Vp Bank Ag Class A · SIX:VPBN
Vp Bank Ag Class A — FY2013 Earnings Presentation
38 slides from Vp Bank Ag Class A's earnings presentation, Mar 18, 2014
Slide 1: VP Bank Group Annual results 2013
VP Bank Group 18 March 2014 VP Bank Group Annual results 2013 SIX Swiss Exchange
Slide 2: Welcome
Welcome Fredy Vogt Chairman of the Board of Directors
Slide 3: Programme
Programme 1 Welcome Fredy Vogt, Chairman of the Board of Directors 2 Annual results 2013 Siegbert Näscher Chief Financial Officer 3 VP Bank: Strategy implementation Alfred W. Moeckli Chief Executive Officer 4 Questions and answers Fredy Vogt, Chairman of the Board of Directors Alfred W. Moeckli, Chi
Slide 4: Welcome
Welcome Fredy Vogt Chairman of the Board of Directors
Slide 5: Annual results 2013
Annual results 2013 Siegbert Näscher Chief Financial Officer 5
Slide 6: Overview of topics
Overview of topics • Profile as of 31 December 2013 • Client assets under management • Balance sheet • Income statement • Segments • Dividends • Summary 6
Slide 7: VP Bank Group – Profile as of December 2013
VP Bank Group – Profile as of 31 December 2013 Headcount (FTE) Shareholders’ 706 equity CHF 888.7 million Client assets under Group net income management CHF 38.7 million CHF 30.6 billion Cost/ income ratio 70.2% Balance sheet total CHF 11.2 billion 7
Slide 8: Client assets under management
Client assets under management 8
Slide 9: Client assets under management (1/2)
Client assets under management (1/2) in billion CHF Other assets under management 22.4 21.1 22.0 Assets with management mandate 3.0 2.9 2.5 4.5 Assets in own-managed funds 5.2 2.9 2011 2012 Performance Net Net 2013 outflow inflow VP Bank Group HSBC excluding HSBC Trinkaus & Trinkaus & Burkhardt Burk
Slide 10: Client assets under management (2/2)
Client assets under management (2/2) Inflows from Outflows from Inflows in the asset deal Europe Outflow from home market, HSBC due to a third Russia and Trinkaus & regulatory fund Asia Burkhardt changes Net new money CHF +1 billion 10
Slide 11: Client assets under management – asset classes/currencies
Client assets under management – asset classes/currencies in per cent 2011 2012 2013 3 3 2 Asset classes 21 23 25 33 31 31 Liquidity Bonds Shares Funds 18 Other 18 21 25 25 21 2011 2012 2013 12 14 13 28 26 29 Currencies CHF 23 EUR 22 24 USD Other 36 36 37 11
Slide 12: Balance sheet
Balance sheet 12
Slide 13: Total assets
Total assets in billion CHF 11.2 10.6 Cash and cash 1.4 • Augmentation of liquidity 0.9 equivalents • Reduction of counterparty risk Due 4.5 • Restructuring of liquidity 4.8 from banks • 97% of all ratings between A and AAA • Mortgage-backed loans 68% Due 3.9 • Other collateral 27% 3.7 from customer
Slide 14: Total liabilities and shareholders' equity
Total liabilities and shareholders' equity in billion CHF 11.2 10.6 Due 0.2 0.4 to banks • Client funds at call 89% • Client funds with maturity 1 year or more 11% • Asset deal HSBC Trinkaus & Due Burkhardt 9.0 9.6 to customers 0.9 Shareholders' equity 0.9 • Shareholders' equity unchanged Other desp
Slide 15: Income statement
Income statement 15
Slide 16: Group net income
Group net income in million CHF Gross Operating Depreciation, Income Discontinued Group result expense amortisation, taxes business net income provisions operations 31/12/2013 16
Slide 17: Group net income – principal effects
Group net income – principal effects in million CHF 2012 2013 47.2 22.8 –2.1 3.0 38.7 37.8 –1.8 26.2 Consol. Profit IAS 19 Discontin. adjusted Consol. Profit Asset Discontin. adjusted 2012 companies Group net income 2013 deal companies Group net income 2012 excluding HSBC 2013 excluding special effe
Slide 18: Interest business
Interest business in million CHF 83.5 86.9 66.7 • Changes in value from hedges 8.5 • Declining interest income from bank and client loans 90.3 89.2 • Lower interest expense on 78.4 bonds –5.7 –23.6 2011 2012 2013 Income from interest business excluding interest rate derivatives Income from interest
Slide 19: Commission business and services
Commission business and services in million CHF 115.2 114.1 108.1 • Sales activity increased Brokerage fee +12.4% Trans- action- Fund management +6% 81.4 79.3 76.0 based income Volume- • Higher volumes 32.9 32.0 34.8 based income 2011 2012 2013 19
Slide 20: Operating expenses
Operating expenses in million CHF 174.4 168.0 • Takeover of the personnel from 147.8 HSBC Trinkaus & Burkhardt 51.6 46.0 • IAS 19 one-off effect in 2012 of 46.7 CHF 22.8 million • Group-wide reorganisation and recruitment costs for executive staff 122.8 122.0 101.1 • Implementation of tax transparen
Slide 21: Segments
Segments 21
Slide 22: Segment overview as of December 2013
Segment overview as of 31 December 2013 Client Client Chief Corporate * in CHF Business Business Operating Group Center Liechtenstein International Officer Income/loss 59.8 million –3.5 million –25.2 million 6.9 million 38.0 million before tax* Client assets under 17.7 billion 11.5 billion 1.2 billi
Slide 23: Dividend
Dividend 23
Slide 24: Dividend
Dividend 2012 in million CHF in CHF 2013 Group net income Total Dividend per bearer share attributable to dividend shareholders of VP Bank *Proposal to the annual general meeting 24
Slide 25: Dividend yield
Dividend yield 2008 2009 2010 2011 2012 2013 25
Slide 26: Summary
Summary 26
Slide 27: VP Bank Group – Summary 2013
VP Bank Group – Summary 2013 • Group net income of CHF 38.7 million (+59% compared to the adjusted prior-year profit) • Inflow of net new money: CHF 1 billion • Successful takeover of personnel and clients from HSBC Trinkaus & Burkhardt in Luxembourg • Sale of fiduciary companies as a result of focu
Slide 28: VP Bank: Strategy implementation
VP Bank: Strategy implementation Title Alfred W. Moeckli Chief ExecutiveSubtitle Officer 28
Slide 29: Chief Executive Officer organisation
Chief Executive Officer Alfred W. Moeckli Group Communications & Marketing Group Human Resources Group Business Development Group Legal, Compliance & Tax Client Business Christoph Mauchle -@ Intermediaries -@ Fund Solutions -@ VP Bank (Luxembourg) S.A. \—@ ve Bank (BVI) Limited Group Investment, Pro
Slide 30: Current situation
Current situation Favourable conditions and a fair number of strengths... • Client segments and target markets have been determined • Core assets under management have on the whole been stable since 2008 • Well-established cost discipline • Strongly positioned in the intermediary business • Promisin
Slide 31: Important topics in 2014
Important topics in 2014 ... but also a number of strategic challenges • Many regulatory aspects • Ongoing pressure on the cross-border business, particularly in Switzerland and Liechtenstein dropping margins • Uncertain future for the fiduciary business • Unclear positioning of private banking •
Slide 32: Group-wide front strategy (1/3)
Group-wide front strategy (1/3) Liechtenstein • Specific strategy of the head office for • Direct customers (private banking, affluent and retail) • External asset managers • Fiduciaries • Regional commercial business • Distribution • Improving sales effectiveness • Ways of reducing cost • Pricing s
Slide 33: Group-wide front strategy (2/3)
Group-wide front strategy (2/3) Switzerland • Focusing on developing the markets in Switzerland and Russia Luxembourg • HSBC: from asset deals to migration to integration • Strengthening the funds business • Using Group synergies – increased integration 33
Slide 34: Group-wide front strategy (3/3)
Group-wide front strategy (3/3) Asia • Increasing front capacities in the new markets around Singapore • Promising situation in the intermediary business BVI • Spin-off of fiduciary companies (operational implementation) • Highly profitable mortgage business in the premium segment • Complementary pr
Slide 35: Our vision
Our vision We are the most recommended private bank, since we appeal to clients by creating unique client experiences. 35
Slide 36: Safely ahead.
BANK Safely ahead.
Slide 37: Questions and answers
Questions and answers 37
Slide 38: Safely ahead.
BANK Safely ahead.