TORONTO (Reuters) - Bank of Nova Scotia (TO:BNS) expects "somewhat elevated" loan losses over the next three to four quarters as the coronavirus outbreak leads to defaults at small and medium-sized businesses, its chief executive told shareholders on Tuesday.
But with three times as much common equity tier 1 capital as it did during the financial crisis, the bank has "lots of capital to absorb more losses...," CEO Brian Porter said at the lender's virtual annual general meeting.
With about half of the lender's shareholder base made up of individuals relying on dividends for income, it will also maintain the payouts, he said.