- EUR 19 billion in net sales in the last twelve months
- Net sales EUR 10 billion in first half of the year
- Net inflow of EUR 5.8 billion into the retail business during the reporting period
Frankfurt am Main, 26-8-2015 — /EuropaWire/ — Deka Group today reported an increase of its economic result from 13.8 per cent to EUR 366.6 million in the first half of 2015 (1st half of 2014: EUR 322.1 million). As “Wertpapierhaus” (Provider of Asset Management and Capital Market Solutions) for the German Savings Banks Finance Group, Deka Group generated net sales of around EUR 10 billion, compared to EUR 4 billion in the same period of the previous year. The business with institutional clients generated EUR 4.2 billion (EUR 2.9 billion), the business with retail clients provided net sales of EUR 5.8 billion (funds and certificates), thereby already exceeding total sales for all of 2014 (EUR 5.2 billion) in the first six months of the year, while net sales in the retail fund business were still slightly in negative territory at EUR -138 million in the first half of 2014. Deka generated net retail sales of EUR 7.7 billion in the twelve months ended 30 June 2015, thereby confirming the turnaround in this important segment. Total net sales – for funds and certificates with retail and institutional clients – were EUR 19.1 billion during this period. The increase in net sales during the reporting period and overall good performance of investment products causedtotal assets to rise by around EUR 14 billion to EUR 234.3 billion as at 30 June 2015 (end of 2014: EUR 220.4 billion, 30 June 2014: EUR 207.8 billion).
“Deka Group has shown good performance as Wertpapierhaus. We are implementing our strategy systematically and the measures taken are paying off. We offer our clients an attractive range of products, and the result is rapid growth in sales”, stated Michael Rüdiger, CEO of DekaBank. “We are confident that the economic result achieved for the year as a whole will also exceed the result for the previous year.”
Deka Group’s total income rose 13.1 per cent to EUR 843.1 million (1st half of 2014: EUR 745.7 million). Net commission income of EUR 569.6 million (EUR 476.9 million) represented 68 per cent of this figure. It was therefore once again the most important component and made a major contribution to the increase in income. The significant growth in total assets was a relevant factor leading to the increase in net commission income. As expected, the EUR 108.2 million in net interest income was below the value of the previous year (EUR 171.3 million), mainly due to market conditions. At EUR -20.6 million, risk provisions were higher than the exceptionally low value of the previous year (EUR -2.5 million). Of this amount, EUR -21.4 million was due to net additions in the lending business (EUR -5.3 million). The risk provision for securities, on the other hand, was reduced by EUR 0.8 million (EUR 2.8 million). The financial result from trading book positions was EUR 188.8 million, slightly higher than the same period in the previous year (EUR 184.2 million). Deka Group expenses rose 12.5 per cent to EUR 476.5 million (EUR 423.6 million) due to higher regular contributions for the bank levy. DekaBank had estimated the bank levy, as no contribution notices were received until 30 June 2015. Without the bank levy and write-downs, however, operating expenses fell from EUR 177.5 million to EUR 173 million. Due to the growth in sales, collective agreement changes and higher allocations to previous provisions, personnel expenses rose from EUR 218.7 million in the previous year to EUR 234.5 million.
DekaBank´s cost-income ratio and return on equity were both at good levels of 55.4 per cent and 17.7 per cent, respectively. The core tier 1 capital ratio, without transitional provisions (fully loaded), rose from 11.8 per cent at the end of 2014 to 13.2 per cent at the end of June 2015.
|First half of 2015||First half of 2104||Change
in per cent
|€mNet interest income||108.2||171.3||-36.8|
|€mRisk provisions 1)||-20.6||-2.5||(<-300)|
|€mNet commission income||569.6||476.9||19.4|
|€mFinancial result from trading book positions||188.8||184.2||2.5|
|€mOf which bank levy||60.8||13.5||(>300)|
|€mEconomic result 2)||366.6||322.1||13.8|
|€mNet sales 3)||9,979||4,045||146.7|
|€mTotal Assets 3)||234,331||207,825||12.8|
- 1) This includes the risk provision of EUR 0.8 million (previous year EUR 2.8 million) for securities in the “loans and receivables” and “held-to-maturity” categories.
- 2) The economic result is the main management and performance indicator for the Deka Group. In addition to the IFRS result before taxes and change in revaluation surplus before taxes, it also includes interest rate-induced and currency-induced measurement gains or losses arising from direct loan and issuing business that are not recognised in profit or loss under IFRS, but are nevertheless relevant for assessing financial performance.
- 3) The figures for net sales and total assets shown in the financial report and press release are applicable to the economic result. These figures are not comparable to the key figures for fund assets and net inflow of funds published by BVI. The figures for net sales and total assets cover Deka Group’s entire retail and institutional fund and certificate business, including master funds and ETFs.
DekaBank is the Wertpapierhaus (Provider of Asset Management and Capital Market Solutions) of the German Savings Banks Finance Group. Together with its subsidiaries it forms the Deka Group, which has total customer assets of around EUR 234 billion (as at 30 June 2015) and around four million securities accounts, making it one of the largest securities services providers in Germany. It provides retail and institutional investors access to a wide range of investment products and services. DekaBank is firmly anchored in the Sparkassen-Finanzgruppe and designs its portfolio of products and services to meet the requirements of its shareholders and sales partners in the securities business.
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SOURCE: Deka Group