It has been a slow, but relatively brutal de-rating, from 2.5x FY15 tNAV (at 31 July 2015) to 1.8x FY19 tNAV at yesterday’s close. This can be explained with reference to declining ROTEs, balanced by strong tNAV growth and (more recently) a gradual build in the CET1 capital ratio. Many investors wonder whether Close Brothers’ new business pipeline may have softened in the context of political obstruction to the “delivery of Brexit”. Business hates uncertainty. However, our favourite forward-looking data-point seemingly reinforces the management commentary; undrawn commitments of <1 year increased to £1,100.6m at 31 July 2019, the second highest year-end total on record. We think that constitutes a “resilient” outlook. The FY19 outturn reflected negative jaws across all divisions, partially offset by low impairments. Underlying EPS declined by 2% YoY to 136.7p, but with strong dividend cover and an increasing CET1 ratio, we still model DPS of 69p/72/75p for FY20/21/22e; a FY22e yield of 5.3%. Loan growth (5.7% YoY) was “solid” in FY19 and we now model growth of 5.2/4.6/4.2% through FY20/21/22e. Weakness in the FY19 outturn was largely confined to the (relatively small) Securities and Asset Management divisions. The Banking Division remained resilient. Our EPS forecasts are virtually unchanged, and on 1.6x FY20e tNAV for ROTEs of 16.7/15.9/14.9% through FY20/21/22e, our TP moves to 1415p (from 1410p); we retain a Hold recommendation.