Intesa Sanpaolo’s AUM up by €22bn in H1
Italy’s second-largest bank by assets Intesa Sanpaolo has reported a strong growth in assets under management, with an increase of approximately €22bn in the first half of 2014. Approximately €13bn switched from assets under administration and in custody, the bank report also said.
Intesa Sanpaolo also reported a net income of €1.2bn in H1, which excluded retroactive tax rate increase in relation to the stake in the Bank of Italy.
The bank also reported a strong liquidity position and funding capability: liquid assets of €107bn and large availability of unencumbered eligible assets with Central Banks, corresponding to liquidity of €82bn at the end of June 2014; already compliant with Basel 3 Liquidity Coverage Ratio and Net Stable Funding Ratio requirements, well ahead of deadlines for their full implementation (2019 and 2018 respectively).
Intesa Sanpaolo also said not to be “addicted” to the ECB: in the second quarter of 2014, the Group’s refinancing with the ECB to optimise the cost of funding amounted, on average, to €5bn and consisted of standard open-market operations with maturities from one week to three months (€9.8bn, on average, in the first quarter).
“Intesa Sanpaolo closed the first half of 2014 with high-quality results – among the best in Europe in terms of revenue growth – and which are perfectly in line with our Business Plan. We’re very well placed to emerge as winners in the challenging phase represented by the Asset Quality Review and the Stress Tests,” said Managing Director and CEO Carlo Messina.
“Our strong balance sheet has been further reinforced, ranking us at top among our peers in Europe, with a deliberately low level of leverage and liquidity that far exceeds the Basel III requirements for 2018. This is on top of the €500m we have set aside to be distributed as dividends.”