legal persons not belonging to financial banking, such as the corporate, companies and agribusiness clusters, through a customized service called Mesa. The main products offered to this customer segment are investments, the custody, purchase and sale of foreign currency and banknotes, and marketing of transaction products. Galicia Securities offers its customers the following products: Government Securities and Corporate Securities, Shares and Argentine Certificates of Deposit (Certificado de Depósito Argentino, CEDEAR), Surety, Mutual Funds (Fima), Discount of Checks/Promissory Notes, Primary Issuances and Custody. Additionally, it offers services related to structured solutions: temporary liquidity, rate and currency hedging, customized solutions for holdings and subsidiaries, synergy between shareholders' accounts and controlled companies. Custody of Securities Banco Galicia acts as sub-custodian in the local and international markets. Banco Galicia also offers global custody services for corporate and institutional clients, providing such clients with differentiated attention. Fima Funds Galicia Asset Management has a wide range of investment funds designed for each investor profile, which allows all types of investors to easily access the capital markets through the various Fima funds. The following is a list of the Fima funds offered: Fima Premium: This is a fund that provides immediate-online liquidity with a yield close to a fixed-term deposit. It invests mainly in remunerated sight accounts and fixed-term certificates. It is suitable for very short-term investments in pesos. Fima Ahorro Pesos: This fund is to obtain yield from a portfolio of short-term bonds denominated in Argentine pesos. Its portfolio mainly includes treasury bills denominated in Argentine pesos, fixed terms, bonds, and remunerated accounts, among others. Fima Ahorro Plus: This investment portfolio includes short/medium term bonds denominated in Argentine pesos with low volatility and high liquidity. Its investment portfolio includes treasury bills in pesos, negotiable liabilities of first-line companies, provincial government debt securities, fixed terms, bonds and remunerated (interest generating) accounts, among others. The investor profile in this case is conservative/moderate and the recommended investment horizon is 90 to 120 days. Fima income in Argentine pesos: Its portfolio composition includes sovereign bonds, treasury bills denominated in Argentine pesos, negotiable liabilities and financial trusts, among others. Recommended for moderate investments that lasts between 1 and 2 years. Fima renta plus: This fund invests mainly in a portfolio of medium/long-term bonds denominated in Argentine pesos. It includes negotiable securities and public and private fixed income instruments in pesos, mainly sovereign bonds, negotiable liabilities, and provincial bonds and bills, among others. Suitable for moderate/risky investments of over 2 years. Open Fima SMEs: The company provides Open Fima SME services. Fima Capital plus: The company provides Fima Capital plus services. Fima international fixed income: This alternative fund seeks to obtain profitability from a portfolio of medium-term dollar bonds, mainly coming from Latin American markets and up to 25% in United States treasury bonds. Fima mix I: This is a fund denominated in pesos that invests in local assets that seek to track the evolution of the 'official dollar,' combined with a lower level of investment in variable income of shares that are listed on the New York Stock Exchange, through CEDEARs. Fima mix II: This is a fund denominated in pesos that invests mainly in local assets that seek to follow the exchange rate, complementing the portfolio with variable income assets and/or derivatives related to cryptocurrencies (equity linked cryptos). Since the portfolio includes medium to long-term instruments that have some associated volatility, the suggested investment horizon for this fund is greater than 3 years. Fima shares: The investment policy that was developed with respect to the benchmark index is all about accompanying the actual growth of the economy through the selection of stocks with good performance in their indicators. Fima PB shares: This fund is composed of shares of Argentine companies that belong to the 'S&P Merval' panel. This index considers the evolution of national and international companies that are listed on the local market. Fima Sustainable Portfolio FCI ESG: Fund denominated in pesos composed of local assets that contribute to generating returns for the investor in the long term through a portfolio that contains ESG assets issued by entities that consider environmental, social and governance aspects. Fima shares Latin America: The investment portfolio is mainly made up of Latin American stocks. This fund's benchmark is the S&P Latin America 40, which integrates shares of companies from the main economic sectors of Brazil, Chile, Mexico, Colombia, and Peru, among others. Inviu It is through Inviu that Grupo Financiero Galicia has developed a digital investment platform that allows users, both investors and financial advisors, to manage their portfolios in an efficient, simple and user-friendly way. Galicia Securities Galicia Securities offers financial and stock market services to individuals, companies, and financial institutions. It is an agent of Bolsas y Mercados Argentinos (BYMA), Mercado Abierto Electrónico S.A. (MAE), MAV and performs CIDA services. Foreign Trade Banco Galicia continues to accompany its clients in their international businesses through a personalized electronic platform and differentiated funding lines. Banco Galicia works to guarantee quality in end-to-end foreign trade operations and safety in the application of current regulations. In order to do this, the bank implements a 'Call & Ops' service model in which the service circle contacts clients directly and answers their questions, provides advice and resolves any difficulties during the preparation of the corresponding documentation. Capital Market & Investment Banking The bank participated in over 120 issuances of different instruments, including debt securities, short-term securities, sub-sovereign obligations, and financial trusts. Banco Galicia structured 11 transactions, not only under the syndicated loan scheme and restructurings in conjunction with other leading financial institutions, but also assisting large corporate customers through bilateral loans. During 2022, Banco Galicia structured syndicated transactions, mainly in the oil and gas and food sectors. Additionally, bilateral committed lines were subscribed with leading customers to ensure liquidity amid market uncertainty, amounting to a total of Ps.12.1 billion. Finally, Banco Galicia acted as guarantor of intercompany loans with top-tier clients. Banca Privada Private Banking provides a differentiated and professional financial service to high net worth individuals. Benefits The company launches new proposals through the online store, through which Grupo Financiero Galicia's customers can purchase physical products by redeeming points, redeeming points and paying the remaining price in pesos or paying the full price in pesos and/or in installments. In November 2022, the company launched the Points x Installments (Puntos x Cuotas) feature in the online store, which is a benefit through which a customer can redeem the points they have accumulated by exchanging them for the benefit to pay in installments without interest on selected products. In 2023, the company expects to be able to expand its benefits by adding more retailers to its online store. EMINENT benefits In order to provide a commensurate experience for EMINENT clients, the company develops targeted proposals that are in line with the pillars of the EMINENT proposal. This is a value proposition focuses on art, sports, fashion, gastronomy, women, and family. Besides, this proposal adds a series of experiences related to personal well-being, through the concept of 'Wellness Life'. During 2022, as part of the benefits offered through EMINENT, and in order to continue strengthening personalized relationships with EMINENT customers, Banco Galicia offered unique experiences and events for said customers. Among the most outstanding experiences offered to these customers were food and wine and Saturday brunch activities at the Duhau Palace Hotel in Buenos Aires, as well as two tennis clinics at the Buenos Aires Lawn Tennis Club, both organized in alliance with American Express. In addition, Banco Galicia offered its EMINENT customers invitations to participate in a wellness market, a pottery day, a yoga workshop and gastronomic tours in Bariloche, Neuquen, Villa Langostura and Nordelta, which events were organized jointly with Visa. Banco Galicia also organized sports events for EMINENT customers, most notably the Signature Trophy, a golf tournament organized jointly with Visa. Finally, Banco Galicia, together with Mastercard, organized the Priceless by Lardito (a restaurant in Buenos Aires) experience for EMINENT customers. Quiero! Program The Quiero! program has a catalog of around 600 benefits that can be accessed by more than 1.5 million Quiero! customers allowing them to find attractive deals by redeeming points for savings in stores with a national presence; vouchers redeemable for specific products. During 2022, more than 300,000 customers used at least one program benefit, with 'Beneficios Ahorro'. Benefits in Plan Z Naranja X launched a new exclusive program called 'Promo X online', where customers would start getting discounts, special and differentiated plans through the e-commerce sites of the most important brands in the country, including airlines, home appliances, clothing and supermarkets, an initiative that made a difference and produced very good results for Naranja X. Merchants / Toque / Nave NAVE, the new proposal for Banco Galicia's businesses, offers an independent office banking and online banking platform without logging out, where businesses can manage their collections, offer installments without a card, customize user permissions, view, and monitor all their sales in a single place (QR, Processors, Mercado Pago, Naranja X), manage chargebacks and unrecognized charges, among other functionalities. Regulations Grupo Financiero Galicia and its subsidiaries are regulated by the General Corporations Law. Section 186 of the General Corporations Law establishes the minimum capital amount of a corporation at Ps.100,000. With respect to regulatory capital, Banco Galicia must comply with the regulations set forth by the Argentine Central Bank (commonly referred to as BCRA for its Spanish acronym). These regulations are based on the Basel Committee methodology, which provides the minimum capital requirements for financial institutions to cover the different risks inherent to its business activity and assets, such as credit risk, generated both by exposure to the private sector and to the public sector; operational risk (generated by the losses resulting from the non-adjustment or failures of internal processes) and market risk (generated by positions in securities and in foreign currency). Banco Galicia's operating subsidiaries are also subject to the following laws: Law No.27,442 (the Competition Defense Law or, in Spanish Ley de Defensa de la Competencia), Decree No. 274/2019 that repeals the Fair Business Practice Law No. 22,802 and the Consumer Protection Law No. 24,240, as amended (or, in Spanish Ley de Protección del Consumidor). Banco Galicia and the company's insurance subsidiaries are subject to Law No.25,246 which was passed on April 13, 2000 (as amended, among others, by Laws No.26,087, 26,119, 26,683, 26,734, and 27,446 together to which it refers to as the Anti-Money Laundering Law), which provides for an anti-money laundering framework in Argentina, including Laws No.26,268 and 27,304, which amend Law No.25,246 to include activities associated with terrorism and Law No. 27,401, which provides for the criminal liability of corporate entities upon their direct or indirect execution of prohibited activities. Furthermore, the Anti-Money Laundering Law created the Financial Information Unit (Unidad de Información Financiera), which established an administrative criminal system, compliance monitoring and the ability to impose sanctions. Sudamericana Holding S.A. (Sudamericana's insurance subsidiaries are regulated by the National Insurance Superintendency and Laws No.17,418, as amended and modified by Law No.20,091. Galicia Broker is regulated by the National Insurance Superintendency, through Law No.22,400, as amended. Naranja and the credit card activities of Banco Galicia are regulated by the Credit Card Law No. 25,065, as amended. Both the BCRA and the Secretary of Domestic Trade have issued regulations to, among other things, enforce public disclosure of companies' pricing in order to ensure consumer awareness of such pricing. History Grupo Financiero Galicia S.A. was founded in 1905. The company was incorporated in 1999 as a stock corporation under the laws of Argentina.