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Annual Results 2017 Presentation to Investors and Analysts Basel, 27 March 2018
Transcript of Annual Results 2016 - stockproinfo.comAnnual Results 2017 • 2nd highest shareholders net income in...
Annual Results 2017
Presentation to Investors and Analysts
Basel, 27 March 2018
Cautionary statement regarding forward-looking information
This presentation was produced by Bâloise Holding AG and/or its affiliates (hereafter "Baloise") with the greatest of care
and to the best of its knowledge based on information available for Baloise in Switzerland on the day of its first
publication. If nothing is indicated to the contrary, all figures are not audited. This presentation contains forward-looking
statements. Forward-looking statements involve inherent risks and uncertainties, and Baloise might not be able to
achieve the predictions, forecasts, projections and other outcomes Baloise describes or implies in this presentation. A
number of important factors could cause results to differ materially from the plans, objectives, expectations, estimates
and intensions Baloise expresses in this presentation. However, neither Baloise nor any of its members of the board,
directors, officers, employees, advisors or any other person make any representation or warranty as to the accuracy or
completeness of the information contained in this presentation. Neither Baloise nor any of its members of the board,
directors, officers, employees, advisors or any other person accept any liability for direct or indirect losses which might
arise from making use of the information of this presentation. This presentation does not constitute an offer or a
recommendation to subscribe for or purchase any shares or other securities of Baloise and does not release the
recipient from exercising his/her own judgment, if necessary with the help of a professional advisor. Furthermore,
Baloise does not intend to update these forward-looking statements except as may be required by applicable law. This
document may not be copied, reproduced, altered, offered, sold or otherwise distributed to any other person either in
part or in full without the prior written consent of Baloise.
Copyright © 2018 Bâloise Holding AG. All rights reserved.
2
Agenda
1. Annual Results 2017 – In a Nutshell
2. Cash Remittance, Payout and Capitalisation
3. Non-Life
4. Life
5. Banking and Asset Management
6. Assets
7. Baloise Figures
8. Further Information
3
1. Annual Results 2017 – In a Nutshell
Annual Results 2017
• 2nd highest shareholders net income in the last decade,
higher cash remittance and higher proposed payout
• Healthy margins in Life, excellent profitability in Non-Life and
strong balance sheet
• Well on track to achieve strategic targets and many initiatives
launched to diversify further beyond traditional insurance
The trusted choice for
our customers: one
million additional
customers
A leading employer in
the sector
A reliable and attractive
investment: CHF 2 bn
cash remittance to the
Holding
2018
2020
2021
Net Investment Yield (insurance assets)
2.9% (+0.0 pts)
Banking & Asset Mgmt EBIT: CHF 82 mn
Shareholders
Net Income
Cash
Remittance
Capital
Group
Return
4.3% Dividend Yield
Shareholders
CHF 548 mn (+2.5%)
Adjusted*: CHF 602 mn (+12.5%)
CHF 5.60 (+8%) + ongoing share buy-back
Proposed
Dividend
CHF 6.4 bn
Equity
A Positive outlook
S&P
Well above
200%
SST
Growth
2.8%
Growth
-1.6%
Life CHF 415 mn (+43%)
18.2% Δ Market Value
22.5% Total Shareholder Return
14.6%
Investment-type
2017
Net Combined Ratio
92.3%
(+0.1 pts)
Non-Life EBIT: CHF 375 mn
Life EBIT: CHF 306 mn
Margins
33.4% New business
margin
113 bp Interest rate
margin
+ =
*) Adjusted for CHF 54 mn book losses from non-strategic sell-offs in Germany
2019
'Simply Safe' – Strategic Ambitions 2017 – 2021 Well on track to achieve our strategic targets
6
› Improvements across all business
units resulted in a jump from top
30th to top 25th percentile
› Multiple initiatives launched to
further increase employee
engagement
Ranking amongst
European financials1)
Ambition 2021 top 10%
2017: top 25%
Ambition: a leading employer in the
sector
2016: top 30%
Employees
› Number of customers increased
in all business units in 2017
› Various new customer initiatives
and products launched; benefits
expected to accelerate in the
mid-term
Additional customers
2017: + 118 k
Ambition 2021: + 1 mn
Ambition: 1 mn additional customers
Customers
› Significant increase in cash
remittance year-on-year (+43%),
particularly thanks to improved
contributions from life business
› Well on track to achieve the CHF
2 bn target
Cumulative
cash remittance
2017: CHF 415 mn
Ambition 2021:
CHF 2 bn
Ambition: CHF 2 bn to the Holding
See page 9 for details
Shareholders
1) based on Korn Ferry Hay database
'Simply Safe' - Going beyond traditional insurance
7
Voice of
Balois e
Dig ital
Leadership
Programme
Hackathon
The Balois e
S tory
S tory in
Action
The Reflex
Machine
Compens ation &
Benefits Barcamps
Open X Day
S hadow for
a day
Friends 4
Balois e
Culture
Insurdata
Trov
Anthemis
F10
Balois e
S couting
Team
Robo-
advis or
Monvis o
Drivolution
MOVU
FRI:DAY
Mobly
onmi:us
Acquire
Invest
Incubate
Machine
Learning
Chatbot Robotics
Test
youngGo
S ingle Item
Insurance
Omnichannel
On Demand
Insurance
Point of S ale
Cooperations
Third Party
Ass et
Management
Cyberinsurance
S ME Premium
Calculator
Real Estate Fund
White Label
Products
GoodDrive
Online &
Mobile
Mortg ages
360° S ervices for
Pens ion Funds
S afe Home
GoodStart
Optimisation & extension of the core
business
Collaborate
Möbel Pfis ter
TCS
CLER
Fasoon
Picsure
BLKB
› Many initiatives launched to optimise and extend our business portfolio
› Baloise awarded the Swiss Insurance Industry's innovation prize in 2017
› Our approach to going beyond traditional insurance relies on the five dimensions 'acquire',
'incubate', 'invest', 'test' and 'collaborate' and goes hand-in-hand with our cultural change
› Our new initiatives also contribute to optimise and extend our core business
2. Cash Remittance, Payout and Capitalisation
415 (290)
548 (535)
769 (707)
273 (260)
273 (260)
273 (260)
273 (260)
Cash Remittance to Holding and Payout
9
201250
65
138
2017
415
27
2016
290
24
Non-Life
Life
Banking
Cash remittance to Holding1)
(in CHF mn, cash remittance in % of net profit)
54% 76%
Free Reserves Attributable free
reserves
in Holding
Cash Remittance to Holding
Profit IFRS net profit
2017 (2016), in CHF mn
Baloise' Cash Radar
Proposed
Cash
Dividend
Ambition to improve
cash quality of IFRS
earnings and to remit
CHF 2 bn cash to the
Holding in 2017 - 2021
Very solid economic
capitalisation, see page 11
Increased retained earnings
Increased cash contributions
in particular from life business
1) dividends, internal debt payments and capital releases
Capital Solvency excess capital
Stronger result
Attractive and reliable payout:
proposed dividend increase
from CHF 5.20 to CHF 5.60
SST: ratio well above 200%
S&P: 'AAA'- capitalization
Learn more about
value management
and the cash radar
Payout
10
Proposed dividend CHF 5.60 (+ CHF 0.40)
Payout ratio (in % IFRS net profit) 50%
Payout ratio (in % Cash remittance) 66%
Dividend
Strong commitment to current dividend level and ambition to
enhance cashflow sources for Bâloise Holding going forward
Share buy-back
Shares to be repurchased up to 3 mn
Expected buy-back period 3 years
Completion rate (16.03.2018) 21%
New share buy-back programme started April 2017
Active management of capital and regular share buy-backs to
return surplus capital to shareholders
Proposed to be paid in 2018 Dividend
growth of 8%
Total Yield
238 250 250 260 273
59 55 63
2017
4.5%
2016
4.9%
2015
4.8%
2014
3.9%
2013
4.2%
Cash dividend
Share buy-back
Total yield (incl. share buy-back)
In CHF mn
-100
-50
-25
0
25
-50% -25% 0% +25% +50%
100
50
D Equity
DIn
tere
st R
ate
s (b
p)
Economic Capitalisation
11
SST ratio and sensitivities as of 1 January 2018 (preliminary values)
>200%
Standard & Poor’s acknowledged Baloise
very healthy 'AAA'-capitalization, strong risk
management, high operational profitability
and robust competitive position in its
profitable core markets
Swiss Solvency Test (SST)
Baloise business units in the EU will publish
their 2017 Solvency and Financial Condition
Report (SFCR) in May 2018
Solvency II
Standard & Poor's Rating
Financial
Condition Report
(SST public
disclosure) to be
published by 30
April 2018
SST still
characterised by
high model
volatility. The new
standard model
for Swiss Group
Life developed by
FINMA and the
Swiss insurance
industry will be
used starting from
1 January 2019
onwards
> 140%
› SST ratio as of 1 January 2018 well above 200%
› SST ratio above 140% even in economic stress events such as if interest rates
would drop by 100 bp and equity markets would simultaneously crash by 50%
› All SII-quotas without transitionals
and without volatility adjustment
'in the green' as of 31 December
2017
› Standard & Poor’s upgraded the
rating for Baloise to ‘A with a
positive outlook' in September
2017
> 140%
> 100%
> 80%
> 33%
≤ 33%
Capital - IFRS Total Equity
12
2017 Per share1)
Total equity at January 1 5,774 123.8
Other comprehensive income 317
Dividends -249
Profit for the period 532
Purchase / sale of treasury shares -10
Change in non-controlling interests 46
Total equity at December 31 6,409 133.2
= 11.0% D = 7.6% D
1) based on consolidated equity (excl. non-controlling interests) and on average shares outstanding
Change in equity Return on Equity
In CHF mn, incl. non-controlling interests
8.9%
11.0%
RoE
unadjusted
RoE
adjusted2)
2) adjusted for unrealised gains and losses
on available-for-sale securities
Capital - Unrealised Capital Gains
13
Gross and net unrealised capital gains
-17
1,598 Gross unrealised gains 2017
Policyholders and shadow accounting -757
Deferred taxes -157
Currency translation differences (incl. hedges) -702
Net unrealised gains 2017
308
371
-608 Participations and other
1,598
Fixed-interest securities
Shares
Alternative financial instruments
1,527
Gross unrealised gains 2017
157
196
20
1,626 Gross unrealised gains 2016
Shares
Alternative financial instruments
-401
Participations and other
Fixed-interest securities
1,598 Gross unrealised gains 2017
3. Non-Life
Non-Life – Business Volume and Business Mix
15
In CHF mn In % of gross premiums written
Business mix Gross premiums written
+2.8%
2017
3,141
3,229
2016
31.5% 31.8%
6.3% 5.8%
11.7% 11.6%
10.5% 10.6%
32.9%
2.4%2.4%
33.0%
3.7%
1.0%
2016
4.1%
0.8%
2017
Active reinsurance
Accident
Transport
Other
Health
Property
General liability
Motor
Non-Life – Earnings and Combined Ratio
16
In CHF mn 2016 2017
Premiums earned (net) 2,960 3,052
Premiums earned (gross) 3,110 3,214
Reinsurance premiums ceded -150 -163
Claims and benefit paid (net) -1,830 -1,851
Claims and benefits paid (gross) -1,860 -1,881
Reinsurers' share of claims incurred 96 68
Change in technical reserves -67 -38
Technical costs -928 -959
Acquisition costs -440 -468
Operating and administrative expenses -489 -491
Net investment result 243 289
Other -48 -156
EBIT 396 375
Profit & Loss Margin – Net combined ratio
In % 2016 2017
Net combined ratio 92.2 92.3
Loss ratio 60.8 60.7
Claims and benefit paid (net) / premiums earned (net) 61.8 60.7
Adjustment for non-life annuities1) -0.6 -0.5
Adjustment for impending losses2) -0.5 0.5
Expense ratio 31.4 31.6
Technical costs / premiums earned (net) 31.4 31.4
Expense adjustment 0.0 0.2
1) for interest effect from discounted non-life annuity reserves 2) relating to future reporting periods
See page 19 for
details
"Other" includes in 2016 and 2017 one-off effects from IAS 19 and in 2017
start-up financing costs of mobile insurer 'Friday'
Non-Life – Analysis of Change
Net combined ratio and underlying loss ratio
In % of net premiums earned
17
60.8%
92.2%
31.4%
Combined ratio 2016 Claims current
accident year
1.2%
Combined ratio 2017
31.6%
60.7%
Costs
0.2%
Prior year loss dev't.
0.0%
Large claims
-1.3%
59.8%
Large claims
Underlying loss ratio
Prior year loss dev’t.
-3.9%
2.9%
Reported loss ratio 60.8% 60.7%
60.9% Underlying loss ratio
Reported loss ratio
-2.6%
2.9%
Large claims
Prior year loss dev’t.
Loss ratio
Expense ratio
Loss ratio incl. surplus sharing
92.3%
Net combined ratio
Switzerland Germany Belgium Luxembourg Group
In % of net premiums earned
Loss ratio 56.6 72.1 57.3 61.5 60.7
Expense ratio 26.9 36.2 34.6 30.0 31.6
Combined ratio 2017 83.5 108.3 91.9 91.5 92.3
Change vs. FY 2016 (in pts)
∆ Loss ratio 1.6 -0.7 -1.6 -2.5 -0.1
∆ Expense ratio 0.7 -0.7 0.1 0.1 0.2
∆ Combined ratio 2.3 -1.4 -1.5 -2.4 0.1
Non-Life – Margins by Country
18
Loss ratio incl. surplus sharing
Accumulation of large claims
(in particular liability insurance)
and nat-cat events in Q4 2017
resulted in Germany in an
increase of the net combined
ratio to above 100%
In CHF mn
2017
Current
investment
income
2017
Impairments
2017 Gains and losses through
income statement 2017
Net
investment
result
2016
Net
investment
result
On
underlying
On
derivatives Net
Fixed-income securities1) 100 - 28 - 28 128 163
Equities 41 -5 58 -26 32 69 30
Investment property 40 - 33 - 33 73 49
Other2) 33 -2 13 - 13 43 41
Total before FX and
investment expenses 213 -7 132 -26 107 313 282
FX: gains / losses
and hedging costs 11 -8 3 -17
Investment expenses -27 -23
Net investment result 289 243
Average investments 9,386 9,163
Net investment yield 3.1% 2.6%
Non-Life – Investment Result
19
Investment income and yield
1) incl. senior secured loans 2) incl. mortgages and loans
4. Life
Life – Business Volume and Business Mix
21
In CHF bn, gross, excl. unit-linked and investment type In CHF mn Gross premiums written
2017
Gross premiums written
6,032
Investment-type premiums
5,770
3,571
2,520
3,512
2016
2,199
Swiss
Group
Life
Individual
Life
2016
31%
2017
29%
69% 71%
59% 56% 53%
41% 44% 47%
2016
No / time-limited guarantee
Guarantee
2017 2015
7.4
8.6
3.9
18.7
38.6
26.1
Mandatory
Non-mandatory
Annuitized and other
Switzerland
Germany
Belgium &
Luxembourg
5.3
6.1
26.1
7.3
18.7
Ambition
2021:
share of
products
with
guarantee
< 45%
Technical reserves Business volume
Policyholder reserves
2017
Switzer-
land Group
Life
Individual
Life
-1.6%
14.6%
Individual Life Improving business mix
Swiss Group Life
Life – Volume and Value of New Business
22
Margin
in % APE
2016 2017
CH D B Lux1) Group CH D B Lux1) Group
Margin (in % APE) 23.7% 25.1% 32.4% 11.5% 21.3% 26.9% 43.8% 85.4% 12.7% 33.4%
Volume (APE) 115 39 58 110 322 130 46 62 139 377
Value (MCVNB) 27 10 19 13 69 35 20 53 18 126
1) excl. Baloise Life Liechtenstein
# total companies
Ambition 2021:
share of products with
guarantee < 15%
Volume
APE, in CHF mn
Business mix
Individual Life, in % APE
+12.1 pts
2017
33.4
2016
21.3
27% 25% 21%
70% 68% 70%
9%
Guarantee
No / time-limited
guarantee
Risk / biometry
2017 2016
7%
2015
3%
749
466
177
0
2017 2016 2015 2014
Swiss
Group Life
Individual
Life
2017
377
26%
74%
2016
322
26%
74%
New business
Semi-autonomous solution
«Perspectiva»
Improved
margin due to
disciplined
pricing and
improved
business mix
For further
details see
MCEV Report
2017
Life – Earnings and Value
23
IFRS, in CHF mn In CHF mn
2016 2017
CH Intern.1) Group CH Intern.1) Group
VIF 1,945 446 2,391 2,102 702 2,804
SNA 1,225 793 2,019 1,211 882 2,093
MCEV 3,170 1,239 4,409 3,313 1,584 4,897
1) Germany, Belgium, Luxembourg and Liechtenstein as well as consolidation effects
Market Consistent Embedded Value
For further details see
MCEV Report 2017
-313-81
296199
341
340
-127-85
-25
2016
226
-13
+35%
2017
306
+11%
Shareholders’ net assets
Value of in-force
2017
4,897
2,093
2,804
2016
4,409
2,019
2,391
EBIT Life – Profit by sources
Interest rate effects
Policyholder participation
Cost result
Risk result
Savings result
EBIT increase mainly due to lower
reserve strengthening compared to
previous year
In CHF mn 2016 2017
Reserve strengthening -317 -83
DAC, PVFP -15 0
Interest rates derivatives 19 1
Interest rate effects -313 -81
Risk result included positive one-off
in 2016 and includes negative one-
off in 2017 from claim reserves
Increase of MCEV
driven by operational
improvements and
positive impacts from
economic environment
Life – Average Guarantees and Interest Rate Margin
24
Reserve strengthening -10 bp
Non-mandatory group life CH -4 bp
FX translation effects 3 bp
Business mix -4 bp
Total -15 bp
1) Current investment income (IFRS) in % of statutory reserves, excl. realised capital gains / losses and FX
hedging cost, incl. investment costs
2) Average guarantee (statutory basis), as at 1.1. next year
CH
Ind.
Life
CH
Group
Life
CH
D
B
Lux
Group
Technical reserves3)
As at 31.12. current year, in CHF bn
2016 8.1 16.6 24.7 5.9 5.3 0.5 36.4
2017 7.9 16.9 24.8 6.4 6.1 0.5 37.8
Average guarantees
As at 1.1. next year
2015 1.9% 1.3% 1.5% 2.8% 2.9% 2.7% 1.9%
2016 1.7% 1.0% 1.2% 2.4% 2.6% 2.6% 1.6%
2017 1.4% 0.9% 1.1% 2.1% 2.6% 2.5% 1.5%
Current yield and guarantees
Resilient
interest rate
margin due to
active
guarantee
management
Technical reserves and average guarantees
Additional reserving in
line with German
interest rate reserve
("Zinszusatzreserve")
Active
management
of guarantees
Reserve strengthening and lower guarantees
(mandatory minimum rate at 1.0% and non-
mandatory rate at 0.25% in Swiss Group Life)
Statutory basis
3) excl. unit-linked
1.65%
+ 113 bp
1.50% -15 bp
+ 117 bp
2.63%
1.90%
2015 2017
2.83% 2.98%
2016
+108 bp
Current yield1)
Average guarantee2)
Life – Investment Result
25
1) incl. senior secured loans 2) incl. mortgages and loans
In CHF mn
2017
Current
investment
income
2017
Impairments
2017 Gains and losses through
income statement 2017
Net
investment
result
2016
Net
investment
result
On
underlying
On
derivatives Net
Fixed-income securities1) 591 - 210 -19 191 782 872
Equities 80 -10 122 -43 79 150 69
Investment property 222 - 78 - 78 300 256
Other2) 194 -11 113 - 113 295 307
Total before FX and
investment expenses 1,087 -21 523 -62 461 1,527 1,504
FX: gains / losses
and hedging costs 102 -203 -101 -83
Investment expenses -94 -84
Net investment result 1,333 1,336
Average investments 47,074 45,706
Net investment yield 2.8% 2.9%
Investment income and yield
5. Banking and Asset Management
Banking and Asset Management – Earnings
27
IFRS Earnings Baloise Bank SoBa
Local GAAP, in CHF mn 2016 2017
Profit for the period 23 23
Dividend 20 22
RoE (based on required capital) 7.4% 7.5%
Mortgage portfolio 6,158 6,213
High and reliable
contribution
Lower due to a
positive one-off effect
in 2016 (amendment
of Baloise Bank
SoBa pension plan)
Banking
operation
provides very
high
reinvestment
rate and
access to up
to CHF 2.0 bn
of potential
new insurance
business
39
28
54
53
Banking
Asset Management
2017
82
2016
92
EBIT, in CHF mn
Mortgage
portfolio of
excellent
quality
820 884 930 938 969
Client assets
Loan assets
2017 2016
2,823
1,885
2015
2,721
1,791
2014
2,613
1,729
2013
2,476
1,656 2,000
2,969
Development of loan & client assets from insurance sales forces
6. Assets
Current and New & Re-Investment Yield (Insurance Assets)
29
Current yield New & re-investment yield
3.7%
Investment
property
Mortgage
loans, policy
loans and
other loans
2.8%
Fixed
income1)
2.0%
2.3%
Equity Group
2.1%
Investment
property
Mortgage
loans, policy
loans and
other loans
Fixed
income1)
2.1%
3.0%
1.2%
2.0%
3.3%
Equity Group
70.5% 13.4% 15.5% 0.6% 100%
1) incl. senior secured loans
Non-Life: 2.3% Life: 2.3%
2017, before FX hedging costs
Split of new and re-invested assets
2017, before FX hedging costs
1) incl. senior secured loans
Investment Performance (Insurance)
30
2017, excl. the German run-off portfolio sold in 2017
2.3%
Net capital
gains and losses1)
Investment
performance 2.7%
Net
investment yield
-0.2%
2.9%
Unrealised gains
and losses
0.8%
Investment
management costs -0.2%
Current
investment yield
Non-Life: 3.1%
Life: 2.8%
1) incl. FX gains / losses and hedging costs
Split of Assets and Insurance Asset Allocation
31
Split of total assets Insurance asset allocation
11%
11%
8%
8%
12%
13%58%
57% 7%
6%2017
3%
2%
2016 2%
2%
Other short-term investments
Alternative financial investments
Shares & funds
Investment property
Mortgage loans
Policy & other loans
Fixed-interest securities1)
1) 2017: incl. direct investments in senior secured loans
Net new assets in 2017: CHF 406 mn
(Ambition 2017-2021: CHF +5 bn)
In CHF mn 2016 2017
Insurance assets 55,173 57,747
Non-life 9,167 9'606
Life 46,006 48,141
Banking assets 8,121 7,398
Investment-linked life
insurance 12,337 15,027
Other and elimination -401 -466
Assets on Balance Sheet 75,229 79,706
Third party assets 7,985 8,959
Insurance Assets: Fixed-Interest Securities (1/3)
57.5%2017 57,747
in CHF mn
32
Not rated
0%
<BBB
0%
BBB
10%
A
18%
AA 35%
AAA 36%
Sub-
ordinated
0%
Senior 25%
Covered
14%
Sovereign & public debt
61%
Currency exposure By quality and ordination1)
71%
54%
56%
20%
39%
36%8%
7%
10%
Other USD EUR CHF
Total 0%
Life
Non-life 0%
0%
FX-risk mainly hedged
2017
Fixed-interest securities 33,215
Senior secured loans 1,394
Total investments 34,609
1) excl. senior secured loans
Insurance Assets: Fixed-Interest Securities (2/3)
33
61% 20% 19%
Sovereign & public debt Financials Corporates1)
2017
14% Belgium
9% France
6%
Netherlands 9%
Supranational
0%
USA
Germany
32%
Switzerland 10%
11% Central Eastern
Europe
RoW 2%
7%
Other core EU 7%
A
6%
AA
36% AAA
50%
Not rated
0%
< BBB
0%
BBB
Senior
29%
Covered
Sub-
ordinated
2% 69%
0.3%
Senior
99.7%
Sub-
ordinated
Issuers
By country By rating By ordination By ordination
1) excl. senior secured loans
57.5%2017 57,747
Duration by classification 2016 2017
Years in % Years in %
Duration bonds available-for-sale (AFS) 8.6 60.9% 8.5 61.2%
Duration bonds held-to-maturity (HTM) 10.4 24.3% 10.0 25.5%
Duration promissory notes 8.9 14.8% 9.4 13.3%
Duration portfolio 9.1 100% 9.0 100%
Duration by line of business 2016 2017
Years in % Years in %
Duration life bonds (incl. promissory notes) 9.6 85.8% 9.5 84.9%
Duration non-life bonds (incl. promissory notes) 5.8 14.2% 6.0 15.1%
Duration portfolio 9.1 100% 9.0 100%
Duration: Fixed-Interest Securities (3/3)
34
Duration of bonds and promissory notes1)
57.5%2017 57,747
1) excl. senior secured loans
Insurance Assets: Policy Loans, Mortgages, Investment Property
35
2017
Total investments 6,469
Belux
9%
Germany
7%
Switzerland
83%
Other 0%
Commercial
30%
Residential
70%
11.2% 7.6% 12.9%2017 57,747
Policy & other loans Investment property In CHF mn
By country By type
2017
Total investments 7,455
In CHF mn
2017
Total investments 4,369
Mortgages
In CHF mn
Insurance Assets: Shares & Funds
36
Regional exposure
2017
Total investments 3,620
in CHF mn
Shares & funds
IFRS equity exposure
Equities 4.6%
Other equity classified assets1) 1.7%
Shares & funds 6.3%
Private equity 1.2%
Hedge funds (equity related) 0.2%
Equity derivatives -0.7%
IFRS equity exposure 7.0%
6.3%2017 57,747
Funds
CH
EU
Other
28%
39%
1%
33%
9%
40%
Equity funds
Other funds 52% Real estate
funds
1) e.g. bond & property funds treated as equity under IFRS
Insurance Assets: Alternative Financial Investments
37
2017
Total investments 389
Misc. / Cash
14% Managed futures
4%
Global macro 18%
Event driven
21%
Relative value 24%
Equity hedged
19%
1.9% 57,747 2017
Hedge funds Private equity in CHF mn
By style
2017
Total investments 724
in CHF mn
12%
Venture
capital
69%
Buyout
19%
Misc.
18%
USA
RoW
47%
36%
EU
By type By region
7. Baloise Figures
Business Volume Matrix FY 2017
39
Non-life 1,324.6 41.0% 783.0 24.2% 999.0 30.9% 122.3 3.8% 0.4 0.0% 3,229.3 100.0%
30.5% 57.2% 62.9% 6.2% 100.0% 34.9%
Life 2,904.3 82.7% 379.2 10.8% 148.8 4.2% 79.6 2.3% - - 3,512.0 100.0%
66.9% 27.7% 9.4% 4.1% - 37.9%
Investment-type 111.6 4.4% 207.1 8.2% 439.3 17.4% 1,761.6 69.9% - - 2,519.5 100.0%
premiums 2.6% 15.1% 27.7% 89.7% - 27.2%
Total life 3,015.9 50.0% 586.3 9.7% 588.1 9.8% 1,841.2 30.5% - - 6,031.5 100.0%
69.5% 42.8% 37.1% 93.8% - 65.1%
Total 4,340.6 46.9% 1,369.3 14.8% 1,587.1 17.1% 1,963.5 21.2% 0.4 0.0% 9,260.8 100.0%
100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
Rest Totalin CHF mn Switzerland Germany Belgium Luxembourg
Growth Matrix FY 2017
40
Non-life 0.7% 3.6% 5.5% 5.0% -92.0% 2.8%
(1.6%) (3.4%) (3.0%) (-92.2%) (1.6%)
Life 0.9% -18.7% 3.7% -2.7% - -1.6%(-20.3%) (1.7%) (-4.6%) - (-2.0%)
Investment-type -0.4% -0.9% -6.7% 25.2% - 14.6%
premiums (-2.9%) (-8.5%) (23.3%) - (12.8%)
Total life 0.8% -13.2% -4.3% 23.6% - 4.5%
(-14.9%) (-6.1%) (21.8%) - (3.6%)
Total 0.8% -4.3% 1.6% 22.3% -92.0% 3.9%
(-6.2%) (-0.3%) (20.4%) (-92.2%) (2.9%)
Totalin % in CHF
(in % in LC)Switzerland Germany Belgium Luxembourg Rest
Negative growth in
Germany Life due to
sale of closed book
portfolio in 2017
Continuously strong
growth of the investment-
type premiums in
Luxembourg
EBIT Matrix FY 2017
41
Non-life 289.3 -34.5 117.1 10.8 -0.4 -7.5 374.7
(-4.1) (-34.3) (-18.7) (13.7) (n.a.) (-19.4) (-5.5)
Life 317.6 11.0 23.7 15.8 -18.9 -43.2 306.0
(43.3) (-19.7) (-14.4) (16.2) (190.8) (-1.8) (35.3)
Banking & AM 24.2 -1.8 - - 21.0 38.4 81.8
(-32.2) (0.0) (n.a.) (n.a.) (14.1) (-3.5) (-11.2)
Other -12.6 -50.7 - 0.8 -28.3 12.3 -78.5
(1.6) (149.8) (n.a.) (300.0) (137.8) (-8.9) (153.2)
Total 618.4 -76.0 140.8 27.5 -26.6 - 684.1(13.1) (24.8) (-18.0) (18.0) (n.a.) (n.a.) (0.1)
Total in CHF mn
(change in %) Switzerland Germany Belgium Luxembourg Rest Eliminated
EBIT Germany affected
by book losses from non-
strategic sell-offs in
Germany
8. Further Information
Reporting Agenda and Contact Details
43
Investor Relations: +41 58 285 81 81
www.baloise.com/investors
Media Relations: +41 58 285 84 67
www.baloise.com/media
Reporting agenda Contact details
Annual General Meeting 27 April 2018
Half-year results 2018 28 August 2018
Q3 2018 interim statement 14 November 2018
Full-year results 2019 28 March 2019
Press Release FY 2017
Annual Report FY 2017
Further Disclosure
44
Strategy Map and Investor
Day 2016 Presentation
From Cash to Value
MCEV Report FY 2017
Travel Guide
Annual Report Press Release MCEV Report
Travel Guide Simply Safe Strategy
C-Level Insights FY 2017
C-Level Insights
Value Management
