Kempen European High Dividend Fund N.V. N · EURONEXT:KEHDF
Kempen European High Dividend Fund N.V. N — Van Lanschot Kempen — Debt Investor Presentation (June 2025)
65 slides from Kempen European High Dividend Fund N.V. N's debt investor presentation, June 2025
Slide 1: Investor presentation Soft Bullet Covered Bond
Investor presentation Soft Bullet Covered Bond Frankfurt, June 2025
Slide 2: Table of Contents
Table of Executive summary 3 Contents Van Lanschot Kempen at a glance 2024 half-year results 4 12 Van Lanschot Kempen’s diversified funding profile and solid 29 capital buffers Mortgage loan portfolio 35 Soft Bullet Covered Bond Programme 39 Annex I - Sustainability 48 Annex II - Dutch housing marke
Slide 3: Executive summary
Executive summary Soft Bullet Covered Bond Programme Issuer Van Lanschot Kempen N.V. Van Lanschot Kempen N.V. Programme size €5.0bn • Credit rating of BBB+/A- (S&P/Fitch) Format Soft Bullet (SB) AAA rated Soft Bullet Covered Bond Programme Extension Period Maximum of 12 months • Established in March
Slide 4: Van Lanschot Kempen at a glance
Van Lanschot Kempen at a glance Van Lanschot Kempen Specialist, independent Across five countries Oldest independent financial institution in wealth manager with a 2,018 FTE the Netherlands (1737) capital-light business model Our purpose Client assets AuM Preserve and create wealth for our clients €
Slide 5: A modern wealth manager with a rich heritage
A modern wealth manager with a rich heritage Acquisition of Accuro Van Lanschot Acquisition listed on Acquisition UBS’ Dutch wealth Acquisition Amsterdam Acquisition fiduciary activities management Mercier Launch of Mercier stock exchange Kempen & Co of MN UK activities Vanderlinden Van Lanschot 173
Slide 6: Compelling combination of services
Compelling combination of services Serving our clients with clearly defined propositions and strong opportunities for cross- selling Investment management Private banking Investment banking • In-house investment engine • Foundation of our business • All-round investment banking • Focused expertise f
Slide 7: Growing further together
Growing further together Be a leading wealth manager in Western Europe, with a solid foundation in the Netherlands and Belgium Further capitalise on the momentum in private banking in the Netherlands, and unlock additional growth engines Reap the significant potential for growth in private banking i
Slide 8: Solid performance on all key financials
Solid performance on all key financials AUM NET INFLOW COMMISSION INCOME NET RESULT TOTAL BALANCE SHEET €9.2bn (+57%) €511.2m (+20%) €141.9m (+13%) €17.0bn (2023: €16.8bn) TOTAL AUM INTEREST INCOME PROPOSED DIVIDEND LOAN LOSS PROVISION €149.3bn (+17%) €175.4m (-11%) €2.75 per share €1.4m (2023: -€2.
Slide 9: We are well on track to reach our 2027 financial targets
We are well on track to reach our 2027 financial targets AuM growth Cost/income Return on CET 1 Dividend pay-out CET 1 ratio (Basel ratio capital ratio IV fully loaded)** 17.2% 70.1% 16.2% 88.4% 18.0% Target: 10% Target: 67-70% Target: >18%* Target: 70-90% Target: 17.5% 2023: 18.1% 2023: 71.6% 2023:
Slide 10: Achieving our people & sustainability targets
Achieving our people & sustainability targets ENVIRONMENTAL SOCIAL Impact of our own organisation Our people • Annual average carbon footprint per FTE: 1.43 Gender balance senior staff: 21.1% tonnes CO2 (2023: 19.0% target: >30%*) • Average annual reduction of 11% versus 2019 (target 8%) Corrected g
Slide 11: Q1 2025: Key messages
Q1 2025: Key messages • The first quarter was characterised by turbulent market conditions due to geopolitical unrest and escalating trade conflicts. Against this backdrop, our clients continued to invest with confidence, focusing on the long term: ▪ Continued strong commercial momentum with net AuM
Slide 12: Financial results 2024
Financial results 2024 12
Slide 13: Highlights 2024
Highlights 2024 Driving growth Investing in talent Creating impact Connecting our network Shared “Growing further together” Launch of Mercier Van Lanschot c. 2,200 colleagues 381 new colleagues CO2 per FTE down 44% 382 Connected 10,000+ private banking clients at network meetings strategy in Belgium
Slide 14: All our client segments contributed positively to our result
All our client segments contributed positively to our result Private Clients Netherlands Investment Management Clients • Strong momentum continuing • Renewed focus starting to pay off • Net AuM inflow of €2.1bn • Net AuM inflow of €4.9bn • €134.9m operating profit before tax • €24.9m operating profi
Slide 15: Net result increased by 13% on the back of a strong increase in commission income
Net result increased by 13% on the back of a strong increase in commission income Key drivers of net result €m -21.1 84.0 -9.0 -28.0 3.5 -0.1 -12.6 141.9 125.2 2023 Commission income Interest income Other income Operating expenses Impairments Other Tax 2024 • Strong increase in commission income dri
Slide 16: Overview of net result 2024
Overview of net result 2024 €m 2024 2023 % change Commission income 511.2 427.2 20% - of which securities commissions 469.3 389.8 20% - of which other commissions 41.9 37.4 12% Interest income 175.4 196.5 -11% Income from securities and associates 16.3 38.1 -57% Result on financial transactions 13.9
Slide 17: Private Clients Netherlands expanded its market share thanks to high net inflows
Private Clients Netherlands expanded its market share thanks to high net inflows Assets under management Assets under management per type €bn 4.8 43.7 % 2.1 Other 36.8 13% 41% Discretionary 42% Bonds 25% 59% 62% Non-discretionary 58% Equities 31/12/2023 Net AuM Market performance 31/12/2024 inflow •
Slide 18: Private Clients Netherlands achieved a strong result
Private Clients Netherlands achieved a strong result Result before tax Margins €bn bps 2024 2023 % difference Private Banking (€36.5bn) Commission income 234.2 193.8 21% Private Clients 61 58 Interest income 156.9 172.1 -9% Netherlands (€43.7bn) Other income 1.3 0.8 54% 60 55 Income from operating a
Slide 19: Private Clients Belgium continues its strong commercial momentum
Private Clients Belgium continues its strong commercial momentum, AuM growth of 38% Assets under management Assets under management per type €bn 0.7 15.1 % 1.2 Other 2.2 Bonds 5% 11.0 18% 77% Discretionary 78% 76% Non-discretionary 23% 22% Equities 31/12/2023 Net AuM Market Acquisition 31/12/2024 in
Slide 20: Private Clients Belgium achieved a strong result
Private Clients Belgium achieved a strong result Result before tax Margins €bn bps 2024 2023 % difference Commission income 105.8 80.0 32% Private Clients Belgium Interest income 9.3 12.6 -26% (€15.1bn) Other income 0.5 0.5 -1% 80 80 Income from operating activities 115.6 93.1 24% Operating expenses
Slide 21: Investment Management Clients achieved positive inflows in its active strategies
Investment Management Clients achieved positive inflows in its active strategies Assets under management Assets under management per type €bn 6.1 90.5 % and €bn Investment 3.9 strategies 79.5 0.5 0.5 Other Alternative 11.9 19% Equities investment 30% 5.2 strategies Bonds 73.4 51% Fiduciary 31/12/202
Slide 22: Investment Management Clients capitalised on increase in commercial strength and scalability
Investment Management Clients capitalised on increase in commercial strength and scalability Result before tax Margins €bn bps 2024 2023 % difference Own funds (€17.1bn) Commission income 127.2 111.8 14% Investment Management 57 57 Interest income 0.9 0.4 125% Clients (€90.5bn) Other income 0.1 0.1
Slide 23: Investment Banking Clients saw market momentum and profitability returning
Investment Banking Clients saw market momentum and profitability returning Commission income Operating profit before tax €m €m 56.0 9.7 40.2 36.5 3.9 -4.4 2022 2023 2024 2022 2023 2024 • Back to profitability, with a modest operating result before tax of €3.9m (2023: -€4.4m); focus remains on improv
Slide 24: Current AuM base provides solid foundation for growing commission income in 2025
Current AuM base provides solid foundation for growing commission income in 2025 Annualised recurring securities commission* Annualised recurring securities commission per segment* €m €m 494.0 Investment Management 467.8 Clients 414.7 379.8 128 339.8 Private Clients €494m 243 Netherlands 123 Private
Slide 25: Interest income declined in a normalising interest rate environment
Interest income declined in a normalising interest rate environment Interest income * Interest margin (12-month moving average) €m % 107.9 1.24% 93.0 92.2 88.6 1.18% 83.2 1.11% 69.7 1.06% 0.92% 0.88% H1 2022 H2 2022 H1 2023 H2 2023 H1 2024 H2 2024 H1 2022 H2 2022 H1 2023 H2 2023 H1 2024 H2 2024 • In
Slide 26: Solid other income
Solid other income Other income €m Income Income Book value Book value 2024 2023 YE2024 YE 2023 Van Lanschot Kempen Participaties (minority interests) 1.7 28.4 34.9 35.0 Bolster Investment funds* 4.9 3.9 83.2 76.3 Co-investments in own investment funds 5.8 5.2 61.7 83.8 Other equity investments 3.9
Slide 27: Operating expenses increased at a slower pace than income
Operating expenses increased at a slower pace than income – testament to our scalable business model Changes in operating expenses Changes in internal FTEs €m 15.8 5.1 # 32 4.7 15 30 1.4 -7.6 27 8.5 10 502.8 2,018 474.8 1,904 2023 Robeco Accuro Internal External Other staff Other 2024 2023 Accuro Ex
Slide 28: We are well on track to reach our financial targets
We are well on track to reach our financial targets Average annual AuM growth Cost/income ratio Common Equity Tier 1 ratio Target 10% 2027 target 67–70% Target 17.5% Basel IV fully loaded* 85.7% Basel III fully loaded Basel IV fully loaded* 73.1% 71.6% 70.1% 24.3% 10.0% 68.9% 23.7% 20.6% 19.6% 19.4%
Slide 29: Diversified funding profile and solid capital buffers
Diversified funding profile and solid capital buffers 29
Slide 30: Van Lanschot Kempen's solid profile is reflected in its creditworthiness
Van Lanschot Kempen’s solid profile is reflected in its creditworthiness Standard & Poor’s Fitch • Long-term credit rating of issuer: BBB+ • Long-term credit rating of issuer: A- • Outlook long-term credit rating: Stable • Outlook long-term credit rating: Stable • Short-term credit rating of issuer:
Slide 31: Balance sheet shows strong capital and funding position
Balance sheet shows strong capital and funding position Significant capital buffer Balance sheet 31 December 2024 • Total equity and AT1 of €1.4bn €bn, balance sheet total = €17.0bn • CET 1 ratio 18.0%* 0.2 Due to banks • Leverage ratio 5.7% Cash and cash equivalents and 2.1 balances at banks Low-ri
Slide 32: Van Lanschot Kempen has various funding programmes
Van Lanschot Kempen has various funding programmes SECURED PROGRAMMES UNSECURED PROGRAMMES Soft Bullet Covered Bond Programme Debt Issuance Programme / MTN • Public soft bullet covered bond programme used for • €5.0 billion programme wholesale funding purposes • Used for wholesale funding (senior un
Slide 33: Funding mix and redemption profile
Funding mix and redemption profile Funding mix 31 December 2024 Redemption profile * (100% = €17.0 billion) €m 800 Other funding Equity 3% 600 Interbank funding 8% Debt 1% securities 400 12% 200 0 2025 2026 2027 2028 ≥2029 75% Senior unsecured Covered bond Tier 2 At1 Savings and deposits *As per 31
Slide 34: Track record of issuing secured and unsecured debt instruments
Track record of issuing secured and unsecured debt instruments • Funding position based on a stable level of bond issuance, our presence in wholesale markets and accordingly experienced with secured funding related (reporting) tasks • The Soft Bullet Covered Bond Programme will be used for future pu
Slide 35: Mortgage Loan Portfolio
Mortgage Loan Portfolio 35
Slide 36: Offering mortgages to private banking clients
Offering mortgages to private banking clients WHAT WE DO OUR CLIENTS OUR SUSTAINABILITY APPROACH We are the leading private bank in the Our private banking clients include We incentivise the purchase of more Netherlands. With an in-depth entrepreneurs, wealthy individuals and sustainable home or eff
Slide 37: Our loan portfolio remained stable
Our loan portfolio remained stable Loan portfolio €m Loan portfolio Loan portfolio % change Impaired loans Provision Impaired ratio Coverage ratio 31/12/2024 31/12/2023 Mortgages 6,396 6,368 0% 36 2 0.6% 6% Other loans 2,348 2,182 8% 90 26 3.8% 29% Loan portfolio 8,744 8,550 2% 127 28 1.4% 22% Mortg
Slide 38: High quality loan book
High quality loan book Additions to or releases from loan loss provisions €m 4 bps* -29 bps* -19 bps* 5 bps* -3 bps* 1.9 2.0 -1.4 -7.7 -11.7 2020 2021 2022 2023 2024 • Release from loan loss provisions relative to average risk-weighted assets worked out at -3 basis points • Reflecting the high quali
Slide 39: Soft Bullet Covered Bond Programme
Soft Bullet Covered Bond Programme 39
Slide 40: Summary & key features
Summary & key features Summary Key features Issuer Van Lanschot Kempen NV Structure Registered programme with DNB Programme size €5.0 bn Strong programme tests (asset cover test & amortisation test) Format Soft Bullet (SB) No interest rate swap counterparties* Extension Period Maximum of 12 months E
Slide 41: Transaction structure
Transaction structure Subordinated Loan Swap provider* Provider Servicing Swap (Sub-) Servicer agreement Agreements CBC Account Bank Administrator Van Lanschot Kempen Security Trustee Administration SB Covered Bond Company B.V. Parallel Debt agreement and Pledge of Receivables Asset Monitor and Inte
Slide 42: Key parties & transaction structure
Key parties & transaction structure Key Programme Parties Key pool characteristics as of April 2025 Originator Van Lanschot Kempen Net principal balance €1,908,401,204 Transferor Van Lanschot Kempen Construction deposits €602,412 Issuer Van Lanschot Kempen Servicer Van Lanschot Kempen Fixed rate 97.
Slide 43: Cover pool characteristics as of April 2025
Cover pool characteristics as of April 2025 Current loan balance per borrower Geographical distribution as % of € thousand 23% outstanding amount 25% 22% 21% Noord-Holland 32.52% 20% 15% Zuid-Holland 21.30% 15% Utrecht 14.60% 10% 8% 7% Noord-Brabant 14.12% 5% 3% Gelderland 8.49% 0% <=250 <=500 <=750
Slide 44: Cover pool characteristics as of April 2025
Cover pool characteristics as of April 2025 Remaining interest rate fixed period (in years) Seasoning (in years) 25% 23% 30% 28% 24% 20% 22% 15% 20% 15% 15% 10% 9% 9% 10% 10% 9% 8% 6% 10% 6% 5% 5% 1% 1% 0% 0% 0% <1 <2 <3 <4 <5 <6 <7 <8 <9 <10 <20 0-5 5-10 10-15 15-20 20-25 25-30 >30 Interest rate (%
Slide 45: Soft Bullet mechanism
Soft Bullet mechanism Going-concern Soft Bullet Mechanics • The covered bonds (CBs) are bullet securities due on the specified maturity No date and the Issuer makes the coupon and principal payments to the investors Issuer Event of Default Bullet Maturity • The Asset Cover Test (ACT) ensures that th
Slide 46: Comparison - Dutch covered bond programmes
Comparison - Dutch covered bond programmes Main highlights* Issuer Rating (S/M/F) BBB+/NR/A- A/A1/A A-/NR/A BBB+/NR/NR A+/A1/AA- BBB/NR/BBB A/NR/NR A+/Aa2/A+ A/A2/A- 1.) AAA/NR/NR 1. AAA/Aaa/AAA 1. AAA/NR/NR Programme Rating (S/M/F) AAA/NR/NR NR/Aaa/AAA AAA/NR/NR 2. AAA/NR/AAA AAA/NR/NR NR/Aaa/NR NR
Slide 47: Van Lanschot Kempen investor reporting
Van Lanschot Kempen investor reporting DUTCH ASSOCIATION OF COVERED BONDS EUROPEAN COVERED BOND (PREMIUM) LABEL DEBT INVESTOR WEBSITE Van Lanschot Kempen is a member of Our Soft Bullet Covered Bond Investor reports follow the HTT and the Dutch Association of Covered Bond Programme carries the Europe
Slide 48: Annex I: Sustainability
Annex I: Sustainability 48
Slide 49: Progress on our KPIs
Progress on our KPIs KPIs Targets 4. CET 1 ratio (Basel IV fully loaded) 17.5% e 2. Return on CET 4 capital > 18% in 2027, progress ahead of our grawth e path of 1 percentage point per year 3. Cost/income ratio 67-70% © [701% 71.6% 4, Three-year relative performance of our managed | >benchmark @ [1%
Slide 50: High scores on external ESG ratings
High scores on external ESG ratings Governance: 1st decile 2025 7th place in a league table of 51 2024 AA rating 2023 Environment: 3rd decile Dutch companies On a scale of AAA to CCC Social: 3rd decile With 32/40 points on resilience to ESG risks 6th place in league table of 491 2023 B- rating 2024
Slide 51: Annex II | Dutch Housing Market
Annex II | Dutch Housing Market 51
Slide 52: House price development in the Netherlands
House price development in the Netherlands House Prices Index 2020 = 100 % Commentary 25% 150 20% The Dutch house price index continued to rise in 2024, with average prices 15% increasing by 8.7 percent and a sharp 11.5 percent jump in January 2025. This 100 10% marked the fourth straight quarter of
Slide 53: Dutch mortgage lending standards
Dutch mortgage lending standards Evolution of Dutch mortgage lending standards 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 ▪ Limited tax ▪ Highest tax ▪ Highest tax ▪ Highest tax rate ▪ Highest tax ▪ Easing of ▪ Increase of deduction of rate reduces rate reduced reduced to: 40%
Slide 54: Economy in the Netherlands
Economy in the Netherlands Gross Domestic Product (GDP) – Y-o-Y change Commentary 7% The Dutch economy had a modest growth of 0.1 percent in the first quarter of 2025, 5% marking a slowdown compared to the stronger performance in late 2024. For the 3% full year, GDP is expected to grow by 1.1 percen
Slide 55: Inflation, wage growth and house price increase
Inflation, wage growth and house price increase Q1 2024 – Q1 2025 - house price increase per region Commentary 15.0% In 2024, the province of Utrecht recorded the highest house price growth in the Netherlands, with an increase of 11.6 percent—well above the national average of 10.0% 8.7 percent. Zee
Slide 56: Mortgage origination volumes & mortgage rates
Mortgage origination volumes & mortgage rates Cumulative mortgage origination volumes (in €bn) Commentary 150 149 Dutch mortgage rates have seen a modest decline, with 10-year swap rates settling 125 131 around 2.7% in early 2025, down from a peak of 3.5% in late 2023. This drop, along 100 with risi
Slide 57: Annex III | Product offering & Underwriting
Annex III | Product offering & Underwriting 57
Slide 58: Product offering
Product offering Private banking services to wealthy individuals and to individuals starting to build their wealth • Advice on financial planning and wealth management is provided • The focus is on delivering relevant advice and high-quality service • Mortgage loans are provided to our target client
Slide 59: Underwriting (1/2)
Underwriting (1/2) Dutch Code of Conduct Governance Our mortgage underwriting criteria have been continuously updated to align with the Dutch Code of Conduct, national law and prevailing market practices. The following criteria represent our current standards: Maximum loan to value (applicable as of
Slide 60: Underwriting (2/2)
Underwriting (2/2) • Various fraud checks are carried out (BKR, SFH, VIS, EVA, employer’s certificate)* Fraud & insurance • Continuous contact between banker and client requirements • Mandatory hazard insurance based on reconstruction value • Mandatory property valuation by independent appraiser • F
Slide 61: Arrears management and reducing credit risk
Arrears management and reducing credit risk Arrears management • Mortgage loans are considered in arrear if one or more payments have been missed by the client • After approximately two weeks a reminder is sent by the service provider (Stater). Every month another letter is sent, for as long as the
Slide 62: Restructuring approach
Restructuring approach • All arrears of over 30 days are monitored by the Prevention &Monitoring Team. They focus on analysing the situation of the client in order to find a permanent solution, rather than just acting on signals. Within 60 days it must be clear whether a problem can be easily solved
Slide 63: Contact
Contact Ralf van Betteraij Head of Funding Management T +31 20 348 97 13 r.vanbetteraij@vanlanschotkempen.com Trang Nguyen Senior Specialist - Funding T +31 20 348 97 14 trang.nguyen@vanlanschotkempen.com Judith van Tol Manager Investor Relations T +31 20 354 45 90 investorrelations@vanlanschotkempe
Slide 64: Important Notice (1/2)
Important Notice (1/2) FOR DISTRIBUTION ONLY OUTSIDE THE UNITED STATES, ITS TERRITORIES AND POSSESSIONS TO PERSONS OTHER THAN "U.S. PERSONS" (AS DEFINED IN REGULATION S UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT")). NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN
Slide 65: Important Notice (2/2)
Important Notice (2/2) The financial data in the Presentation have not been audited or reviewed, unless specifically stated otherwise. Small differences in tables may be the result of rounding. Each Relevant Persons expressly disclaims any and all liability for any representations, warranties or und
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