BPCE - 2019 Universal Registration Document

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ACTIVITIES AND FINANCIAL INFORMATIONS 2019

SIGNIFICANT EVENTS OF 2019

Natixis Assurances also pursued its digital transformation by unveiling TEC#CARE, a new service for managing automobile and two-wheeler claims, and by rolling out the Guidewire InsurancePlatform which optimizes the digital management of applications. There was a massive take-up of these new tools and functionalities by our customers who expressed their satisfaction: mobile use experienced a sharp rise, with the number of active mobile Banque Populaire and Caisse d’Epargne customers totaling 5 million. The proportion of active customers regularly using Banque Populaire and Caisse d’Epargne digital channels continued to increase. Banque Populaire and Caisse d’Epargne mobile applications obtained the best store rating (App Store and Google Play) in the generalist banks category (4.4/5) and are now ranked second among French people’s preferred banking applications. 2019 also saw the implementation of new API rules. The approved Payment Service Providers of regulatory APIs (BP, CE and Natixis) were provided with related documentation and test sets via a public portal (api.89C3.com). Finally, the “digital inside” approach resulted in the massive rollout of collaborative tools under Microsoft Office 365, in order to simplify the daily working environment of Group employees and encourage collective intelligence. In order to pursue its digital ambitions and meet the new data challenges, the Group’s Digital division became the Digital and Data division and is structured around two departments: (i) a “data governance and democratization” department responsible for coordinating and implementing data governance and culture in the Group and (ii) an “advanced uses of data and artificial intelligence” department, responsible for coordinating business use cases and the center of data science activities and expertise. The retail banking, financial solutions and expertise, insurance and payments activities were therefore supported and innovative in a particularly restrictive environment, such as the 2019 freeze on bank charges for individual customers, the capping of bank fees for vulnerable customers or low-to-negative interest rates. Caisse d’Epargne launched “Les Formules” (The Formulas), a new range of banking products aimed at families. In order to adapt to all the needs of customers, the offering provides a common set of services and is available in three formulas with a single monthly contribution for the whole family (married couples, civil partners, persons cohabiting or living in a conjugal relationship, traditional families or stepfamilies). The successful launch of this new everyday banking offering on November 4 resulted in more than 100,000 sales as at the end of November. For its part, Banque Populaire made the Cristal – Pack Famille (Family Pack) agreement generally available in mid-November. This new offering launched in 2018 offers essential everyday banking services for families. Groupe BPCE and Brink’s France also announced a partnership for the operation and dynamic management of Banque Populaire and Caisse d’Epargne ATMs. This agreement will enable the Group’s banks to expand the range of services they provide to their customers while harmonizing the management and technical infrastructures of their ATM networks. Ultimately, the Group’s customers will find all the services offered (withdrawal, transactions, consultation…) by their original bank, automatically once they enter their payment card and regardless of the ATM. Banque Populaire developed two new personal protection insurance offerings which have been co-designed with its customers. Comprehensive and competitive, the new Banque Populaire personal protection insurance offerings, created by Natixis Assurances, are based around two new policies: Family Insurance and Funeral Insurance.

In Private Banking, Banque Populaire and Caisse d’Epargne launched Moneypitch, an innovative digital solution for their clients. Using a secure website and mobile app, clients have a comprehensive view of their assets and receive very high-end services, ranging from account aggregation to investment advice enhanced with the expertise of their own Private Banker. Against a general backdrop of the digital transformation of companies, Banque Populaire launched a loan without a personal guarantee to accompany the digital transition of professionals. Caisse d’Epargne, a major local public sector financer, launched Numairic, the first digital credit solution for French local authorities. With Numairic, local authorities are able to submit credit applications 24/7. In the area of social housing, Caisse d’Epargne broadened the development of O2D solutions (40/60-year loans transferred to insurance companies) in collaboration with Natixis. In addition, Caisse d’Epargne and Seventure Partners set up a French investment fund dedicated to the sports economy: “Sport & Performance Capital” amounting to around €80 million intended to finance startups and SMEs operating in the area of sport and well-being. Moreover, Banque Populaire, Fédération Nationale des Socama and the European Investment Fund (EIF) entered into a new three-year €2 billion loan counter-guarantee agreement under the Investment Plan for Europe. This new agreement will benefit more than 65,000 French Very Small Enterprises (VSEs). The EIF counter-guarantee programs have already enabled Banque Populaire and SOCAMAs to finance 200,000 French VSEs for an amount of €6 billion. Accordingly, Banque Populaire was recognized in 2019 (and has been for the last 10 years) as the leading bank for SMEs in France. 1 out of 2 SMEs is a customer and 2 out of 3 have been customers for more than 10 years. In 2019, Natixis continued to implement its New Dimension strategic plan aimed at more effectively meeting the challenges of the financial industry and supporting its clients in their development. In order to increase its robustness, Natixis also took measures to strengthen its operational efficiency and optimize the supervision of risks at all levels of the company. In Asset & Wealth Management, where Natixis has developed an active management strategy, Natixis Investment Managers strengthened its international network and its asset offering with the setting up of two new affiliates: Vauban Infrastructure Partners and Thematics Asset Management. It also took a minority stake in US asset management company WCM Investment Management and acquired 11% of Fiera capital, the leading independent distribution platform in Canada. Its affiliate, Ostrum Asset Management, also announced the extension of its credit management activities to the United States and the recruitment of a team of experts based in Hong Kong and Singapore to broaden its real asset private debt management offering for institutional investors. In insurance, Natixis Assurances implemented its objective of becoming a fully-fledged insurer through the #INNOVE2020 program, which will enable it to provide the Banques Populaires and the Caisses d’Epargne with non-life insurance services. 2019 saw the first achievements of the program: (i) creation of a new home insurance product for distribution by the Banques Populaires and the Caisses d’Epargne in 2020, (ii) personalized training modules for nearly 40,000 employees of the two networks, (iii) the design of new processes around the customer and their bank advisor to achieve greater symmetry in terms of service, and creation of these processes in the cloud. In wealth management, the Natixis Wealth Management business saw the launch of the One Bank project, aimed at

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UNIVERSAL REGISTRATION DOCUMENT 2019 | GROUPE BPCE

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