Company: BCDRF
Filing Date: 2025-02-28
Form Type: 20-F
Source: 0000891478-25-000054
Chunk: 560

Company: Banco Santander, S.A.
Filing Date: 2025-02-28
Form: 20-F
Chunk 560
---
 was positive, while EVE sensitivity was negative. At the end of December, the most significant risk to NII was mainly in the US and amounted to EUR 125 million.

| Net interest income (NII) sensitivity |
| % of total                            |

| 91.9% |     | 8.1% |

The most significant risk to EVE was in the US and amounted to EUR 639 million.

| Economic value of equity (EVE) sensitivity |
| % of total                                 |

| 76.4% |     | 23.6% |

South America The EVE and NII of our main South American balance sheets are positioned for interest rate cuts. At the end of December, the most significant risks to NII were mainly in Brazil (EUR 124 million) and Chile (EUR 4 million).

| Net interest income (NII) sensitivity |
| % of total                            |

| 86.1% |     | 2.8% |     | 11.1% |

* Other: Argentina, Peru and Uruguay. The most significant risks to EVE were in Brazil (EUR 411 million) and Chile (EUR 323 million).

| Economic value of equity (EVE) |
| % of total                     |

| 54.3% |     | 42.7% |     | 3.0% |

* Other: Argentina, Peru and Uruguay. Structural foreign exchange rate risk/results hedging Our structural FX risk exposure mainly stems from the performance of, and hedges for, permanent financial investments. In our dynamic management of this risk, we aim to limit the impact of FX rate movements on the core capital ratio. In 2024, the hedged of the different currencies that have an impact on our core capital ratio was close to 100%. In December 2024, our permanent exposures (with potential impact on shareholder equity) were, from largest to smallest, in the US dollar, British pounds sterling, Brazilian reais, Mexican pesos, Polish złoty and Chilean pesos. We use FX derivatives to hedge part of those permanent positions. The Finance division manages FX risk and hedging for the expected profits and dividends of subsidiaries whose base currency is not the euro. Structural equity risk Santander holds equity positions in its banking and trading books. They are either equity instruments or stock, depending on the share of ownership or control. Equities in the banking book at the end of September 2024 were diversified, with securities from Spain, China, Morocco, Poland