Company: BCDRF
Filing Date: 2025-07-31
Form Type: 6-K
Source: 0000891478-25-000113
Chunk: 175

Company: Banco Santander, S.A.
Filing Date: 2025-07-31
Form: 6-K
Chunk 175
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 its most exposed customers, with the objective of preemptively identifying any required measures. In general, the most significant impacts are related to tariffs, oil price fluctuations, and low economic growth in some countries, which could affect credit growth; new cyberattacks and other cybersecurity incidents, or greater dependence on third-party service providers, which could lead to an increase in operational risk; the evolution and potential impacts of the Swiss francs mortgage portfolio in Poland; and the commercial real estate portfolio, particularly the office segment, which has been impacted by persistently lower demand as a result of structural and lingering pandemic-related changes, primarily in the US market.

Furthermore, due to the upcoming implementation of regulatory requirements, Santander may undertake a reassessment of its disclosures regarding risk management that may arise from the Group's relationships with end-users, employees, and suppliers.

#### Other
Grupo Santander's exposure to complex structured instruments and assets is very limited; this is a reflection of our robust risk culture and prudent risk management.

Santander uses credit derivatives to cover loans and to serve our customer needs regarding their trading activities in financial markets. Trading volume is small in terms of our notional value (0.6% of total counterparty risk notional value as of 30 June 2025) and is subject to a solid set of internal controls and procedures to minimize operational risk.

#### Exposures related to complex structured assets
We have a very limited exposure to complex structured assets. See 'Quantitative Analysis About Market Risk' below.

#### Quantitative Analysis About Market Risk
A. Activities subject to market risk and types of market risk

Activities exposed to market risk encompass transactions where risk is assumed as a consequence of potential changes in interest rates, inflation rates, exchange rates, stock prices, credit spreads, commodity prices, volatility and other market factors, the liquidity risk from our products and markets, and the balance sheet liquidity risk. Therefore, they include trading risks and structural risks.

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• Interest rate risk arises from changes in interest rates that could adversely affect the value of a financial instrument, a portfolio or the Group as a whole. It can affect loans, deposits, debt securities, most assets and liabilities held for trading and derivatives.

• Inflation rate risk originates from changes in inflation rates that could adversely affect the value of a financial instrument, a portfolio or the Group as a whole. It can affect instruments such as loans, debt securities and derivatives, where the returns are linked to future inflation values or a change