Questions frequently asked by clients concerning various procedures and IR information is summarized in Q&A format.

Company Information

Q.01. Please give an outline of the Sumitomo Mitsui Trust Group ("SuMi TRUST Group").

Sumitomo Mitsui Trust Holdings, Inc. ("SuMi TRUST Holdings") is a financial holding company which was launched on April 1, 2011, through the management integration of Chuo Mitsui Trust Group ("CMTH Group") and Sumitomo Trust and Banking Group ("STB Group"). For more details, please refer to "Corporate Profile", "Outline of Business", and "Group Companies".

Q.02. Describe your history.

SuMi TRUST Group was established on April 1, 2011 through management integration of CMTH Group and STB Group. On April 1, 2012, SuMi TRUST Bank was established through a merger among The Chuo Mitsui Trust and Banking Company, Limited, Chuo Mitsui Asset Trust and Banking Company, Limited and The Sumitomo Trust and Banking Co., Ltd. For more details, please refer to "The Group's History".

Q.03. Describe the holding company aspects of SuMi TRUST Holdings.

SuMi TRUST Holdings is a financial holding company with subsidiaries centered on SuMi TRUST Bank. Each subsidiary has a management system that is able to complete its own business independently. SuMi TRUST Holdings focuses on the management of business operations as the holding company, and is in charge of the formulating group management strategy, monitoring administration of business activities, allocation of management resources, supervising risk management, supervising compliance management and managing internal auditing.

Q.04. Describe the Management Principles of SuMi TRUST Holdings.

For more details, please refer to "Management Principles".

Q.05. Describe the Symbol mark of SuMi TRUST Holdings.

For more details, please refer to "Symbol mark".

Q.06. How is a trust bank different from an ordinary commercial bank?

In addition to ordinary commercial bank business, a trust bank provides a wide range of services concerning asset management and administration, and disposal of assets, with trustee business such as pension trusts and investment trusts, and complementary businesses such as real estate brokerage and stock transfer agency services. A trust bank has strong business foundations based on high levels of expertise in the fields of asset management and administration, regardless of whether for individuals, corporations or institutional investors, which can be considered its greatest feature.

Q.07. Please describe your businesses in a little more detail.

SuMi TRUST group, under the control of bank holding company SuMi TRUST Holdings, owns various Group companies involved in banking, asset management and administration, and real estate-related services, etc. that engage in a diverse range of businesses centered on SuMi TRUST Bank, based on the group’s integrated management strategy. For details regarding each business and the scale of its operations, please refer to "Outline of Business".

Q.08. Please describe your Medium-Term Management Plan.

For details regarding Medium-Term Management Plan, please refer to "Notice regarding the Medium-Term Management Plan (FY2023 - FY2025)PDF".

On October 30, 2023, we revised consolidated earnings forecasts for the Fiscal Year 2023. For details, please refer to "Revision of Consolidated Earnings Forecasts for the Fiscal Year 2023PDF.

Q.09. Please describe your Growth strategy.

For details regarding Growth strategy, Please refer to Presentation Material "Investor Meeting on Financial Results for FY2023PDF" (May 17, 2024), page 11-35.

Q.10. Describe the corporate governance system.

For more details, please refer to "Corporate Governance".

Q.11. Describe the Sustainability initiatives in SuMi TRUST Group.

Regarding our Sustainability initiatives, please refer to "Sustainability".

Results and Finances

Q.01. Please give an overview of financial results for FY2023.

”Net business profit before credit costs” was 338.6 billion yen, further exceeding the full-year forecast (330.0 billion yen), which was revised upward by 10.0 billion yen in October 2023, due to strong performance of Net fees and commissions and related profit, mainly corporate credit-related and other fee-related profits.

”Net income attributable to owners of the parent” was 79.1 billion yen as a result of the reduction of bear funds with low break even point to reduce the risk to future period earnings.

There was no impact on capital due to this loss realization, and we paid dividends in line with our initial forecast.

Please refer to Presentation Material "Investor Meeting on Financial Results for FY2023PDF" (May 17, 2024), page 64.

Q.02. What are the past results of your main businesses?

Please refer to Presentation Material "Investor Meeting on Financial Results for FY2023PDF" (May 17, 2024), page 79-82.

Q.03. Describe the situation of your non-performing loans.

Please refer to Presentation Material "Investor Meeting on Financial Results for FY2023PDF" (May 17, 2024), page 74.

Q.04. Describe your thoughts on reduction of strategic shareholdings.

Please refer to Presentation Material "Investor Meeting on Financial Results for FY2023PDF" (May 17, 2024), page 7-8.

Q.05. As for capital adequacy ratio regulations, is SuMi TRUST Holdings under international standards or domestic standards?

We are under international standards.

Q.06. Describe the situation of your capital.

Please refer to Presentation Material "Investor Meeting on Financial Results for FY2023PDF" (May 17, 2024), page 76.

Q.07. Describe your financial targets, such as capital adequacy ratio, ROE, etc.

Please refer to Presentation Material "Investor Meeting on Financial Results for FY2023PDF" (May 17, 2024), page 9.

Q.08. Describe your Forecast and Dividend per common share.

Please refer to Presentation Material "Investor Meeting on Financial Results for FY2023PDF" (May 17, 2024), page 77-78.

Q.09. Describe your basic policy on returns for shareholders, such as dividend policy, etc.

Please refer to Presentation Material "Notice regarding the Change in Shareholder Return PolicyPDF" (May 12, 2023).

Q.10. Describe the rating for each company of SuMi TRUST Group.

Regarding our rating, please refer to "Rating Information".

Stock Related

Q.01. On which securities exchanges are you listed? Are you listed on overseas exchanges?

We are listed on the Prime Market of TSE and the Premier Market of NSE, but not listed on any overseas stock exchanges.

Q.02. What is your securities code?

Our security code is 8309.

Q.03. How many shares in one unit?

A.03. 100 shares per unit. SuMi TRUST Holdings shall change its number of shares constituting one unit as one trading unit from one thousand (1,000) shares to one hundred (100) shares as of October 1, 2016. Also, for stock related information, refer to "Basic Stock Information".

Q.04. Is it possible to trade American Depository Receipts (ADR)?

A.04. SuMi TRUST Holdings has set up the sponsored ADR program (level 1). For details, refer to "ADR (American Depositary Receipt) Information".

Q.05. Where and when will you hold the next Ordinary General Meeting of Shareholders?

It is not decided yet. We have held the Ordinary General Meeting in Tokyo in late June every year. Please refer to "IR Calendar"for details. Please refer to "General Meeting of Shareholders" for material related to past general meetings of shareholders.

Q.06. Is there a shareholder benefit program?

Currently, we do not have a shareholder benefit program.

Financial Terms

Q.01. What is net business profit before credit costs?

This basically corresponds to operating profit of an ordinary company and is the sum of so-called core profits less extraordinary expenses such as principal guaranteed trust account credit costs and provision of general allowance for loan losses.

Q.02. What are trust fees?

Trust fees are associated with asset management and administration services, including the entrusted management of pension trusts and individually managed designated money trusts, the entrustment of securities administration for investment trusts and specified money trusts, and the entrusted securitization of real estate and other financial assets based on a trust agreement. Other trust fees include those associated with trust accounts that indemnify the principal amount, such as loan trusts and jointly operated money trusts.

Q.03. What is net fees and commissions?

This includes fees generated from the sale of investment trusts and insurance, real estate brokerage commission, stock transfer agency services fees, and lending fees for syndicated loans, for example.

Q.04. What is net trading profit?

This includes trading profits/losses and valuation profits/losses on transactions carried out in trading accounts.

Q.05. What are net gains from derivatives other than for trading or hedging?

This includes realized profits/losses and valuation profits/losses generated by interest rate or fixed income derivative transactions booked during the term that do not meet the requirements of hedge accounting.

Q.06. What are problem assets based on the Financial Revitalization Act?

These are disclosed in results of the bank’s self-assessments in accordance with the Act on Emergency Measures for the Revitalization of the Financial Functions (also known as the Financial Revitalization Act) that took effect in October 1998. Total exposure, which includes not only loans but also securities loaned and acceptances and guarantees, is disclosed under the following categories: "bankrupt and practically bankrupt," "doubtful," "substandard," and "normal." With the exclusion of "normal," the total balance of exposure to the other three categories is generally referred to as the amount of non-performing loans.

Q.07. What is the capital adequacy ratio? Also, what is the common equity tier 1 capital ratio?

Under international banking regulations, the capital adequacy ratio represents the bank’s capital as a percentage of exposure to loans and other risk assets and is a key indicator for expressing the bank’s financial soundness. The common equity tier 1 capital ratio is the percentage of the bank’s core equity capital (mostly non-redeemable common stock and retained earnings) to its risk assets and is considered an indicator of high-quality capital.

IR Information

Q.01. When do you settle your accounts?

Our accounting term ends on March 31 every year. The first quarter ends on June 30, the second quarter (interim results) on September 30, and the third quarter on December 31.

Q.02. Which analysts cover Sumitomo Mitsui Trust Holdings?

Please refer to the "Analyst Coverage" page for a list of analysts covering Sumitomo Mitsui Trust Holdings.

Q.03. Where can I obtain a copy of your integrated report (annual report) or sustainability report?

Our Integrated Reports (Annual Reports) and Sustainability Reports can be viewed or downloaded from our website.

Q.04. How do I submit an inquiry about an IR-related matter?

Please see our "Contact Us" page.

Q.05. Where can I obtain a copy of the latest financial results and related materials?

Please visit our "IR Presentation Materials" page for documents distributed at financial results briefings, summaries of remarks, and questions and answers.

Q.06. Where can I view a schedule of upcoming IR events?

Please refer to the "IR Calendar" for our schedule of annual events.

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