Kempen European High Dividend Fund N.V. N · EURONEXT:KEHDF
Kempen European High Dividend Fund N.V. N — Van Lanschot Kempen — Shareholder Meeting (May 2020)
54 slides from Kempen European High Dividend Fund N.V. N's shareholder meeting presentation, May 28, 2020
Slide 1: Annual general meeting
Annual general meeting Amsterdam, 28 May 2020
Slide 2: 1. Opening
VAN LANSCHOT KEMPEN
Slide 3: 2a. Report of the Supervisory Board
2a. Report of the Supervisory Board Discussion item
Slide 4: 2b. Report of the Statutory Board for 2019
2b. Report of the Statutory Board for 2019 Discussion item
Slide 5: Core proposition of Van Lanschot Kempen
Core proposition of Van Lanschot Kempen The core proposition of Van Lanschot Kempen as a firm is an independent, integrated wealth management house with a very specific objective namely - preservation and creation of wealth in a sustainable way for clients and the societies we serve and in doing so
Slide 6: We are a leading wealth manager in our markets
We are a leading wealth manager in our markets Focused wealth • We’re a well-capitalised, profitable wealth manager with a strong position in the market management • We believe that our knowledge and experience, personal, client-focused approach, unique combination of strategy activities and track r
Slide 7: In 2019, we have made good progress in delivering on our ambitions
In 2019, we have made good progress in delivering on our ambitions Accelerate growth • Client assets grew 26% to €102.0bn – organically and • Net inflows of AuM at Private Banking and at Asset Management inorganically • Ongoing search for acquisitions to accelerate our growth Activate our full • Co-
Slide 8: From responsible to sustainable wealth manager 2019 highlights
From responsible to sustainable wealth manager 2019 highlights 98% of fund managers on the AuM at Private Banking approved list are scored on their invested in sustainable or Increased range of overall sustainability profile impact investing solutions grew sustainable and impact by 55% to more than
Slide 9: Our positioning in a changing environment
Our positioning in a changing environment Key themes Our positioning • Focus on wealth management, reducing dependence on interest income Low interest rates impact • Keep Private Banking loan portfolio stable our interest income • Charge negative interest rates for larger savings balances (above €1
Slide 10: 2019 annual results
2019 annual results
Slide 11: 2019 highlights
2019 highlights Sale AIO II and Fourth closing of Successfully Infrastructure VLC & Partners European Private completed 37 for advanced Equity Fund at €193 Corporate Finance and analytics million ECM transactions 2019 2020 New payments Niche strategies Over €2.0 billion Special capital platform and
Slide 12: Good overall performance
Good overall performance Net result €98.4m (2018: €80.3m) Commission income €290.4m (-1%) Underlying net result €108.8m Interest income €175.3m (0%) (2018: €103.0m) Operating expenses Efficiency ratio 75.5% €384.1m (-3%) (2018: 79.4%) Client assets €102.0bn (+26%) AuM net inflow €9.9bn AuM €87.7bn (
Slide 13: Net result considerably up to €98.4m
Net result considerably up to €98.4m Key drivers of net result €m incl. book profit VLC & Partners 13
Slide 14: Cost-saving measures lead to operating expenses below the 2019 target
Cost-saving measures lead to operating expenses below the 2019 target Operating expenses €m 14
Slide 15: Private Banking client assets rose 13% to €34.5bn
Private Banking client assets rose 13% to €34.5bn Net result Private Banking* Private Banking client assets* €m € bn * As of 2019 Corporate Banking activities are integrated into our Private Banking segment. Comparative figures have been adjusted accordingly. 15
Slide 16: Successful completion of strategic investment programme in 2019
Succesful completion of strategic investment programme in 2019 Multi-channel Omni-channel Discretionary management app Introduced New website and online portal New payments platform and merged into investment app; Vermogenshorizon in 2018, for clients in 2018, functionality payments app in 2019 func
Slide 17: Net inflow at Asset Management amounted to €9.8bn
Net inflow at Asset Management amounted to €9.8bn Net result Asset Management AuM Asset Management €m € bn 17
Slide 18: Evi's net result improved, client assets relatively stable
Evi’s net result improved, client assets relatively stable Net result Evi Evi’s AuM €m €m 18
Slide 19: Solid results at Merchant Banking
Solid results at Merchant Banking Net result Merchant Banking Commission €m €m 19
Slide 20: Margin pressure due to low interest rate environment
Margin pressure due to low interest rate environment Interest Interest margin (12-mth moving average)* €m % * The interest and clean interest margin are calculated excluding the one-off interest claim to be received from DSB NV ** The clean interest margin equals the gross interest margin adjusted f
Slide 21: Client assets at €102.0bn
Client assets at €102.0bn Client assets* Assets under management* € bn € bn * As of 1 January 2018, €0.2 bn in AuM has been transferred to AuA. The comparative figures for 31 December 2017 have been adjusted accordingly 21
Slide 22: Net release of loan loss provisions thanks to positive economic conditions
Net release of loan loss provisions thanks to positive economic conditions Loan portfolio (excluding provisions) Additions to loan loss provisions at 31/12/2019 100% = €8.7bn €m - 22 bps* - 27 bps* - 27 bps* * Loan loss provision / Average total RWA 22
Slide 23: Strong capital position
Strong capital position Common Equity Tier 1 ratio* % * Some amounts differ from previously published reports, reflecting changes that result from the accounting changes related to provisions for pensions 23
Slide 24: Delivering on our promise
Delivering on our promise Capital return and dividend €m 24
Slide 25: Overview of 2023 financial group targets
Overview of 2023 financial group targets Common Equity Tier 1 ratio* Dividend pay-out ratio** % % 50-70% 15-17% 21.4% 23.8% 16.3% 18.6% 20.3% 64% 56% 61% 57% 36% 2015 2016 2017 2018 2019 2023 2015 2016 2017 2018 2019 Efficiency ratio Return on Common Equity Tier 1** % % 70-72% 10-12% 74.4% 79.6% 76.
Slide 26: Q1 2020
Q1 2020
Slide 27: Exceptional market circumstances in Q1 2020
Exceptional market circumstances in Q1 2020 10-year swap rate AEX VIX index MSCI-Europe 3-month Euribor 27
Slide 28: The core of our wealth management model delivers to our clients
The core of our wealth management model delivers to our clients • Net inflow at Private Banking €0.5bn (Q1 2019: -€0.1bn) • Net inflow at Asset Management €1.4bn (Q1 2019: -€0.2bn) Strong AuM inflow • Healthy AuM pipeline for 2020 • Client savings stable at €9.5bn Stable client • Loan portfolio incr
Slide 29: Our Q1 results
Our Q1 results • Net result -€10.5m (Q1 2019: €15.3m, excluding one-off sale proceeds) • 15% increase in commission income compared with Q1 2019 • Interest income under continuous pressure • Addition to loan loss provision relatively low at €2.4m • Costs slightly higher compared with Q1 2019, in lin
Slide 30: Well positioned under difficult circumstances
Well positioned under difficult circumstances • Sentiment among clients still good • Asset Management won two new mandates, which will start in the course of 2020 State of business • Evi welcomed c. 6,600 clients with over €150m in AuM from the partnership agreement with a.s.r. bank • Annualised rec
Slide 31: 2019 annual results
2019 annual results
Slide 32: 3. Remuneration report 2019
3. Remuneration report 2019 Advisory voting item
Slide 33: Remuneration report 2019
Remuneration report 2019 Bernadette Langius Chair of the Remuneration Committee The Remuneration report 2019 can be found on: • vanlanschotkempen.com under financial results • in the Annual Report 2019 on pages 72 up to and including 81 33
Slide 34: 4a. Adoption of 2019 financial statements
4a. Adoption of 2019 financial statements Voting item
Slide 35: 4b. Adoption of a cash dividend of €1.45 per Class A ordinary share
4b. Adoption of a cash dividend of €1.45 per Class A ordinary share Voting item
Slide 36: 5a. Discharge of the members of the Statutory Board
5a. Discharge of the members of the Statutory Board from liability for their conduct of Van Lanschot Kempen’s affairs in the 2019 financial year Voting item
Slide 37: 5b. Discharge of the members of the Supervisory Board
5b. Discharge of the members of the Supervisory Board from liability for their supervision of Van Lanschot Kempen’s affairs in the 2019 financial year Voting item
Slide 38: 6. Proposed amendment to the Articles of Association
6. Proposed amendment to the Articles of Association Voting item
Slide 39: 7a. Adoption of Statutory Board remuneration policy
7a. Adoption of Statutory Board remuneration policy Voting item
Slide 40: Adoption of Statutory Board remuneration policy
Adoption of Statutory Board remuneration policy • Remuneration structure for the Statutory Board remains unchanged • Textual additions have been made to the remuneration policy to explain our remuneration approach in compliance with the implementation of SRD II • In preparation for the 2020 annual g
Slide 41: Rewarding long-term sustainable performance
Rewarding long-term sustainable performance • Since 2015 the remuneration of our Statutory Board Remuneration 100% consists of fixed remuneration only fixed Significant proportion in • The fixed remuneration includes a significant proportion shares in shares, with a five-year lock-up period • Board
Slide 42: Adoption of Statutory Board remuneration policy
Adoption of Statutory Board remuneration policy Voting item • When asked to advise on the Statutory Board’s remuneration policy, the Works Council issued a positive opinion • The proposed remuneration policy for the Statutory Board and the formal opinion of the Works Council can be found on vanlansc
Slide 43: 7b. Adoption of Supervisory Board remuneration policy
7b. Adoption of Supervisory Board remuneration policy Voting item
Slide 44: Adoption of Supervisory Board remuneration policy
Adoption of Supervisory Board remuneration policy Voting item • Textual additions have been made to the remuneration policy in compliance with the law under which SRD II has been implemented • We do not propose any remuneration changes • The proposed remuneration policy for the Supervisory Board was
Slide 45: 8. Appointment of the auditors
8. Appointment of the auditors Voting item
Slide 46: 9a. Notification of vacancies and profiles; opportunity to make a recommendation
9a. Notification of vacancies and profiles; opportunity to make a recommendation Voting item in the event of such recommendation
Slide 47: 9b. Appointment of Karin Bergstein as a member of the Supervisory Board
9b. Appointment of Karin Bergstein as a member of the Supervisory Board Voting item
Slide 48: Appointment of Karin Bergstein as a member of the Supervisory Board
Appointment of Karin Bergstein as a member of the Supervisory Board Karin Bergstein is an experienced candidate. She has a background in financial services (both Banking and Pension) and specialised knowledge of transformation, IT and International Buy & Build strategy. “I am honored by this nominat
Slide 49: 9c. Notification of vacancies that will arise at the 2021 annual general meeting
9c. Notification of vacancies that will arise at the 2021 annual general meeting discussion
Slide 50: 10. Grant of authority to repurchase own shares
10. Grant of authority to repurchase own shares and/or depositary receipts for such shares Voting item
Slide 51: 11a. Authorisation of the Statutory Board to issue ordinary shares
11a. Authorisation of the Statutory Board to issue ordinary shares Voting item
Slide 52: 11b. Authorisation to limit or exclude pre-emption rights
11b. Authorisation of the Statutory Board to limit or exclude pre-emption rights when ordinary shares are issued Voting item
Slide 53: 12. Any other business and closure of meeting
12. Any other business and closure of meeting
Slide 54: Annual general meeting
Annual general meeting Amsterdam, 28 May 2020