About The Bank of Nova Scotia
The Bank of Nova Scotia provides bank and financial services in the Americas. The company offers a range of advice, products and services, including personal and commercial banking, wealth management and private banking, corporate and investment banking, and capital markets to help its customers, their families and their communities. Segments The company operates through the following operating segments: Canadian Banking, International Banking, Global Wealth Management, Global Banking and Markets, and Other. Canadian Banking provides a full suite of financial advice and banking solutions, supported by an excellent customer experience, to over 11 million Retail, Small Business and Commercial Banking customers. Canadian Banking also provides an alternative self-directed banking solution to Tangerine Bank customers. International Banking is a diverse franchise offering financial advice and solutions to over 12 million Retail, Corporate and Commercial clients. The geographic footprint encompasses 15+ countries, including Mexico, Chile, Peru, Colombia, Brazil, Uruguay, and certain markets across Central America and the Caribbean. The company is well positioned with a unique geographical footprint, providing Digital leadership and connectivity with Canada and the U.S. markets. International Banking countries continue to demonstrate attractive demographics and opportunities to grow banking penetration. Global Wealth Management focuses on delivering comprehensive wealth management advice and solutions to clients across the company's footprint. Global Wealth Management serves over 2 million investment fund and advisory clients across 13 countries. Global Banking and Markets (GBM) provides corporate clients with lending and transaction services, investment banking advice and access to capital markets. GBM is a full-service wholesale bank in the Americas, with operations in 20+ countries, serving clients across Canada, the United States, Latin America, Europe and the Asia-Pacific. The Other segment includes Group Treasury, smaller operating segments, and corporate items. Group Treasury is primarily responsible for Balance Sheet, Liquidity and Interest Rate Risk management, which includes the Bank's wholesale funding activities. On October 31, 2023, the company completed the sale of its 20% equity interest in Canadian Tire's Financial Services business (CTFS) to Canadian Tire Corporation. On October 27, 2022, the company completed the sale of its interest in Thanachart Insurance Public Company Limited and Thanachart Securities Public Company Limited. On October 26, 2022, the company completed the sale of its 26.8% interest in Banco del Caribe, C.A and its 23.4% interest in Inversiones Americana del Caribe (IAC), B.V. On June 9, 2022, the company announced that the agreement for the sale of its banking operations in Guyana to First Citizens Bank Limited, initially signed on March 3, 2021, has expired and has therefore been terminated in accordance with its terms. On February 27, 2022, the company increased its ownership in Scotiabank Chile through the acquisition of an additional 16.8% stake for $1.2 billion from the non-controlling interest shareholders, resulting in 99.8% ownership of Scotiabank Chile. Supervision and Regulation in Canada As a Canadian Schedule I Bank, the company's activities in Canada are governed by the Bank Act, which is one of four main federal statutes governing the financial services industry in Canada. The other three statutes cover trust and loan companies, insurance companies and co-operative credit associations. The company is subject to regulation by the Canada Deposit Insurance Corporation and the Financial Consumer Agency of Canada, and the activities of it in Canada are subject to various other federal statutory provisions, including the Proceeds of Crime (Money Laundering) and Terrorist Financing Act which applies to all of its businesses in Canada. The activities of the company's trust subsidiaries and insurance subsidiaries are regulated in Canada under the Trust and Loan Companies Act and the Insurance Companies Act, respectively, and under provincial laws in respect of their activities in the provinces. Certain activities of the company and its subsidiaries acting as securities brokers, dealers (including investment and mutual fund dealers), underwriters and advisors (including investment counsel and portfolio managers) are regulated in Canada under provincial securities legislation, and in some cases, by self-regulatory organizations, such as the Canadian Investment Industry Regulatory Organization (CIRO) for investment dealers and mutual fund dealers. The company meets all obligations imposed under the Common Reporting Standard (CRS), in accordance with local laws, in Canada and all applicable jurisdictions in which it operates. Supervision and Regulation Outside Canada - Key Jurisdictions The United States The company is subject to the Bank Holding Company Act of 1956 (BHCA) and the International Banking Act of 1978 and associated regulations of the Board of Governors of the Federal Reserve System (the Federal Reserve Board). The Federal Reserve Board and other banking regulators oversee the operation of the company's branches, offices, and subsidiaries in the U.S. The U.S. Securities and Exchange Commission (SEC), state securities regulators and self-regulatory organizations, such as the Financial Industry Regulatory Authority, regulate its broker-dealer subsidiary and the SEC, effective November 1, 2021, regulates the company's security-based swaps dealer business and the Commodity Futures Trading Commission (CFTC) oversees the company's swaps and commodities trading and clearing businesses. The company is a financial holding company under the BHCA. This status allows a broad range of financial activities to be undertaken in the U.S. Provisions of the Federal Reserve Act place certain limitations and restrictions on the transactions that its U.S. branch and agency can engage in with affiliates of the company. The company, as a non-U.S. bank with the U.S. operations, is required by the U.S. anti-money laundering laws, to take certain steps to prevent, detect and report individuals and entities involved in international money laundering and the financing of terrorism. The company is also subject to the Dodd-Frank Wall Street Reform and Consumer Protection Act (the Dodd-Frank Act). Dodd-Frank Act reforms include heightened consumer protection, revised regulation of over-the-counter derivatives markets, restrictions on proprietary trading and the ownership and sponsorship of private investment funds by banks and their affiliates (referred to as the Volcker Rule), imposition of heightened prudential standards, and broader application of leverage and risk-based capital requirements. The company is subject to the enhanced prudential standards and early remediation requirements of sections 165 (implemented by Regulation YY) and 166 of the Dodd-Frank Act (the FBO Rule) for bank holding companies and foreign banking organizations. With respect to foreign banking organizations, the overall intent of Section 165 and Regulation YY is to strengthen the regulation of the U.S. operations of foreign banking organizations by requiring home country capital certification consistent with the Basel capital framework, home country capital stress tests comparable to U.S. standards, maintenance of a liquidity buffer for U.S. branches and agencies and establishment of a U.S. risk committee with the appointment of a U.S. Chief Risk Officer. Mexico Grupo Financiero Scotiabank Inverlat, S.A. de C.V. is an affiliate holding company pursuant to the Law to Regulate Financial Groups and the Regulations for the Establishment of Foreign Affiliates Financial Institutions in Mexico. The governing authority is the Ministry of Finance of Public Credit, as well as those supervising and regulatory authorities which are the Central Bank of Mexico, the National Banking and Securities Commission and the National Commission for the Protection of the Users of Financial Services. Peru Scotiabank Peru S.A.A. is a banking company pursuant to the Law of the Banking System, Insurance and Private Pension Funds Administrators and applicable rules for financial groups enacted by the Superintendency of Banking System, Insurance and Private Pension Funds Administrators (SBS) and the Superintendency of Securities Market (SMV). Beside SBS and SMV, the other governing authorities are the Central Bank of Peru, and the National Institution for the Defense of Competition and Intellectual Property, in charge, among other functions, of the protection of consumers of financial services. Pursuant to SBS and SMV regulations on ownership and control of supervised companies, Scotiabank Peru S.A.A. also reports on its holding company shareholder Scotia Peru Holdings S.A. Chile Scotiabank Chile (Scotiabank Chile) is a special stock corporation governed by the provisions of the General Banking Act and by the provisions applicable to listed corporations contained in the Corporations Act. It is supervised by the Financial Markets Commission (CMF), which is an autonomous institution related to the Chilean Government through the Ministry of Finance. Scotiabank Chile is also governed by the Central Bank of Chile and the National Consumer Service (Sernac), the latter being responsible for, among other functions, consumer protection with regards to financial services, in accordance with the provisions of the Financial Consumer Protection Act. Scotiabank Chile's subsidiaries are supervised by the CMF, according to their respective business lines. Colombia Scotiabank Colpatria S.A., a subsidiary of the company, is a bank incorporated in compliance with the regulations of the Financial Superintendence of Colombia (Superintendencia Financiera de Colombia or SFC). The SFC is the supervisor of the national banking, insurance, pension funds, and securities markets under Colombian laws, with the purpose of assuring their stability, efficiency, and transparency, as well as maintaining and fostering a sound and balanced development of the financial system as a whole, while protecting the interests of the public in Colombia. The SFC is responsible for inspecting, supervising and controlling Scotiabank Colpatria S.A. Additionally, the SFC promotes, organizes and develops regulations in order to ensure the protection of investors, depositors, shareholders and stakeholders. The SFC is also responsible for financial customer protection. United Kingdom In respect of its London Branch, the company is authorized in the United Kingdom by the Prudential Regulation Authority (PRA) and subject to regulation by the Financial Conduct Authority (FCA) and limited regulation by the PRA. The company's subsidiary in the United Kingdom, Scotiabank Europe Limited, has successfully applied for its regulatory permissions in the United Kingdom to be cancelled and it is therefore no longer a regulated entity. Republic of Ireland In respect of the Bank's Irish subsidiary, Scotiabank (Ireland) Designated Activity Company, the company Asia Pacific is authorized and regulated in Ireland by the Central Bank of Ireland. Singapore In respect of its Singapore Branch, the company is authorised and regulated in Singapore by the Monetary Authority of Singapore. Other Jurisdictions Outside of the U.S., Mexico, Peru, Chile, Colombia, the United Kingdom, Ireland, and Singapore, each of the company's branches, agencies and subsidiaries, many of which are banks in their own right, is also subject to the regulatory requirements of the jurisdiction in which it conducts its business. Wind down of operations in India and Malaysia The company has made the decision to wind down its operations in India and Malaysia as part of the realignment of Global Banking and Markets business in the Asia Pacific region. History The Bank of Nova Scotia was founded in 1832.
