Liberty Financial Report 2017

Transcription

1 Liberty Financial Report

2 Testimonial Marianne Wildi CEO Hypothekarbank Lenzburg AG ive years ago, we discovered a competent and innovative F partner for our 2nd and 3rd pillar pension benefits in Liberty Vorsorge AG; the Company has exceeded our expectations. We appreciate Liberty s excellent and reliable service, cooperativeness, and pleasant and friendly approach. We would gladly recommend Liberty. 2

3 President s introductory statement ension provision is one of the few areas where future P developments can be accurately predicted. For example, we know that the Swiss population is ageing, that in the future employees will have to support pensioners by paying more and longer, and that the third contributor interest - will continue to produce weak returns. It is obvious that the situation is becoming increasingly tight for pension funds and that, in coming years, we either have to contribute more or receive less when we retire. And maybe both. Although this is all common knowledge, we find it difficult to face the facts. The rejection of the 2020 Pension Reform at the ballot box was the most recent example. When the body politic and the people fail to make any headway in securing the sustainability of our tried and tested (3-pillar) pension system, each and every one of us will have to prepare for retirement as well as we can individually. For over 12 years, Liberty Pension has been offering professional guidance and service to its clients which now number over 18,000. In addition to offering tried and tested vested benefit and pillar 3a solutions, we are an attractive partner for SMEs and self-employed professionals in all fields. We also offer interesting 1e solutions for high earners (with an annual income of CHF 126,900 or more) looking to choose their own investments and risk levels. In the medium term, however, there will be no avoiding the fundamental overhaul of the Swiss pension system. And in the end, as is wont in Switzerland, a compromise will have to be found which is acceptable to the majority of the people and which all parties and stakeholders can more or less live with. Josef Andres, Chairman of the Board of Directors Liberty Vorsorge AG 3

4 Testimonial Claudio Chicchini Division Manager Private Banking LGT Bank (Schweiz) AG, Zurich iberty makes available a professional state-of-the-art L pensions platform which leaves us free, as a bank, to focus on our core competence, namely the management of pension assets. A win-win situation for Liberty and LGT, and for each individual employer and member. 4

5 A look back Liberty crosses the CHF 2 billion mark For 2017, Liberty Pension and its foundations again reported extremely successful results. In the reporting year, assets on platform grew 25 %, from CHF 1.65 billion to CHF billion. Again, the drivers of this growth were our important presence in French-speaking Switzerland, and the strong focus on investments, occupational benefits (BVG/ LPP), and 1e solutions. Our strategic partnerships with AXA, LGT, Lombard Odier, BCV/Piguet Galland, HBL and Vontobel are bearing fruit. The close cooperation with these important partners will help us establish «Liberty» name even more strongly on the pension market as a quality, first-class brand, and accelerate our penetration of the domestic market. The planned digitisation of our core activities unfortunately suffered from our strong growth and had to be deferred until Nevertheless, we are convinced that we will remain among the pioneers for the implementation of digital solutions. We shall very soon be bringing a few interesting novelties to the market in the field of online on-boarding and electronic asset views (Liberty Connect). Oliver Bienek CEO of Liberty Vorsorge AG 5

6 2017 Key Figures Assets on Platform CHF Mio. * Turnover CHF Mio. Number of transactions CHF Mio. (2016) CHF 876 Mio. (2016) (2016) Number of clients Number of products 266 Number of business partners (2016) 266 (2016) 210 (2016) * incl. assets from third-party foundations 6

7 Liberty Client Business Team News from the client front In a financial industry dominated by men, Liberty Pension has placed its operations in female hands. German-speaking Switzerland and the Ticino will henceforth be headed by Barbara Bienek, member of the Executive Committee, while French-speaking Switzerland will continue to be managed by Isabelle Palmero. All consulting and service functions for clients and Business Partners have been brought together under a new Client Business Team with a view to responding even more quickly to the needs of our clients and partners who will henceforth have a clear and designated correspondent. Comprehensive service from a dedicated source. French Speaking Switzerland Isabelle Palmero, Head Advisory Isabelle Palmero Jean-Marc Ney Dinis Silva Pereira Marc Churin Client Service Lamia Meralli, Manager Christiane Cabellos Franca La Macchia Sonia Bally Contact German Speaking Switzerland and Ticino Barbara Bienek, Head Advisory Barbara Bienek Central Switzerland Roel Heijmann Eastern Switzerland Gian Patierno Greater Zurich Area Patrick Hauser, Swiss midlands Giorgio Gobbato, Ticino Beat Eggli, Private Clients Antonio Mercadante Private Clients Client Service Nadine Hutab Katja Zumbühl Sarah Müllestein Nadja Kopp Maja Weber Contact T: T: romandie@liberty-prevoyance.ch info@liberty-pension.ch 7

8 2017 Key Figures Heading Vested Benefit Foundation 3a Retirement BVG/LPP Collective Savings Foundation Foundation 1e Flex Invest Foundation Total * 2017 in % in % in % in % in % 2016 Total assets in KCHF % % % % % of which actuarial capital in KCHF % % % % % of which provisions, other liabilities and reserves in KCHF % % % % % Income from operating activities in KCHF % % % % % Actuarial provisions in KCHF % % Operating expenses in KCHF % % % % % Annual results in KCHF % 5 14 % 100 % % % Membership headcount % % % % % Pensioner headcount % % Number of companies % % % Investment ratio 47 % 8 % 51 % 14 % 85 % 8 % 66 % 11 % 52 % 21 % Turnover in KCHF % % % % % Funded status in % 100 % 100 % 105 % 5 % 100 % * Published for information purposes only; there is no financial consolidation; only assets from third-party institutions. 8

9 Income n VB/3a account solutions % 41 % n Investments 52 % 50 % n Emigration Service 5 % 5 % n BVG/Flex 6 % 4 % Investment and collective foundation business is growing While the income of our two collective foundations is still relatively modest overall, it grew by 50 % in The decision to focus on investments, BVG/LPP and 1e solutions is slowly but surely starting to bear fruit. Thanks to a more attractive risk tariff, and the regional Client Business Teams, we believe growth will further accelerate. Spotlight on digitisation and scalability Expenditures n Operating expenses 80 % 87 % n IT Digital/Marketing 13 % 9 % n Supervision/Legal 7 % 4 % Last year, major investments were made in IT and digitisation: the impact of these investments on expenditures is apparent. At the same time, operating costs stabilised. We are now focusing on ensuring that the platform can process large volumes at lower per unit costs. Significant investment will have to be made in digitisation and artificial intelligence, and we wish to finance such investments to the largest possible extent through free cash flow. 9

10 Testimonial Jean-François Fontanet Private banker Bank Lombard Odier & Co AG s a banker in charge of the development retirement A savings solutions for private clients for Lombard Odier, I can observe the growing success of our bank in developing the assets under management on the BVG/Bel Etage/1e pension accounts. Liberty has been a partner of Lombard Odier since 2011, and has actively contributed to our position as market leader, helping to substantiate the decision to place occupational benefits at the core of our business model. The key to our success is the excellent combination between our core business asset management and the selection of independent partners such as Liberty Pension. Together we can offer comprehensive bancassurance solutions which are difficult to provide alone. 10

11 Outlook A future dictated by growth and profitability For 2018, we are again expecting double-digit growth with a focus on our collective foundations, and investment and association business. As the newly regulated 1e market consolidates, we have the advantage of our long-standing experience and strong network of partners. Further partnerships in connection with our platform are in the planning including in the Ticino and we shall accelerate our push into the brokerage business and into the provision of occupational benefits for professional associations. Digitisation, crypto-technology and artificial intelligence are taking a foothold in the pension industry. Liberty takes such prospects very seriously and is investing heavily in themes at the conjunction of the virtual and the real world. We attach major importance to the entire processing chain, to the exchange of assets with other institutions, and to the development of Liberty Connect and electronic data and document viewing. To our satisfaction, we succeeded in negotiating a new and highly competitive risk tariff for both collective foundations, and we are optimistic about the future in both business areas. Oliver Bienek CEO of Liberty Vorsorge AG 11

12 Contact Head Office Other offices Liberty Vorsorge AG Milchstrasse 14 Postfach 733 CH-6431 Schwyz Tel Fax Liberty Prévoyance SA Route de Genève 7, CH-1291 Commugny Tél Liberty Vorsorge AG Igelweid 22, CH-5000 Aarau Tel Liberty Previdenza SA Hausmatt 1, CH-6423 Seewen-Schwyz Tel Liberty Vorsorge AG Hausmatt 1, CH-6423 Seewen-Schwyz Tel Liberty Vorsorge AG Flugplatzstrasse 5, CH-8404 Winterthur Tel Liberty Vorsorge AG Heidenerstrasse 1a, CH-9450 Altstätten Tel