Information on the balance sheet

1. Securities financing transactions (assets and liabilities)

in 1,000 CHF

Current year

Previous year

Book value of receivables from cash collateral delivered in connection with securities borrowing and reverse repurchase transactions*

231,673

338,261

Book value of obligations from cash collateral received in connection with securities lending and repurchase transactions*

2,200,730

2,599,331

Book value of securities lent in connection with securities lending or delivered as collateral in connection with securities borrowing as well as securities in own portfolio transferred in connection with repurchase agreements

2,106,069

2,591,018

with unrestricted right to resell or pledge

1,848,151

2,580,400

Fair value of securities received and serving as collateral in connection with securities lending or securities borrowed in connection with securities borrowing as well as securities received in connection with reverse repurchase agreements with an unrestricted right to resell or repledge

368,151

477,838

of which, repledged securities

200,453

74,158

of which, resold securities

133,799

138,207

* before netting agreements

2. Collateral for loans/receivables and off-balance-sheet transactions, as well as impaired loans/receivables

in 1,000 CHF

Secured by mortgage

Other collateral

Unsecured

Total

Loans (before netting with value adjustments)

 

 

 

 

Amounts due from customers

2,281,290

960,565

4,761,697

8,003,552

Mortgage loans

172,621,503

117,459

172,738,962

Residential property

158,974,661

52,415

159,027,076

Office and business premises

3,570,300

6,376

3,576,676

Commercial and industrial premises

5,207,294

9,026

5,216,320

Other

4,869,249

49,642

4,918,891

Total loans (before netting with value adjustments)

 

 

 

 

Current year

174,902,793

960,565

4,879,156

180,742,514

Previous year

167,798,667

1,198,623

4,668,565

173,665,855

Total loans (after netting with value adjustments)

 

 

 

 

Current year

174,902,793

960,565

4,674,320

180,537,678

Previous year

167,798,667

1,198,623

4,447,714

173,445,004

Off-balance-sheet

 

 

 

 

Contingent liabilities

45,025

108,923

314,538

468,486

Irrevocable commitments

6,300,180

247,204

2,242,933

8,790,318

Obligations to pay up shares and make further contributions

113,897

113,897

Total off-balance-sheet

 

 

 

 

Current year

6,345,205

356,127

2,671,369

9,372,701

Previous year

5,726,362

356,264

2,444,163

8,526,789

in 1,000 CHF

Gross debt amount

Estimated liquidation value of collateral

Net debt amount

Individual value adjustments

Impaired loans

 

 

 

 

Current year

805,208

592,506

212,702

207,575

Previous year

905,101

672,219

232,882

223,590

The difference between the net amount borrowed and the provisions is attributable to the fact that prudent estimates have been made of the amounts Raiffeisen expects to receive based on the creditworthiness of individual borrowers.

3. Trading portfolios and other financial instruments at fair value (assets and liabilities)

3.1 Assets

in 1,000 CHF

Current year

Previous year

Trading portfolio assets

 

 

Debt securities, money market securities/transactions

3,151,818

2,222,124

stock exchange listed 1

3,151,653

1,099,219

traded on a representative market

165

1,122,905

Equity securities

259,603

248,290

Precious metals

444,184

416,479

Other trading portfolio assets

23,478

24,908

Other financial instruments at fair value

 

 

Debt securities

Structured products

Other

Total assets

3,879,083

2,911,801

of which, determined using a valuation model

of which, securities eligible for repo transactions in accordance with liquidity requirements

871,020

342,686

1 stock exchange listed = traded on a recognised stock exchange

3.2 Liabilities

in 1,000 CHF

Current year

Previous year

Trading portfolio assets

 

 

Debt securities, money market securities/transactions 2

131,457

137,331

of which, listed 1

131,457

137,331

Equity securities 2

1,209

863

Precious metals 2

Other trading portfolio liabilities 2

1,133

13

 

 

 

Other financial instruments at fair value

 

 

Structured products

2,580,306

1,633,944

Other

Total liabilities

2,714,105

1,772,151

of which, determined using a valuation model

2,580,306

1,633,944

1 stock exchange listed = traded on a recognised stock exchange

2 for short positions (booked using the trade date accounting principle)

4. Derivative financial instruments (assets and liabilities)

4.1 Derivative financial instruments by contract type

 

Trading instruments

Hedging instruments

in 1,000 CHF

Positive replacement values

Negative replacement values

Contract volume

Positive replacement values

Negative replacement values

Contract volume

Interest rate instruments

 

 

 

 

 

 

Forward contracts incl. FRAs

215

171

4,400,000

Swaps

322,665

350,866

40,122,999

574,444

647,857

34,951,200

Futures

1,464,385

Options (OTC)

1,459

2,610

85,537

Options (exchange traded)

Total interest rate instruments

324,339

353,647

46,072,921

574,444

647,857

34,951,200

Foreign exchange

 

 

 

 

 

 

Forward contracts

402,980

389,113

53,500,511

130,815

18,848

4,187,874

Comb. interest rate/currency swaps

263

8

10,545

Futures

Options (OTC)

11,589

8,252

1,186,275

Options (exchange traded)

Total foreign exchange

414,832

397,373

54,697,331

130,815

18,848

4,187,874

Precious metals

 

 

 

 

 

 

Forward contracts

12,406

24,641

1,432,744

Swaps

Futures

33,266

Options (OTC)

26,510

19,158

2,495,518

Options (exchange traded)

Total precious metals

38,916

43,799

3,961,528

Equity securities/indices

 

 

 

 

 

 

Forward contracts

Swaps

16,011

48,206

1,983,038

Futures

248,795

Options (OTC)

123,976

125,216

3,757,996

188

92,581

Options (exchange traded)

558

170

12,525

Total equity securities/indices

140,545

173,592

6,002,354

188

92,581

Credit derivatives

 

 

 

 

 

 

Credit default swaps

24,592

26,626

840,495

Total return swaps

First-to-default swaps

Other credit derivatives

Total credit derivatives

24,592

26,626

840,495

Other

 

 

 

 

 

 

Forward contracts

Swaps

181

1,311

45,876

Futures

 

Options (OTC)

28,188

28,405

421,891

Options (exchange traded)

Total other

28,369

29,716

467,767

Total

 

 

 

 

 

 

Current year

971,593

1,024,753

112,042,396

705,259

666,893

39,231,655

of which determined using a valuation model

971,034

1,024,584

705,122

665,480

Previous year

985,794

1,000,005

94,533,188

757,371

1,017,465

43,868,454

of which determined using a valuation model

974,042

994,239

757,371

1,014,105

4.2 Derivative financial instruments by counterparty and time remaining to maturity

in 1,000 CHF

Positive replacement values

Negative replacement values

Contract volume up to 1 year

Contract volume 1 to 5 years

Contract volume over 5 years

Contract volume total

Banks and securities dealers

1,445,765

1,545,439

77,416,750

28,696,417

13,275,690

119,388,857

Other customers

115,926

100,252

3,690,428

1,154,491

488,954

5,333,873

Stock exchanges

558

170

1,758,971

1,758,971

Central clearing houses

114,603

45,785

7,522,500

8,620,300

8,649,550

24,792,350

Total

 

 

 

 

 

 

Current year

1,676,852

1,691,646

90,388,649

38,471,208

22,414,194

151,274,051

Previous year

1,743,165

2,017,470

73,854,834

41,294,548

23,252,260

138,401,642

No netting contracts are used to report the replacement values.

Quality of counterparties

Banks/securities dealers: Derivative transactions were conducted with counterparties with a very good credit rating. 81.4% of the positive replacement values are open with counterparties with an upper-medium grade or better rating (Moody's) or with a comparable rating.

Clients: In transactions with clients, the required margins were secured by assets or free credit lines.

5. Financial investments

5.1 Breakdown of financial investments

in 1,000 CHF

Book value current year

Book value previous year

Fair value current year

Fair value previous year

Financial investments

 

 

 

 

Debt securities

7,409,737

7,598,777

7,629,048

7,861,851

of which, intended to be held until maturity

7,300,873

7,499,852

7,519,279

7,762,228

of which, not intended to be held to maturity (available for sale)

108,864

98,925

109,769

99,623

Equity securities

144,596

318,970

148,956

332,087

of which qualified participations 1

58,771

50,508

58,771

50,508

Precious metals

484

446

484

446

Real estate

38,571

33,772

41,895

36,460

Total financial investments

7,593,388

7,951,965

7,820,383

8,230,844

of which securities for repo transactions in line with liquidity requirements

7,048,156

7,163,693

1 At least 10% of the capital or the votes

5.2 Breakdown of counterparties by rating

in 1,000 CHF

Book value Very safe investment

Book value Safe investment

Book value Average to good investment

Book value Speculative to highly speculative investment

Book value Highest-risk investment/default

Book value Unrated investment

Debt securities

7,059,444

168,940

49,179

132,174

Ratings are assigned based on Moody’s rating classes. The Raiffeisen Group uses the ratings of all three major international rating institutions.  

6. Non-consolidated participations

in 1,000 CHF

Acquisition cost

Accumulated value adjust- ments and changes in book values (equity method)

Book value previous year end

Changes to the consolidated Group

Current year reclassifi- cations

Current year additions

Current year disposals

Current year value adjustments

Current year changes in book value in the case of participations valued using the equity method

Book value as at end of current year

Market value

Participations valued using the equity method

250,751

210,585

461,336

55,023

516,359

 

– with market value

92,655

19,061

111,716

9,681

121,397

291,265

– without market value

158,096

191,524

349,620

45,342

394,962

Other non-consolidated participations

339,160

-12,862

326,298

6,431

-192,898

-6,088

15

133,758

 

– with market value

127,763

-45

127,718

-127,574

144

323

– without market value

211,397

-12,817

198,580

6,431

-65,324

-6,088

15

133,614

Total non-consolidated participations

589,911

197,723

787,634

6,431

-192,898

-6,088

55,038

650,117

291,588

7. Companies in which the bank holds a permanent direct or indirect significant participation

Company name/holding in 1,000 CHF

Registered office

Business activity

Capital

Current year equity interest in % 1

Current year voting share in % 1

Previous year equity interest in % 1

Previous year voting share in % 1

7.1 Group companies

 

 

 

 

 

Raiffeisen Switzerland Cooperative 2

St.Gallen

Central bank, association services

1,700,000

100.0

100.0

100.0

100.0

Raiffeisen Unternehmerzentrum AG

Gossau SG

Advisory services for SMEs

5,000

100.0

100.0

100.0

100.0

Raiffeisen Immo Ltd

St.Gallen

Brokering and advisory services

5,000

100.0

100.0

Business Broker AG 3

Zurich

Management consulting

100

100.0

100.0

100.0

100.0

RAInetworks (Subsidiary of Raiffeisen Switzerland) Pte. Ltd

Singapore

Trading in goods and services for the Raiffeisen Group

7

100.0

100.0

100.0

100.0

Notenstein Private Bank Ltd

St.Gallen

Private bank

22,200

100.0

100.0

100.0

100.0

Notenstein Finance (Guernsey) Limited 4

Guernsey

Financial services

5,000

100.0

100.0

100.0

100.0

Notenstein Financial Services GmbH 4

Munich

Investment advisory services and financial asset brokerage

100.0

100.0

KMU Capital Ltd 6

Herisau

Financial services

2,566

100.0

100.0

100.0

100.0

Investnet AG 6

Herisau

Financial services

150

100.0

100.0

100.0

100.0

Investnet Holding Ltd 7

Herisau

Affiliated company

10,000

60.0

60.0

60.0

60.0

ARIZON Sourcing Ltd 8

St. Gallen

Operational and advisory services for banks

10,000

51.0

51.0

51.0

51.0

Raiffeisen Switzerland B.V. Amsterdam

Amsterdam NL

Financial services

1,000

100.0

100.0

100.0

100.0

7.2 Participations valued using the equity method

 

 

 

 

 

Vorsorge Partner AG

St. Gallen

Pension advisory services

100

40.0

40.0

40.0

40.0

Leonteq Ltd 9

Zurich

Financial services

15,945

29.0

29.0

29.0

29.0

Aduno Holding Ltd

Zurich

Financial services

25,000

25.5

25.5

25.5

25.5

Pfandbriefbank schweizerischer Hypothekarinstitute AG 2

Zurich

Pfandbriefbank

900,000

21.7

21.7

21.7

21.7

of which not paid up

 

 

504,000

 

 

 

 

7.3 Other non-consolidated participations 11

 

 

 

 

 

responsAbility Participations AG

Zurich

Financial services

138,877

14.4

14.4

14.4

14.4

of which not paid up

 

 

38,571

 

 

 

 

Swiss Bankers Prepaid Services Ltd

Grosshöch- stetten

Financial services

10,000

16.5

16.5

16.5

16.5

Cooperative Olma Messen St.Gallen

St. Gallen

Organisation of fairs

23,133

11.5

11.5

11.5

11.5

Avaloq Group AG

Freienbach

Affiliated company

100

10.0

10.0

Twint Ltd

Zurich

Financial services

10,200

5.0

5.0

5.0

5.0

SIX Group Ltd

Zurich

Financial services

19,522

6.9

6.9

6.9

6.9

Helvetia Holding Ltd

St. Gallen

Financial services

995

4.0

4.0

Coresystems Ltd 11

Windisch

IT services

347

22.5

22.5

19.0

19.0

adRom Digital Media Ltd 11

Vaduz

IT services

50

33.3

33.3

33.3

33.3

Fehr Group Ltd 11

Winterthur

Affiliated company

898

35.7

35.7

32.1

32.1

Quartal Financial Solutions Inc. 11

Nevada USA

IT services

6,501

47.6

47.6

47.6

47.6

1 The level of equity capital and voting shares is always stated from the perspective of the directly controlling company

2 The Raiffeisen banks directly own Raiffeisen Switzerland Cooperative and 18.7% of Pfandbriefbank schweizerischer Hypothekarinstitute AG.

3 Control of Raiffeisen Unternehmerzentrum AG

4 Control of Notenstein La Roche Private Bank Ltd.

5 Controlled by Notenstein La Roche Private Bank Ltd: The company was liquidated in 2017.

6 Controlled by Investnet Holding AG.

7 Starting on 1 July 2020, all minority shareholders will have a put option to sell their shares in the company to the majority shareholder Raiffeisen Switzerland based on a defined valuation method.

8 Raiffeisen Switzerland Cooperative and Avaloq have entered into various call and put options for shares in ARIZON Sourcing Ltd. These options are contingent on various future milestones and events. Depending on the event, Raiffeisen Switzerland Cooperative has the right to purchase all the shares in ARIZON Sourcing Ltd that are held by Avaloq. At the same time, Avaloq also has the right to sell its shares to Raiffeisen Switzerland Cooperative. On the other hand, upon the occurrence of certain events, Avaloq has the right to make an initial purchase of 2% and a later additional purchase of up to 29% of the shares held by Raiffeisen Switzerland Cooperative, leaving Raiffeisen Switzerland Cooperative with a stake of only 20% in ARIZON Sourcing Ltd. At the same time, Raiffeisen Switzerland Cooperative has the right to sell a total stake of 31% to Avaloq. These options will lapse with the planned sale of Arizon to Avaloq in early 2019.

9 Raiffeisen Switzerland Cooperative sold call option on Leonteq founding partner for 2.9% of the share capital in Leonteq AG. The strike price is CHF 210 per share (adjusted for dividend payments) and the term is 10 years (until October 2025).

10 All participations in cooperation partners and joint ventures by the banks are listed here. Other participations are listed if (a) the shareholding represents more than 10% of the voting share and equity and (b) the shareholding is worth > CHF 1 million of the equity or the book value is > CHF 10 million.

11 Held for sale by KMU Capital AG without any permanent investment intentions.

8. Tangible fixed assets

8.1 Tangible fixed assets

in 1,000 CHF

Acquisition cost

Accumulated depreciation

Book value previous year end

impact of any changes in the scope of consolidation

Current year reclassi- fications

Current year additions

Current year disposals

Current year depreci- ation

Book value as at end of current year

Bank buildings

2,325,393

-536,040

1,789,353

-31,037

128,120

-52,553

-43,983

1,789,900

Other real estate

483,067

-122,524

360,543

16,575

20,851

-11,065

-8,209

378,695

Proprietary or separately acquired software

332,448

-128,776

203,672

37

207,529

-8,846

402,392

thereof self-developed

164,799

164,799

198,941*

-1,048

362,692

Other tangible fixed assets

1,141,102

-895,265

245,837

14,436

52,483

-1,241

-79,934

231,581

Objects in finance leasing

148

-41

107

-11

-20

-24

52

Total tangible assets

4,282,158

-1,682,646

2,599,512

408,983

-64,879

-140,996

2,802,620

* Recognised in the income statement under “Other ordinary income”.

8.2 Operating leases

in 1,000 CHF

Current year

Previous year

Non-recognised lease commitments

 

 

Due within 12 months

2,579

2,533

Due within 1 to 5 years

3,416

3,626

Due after 5 years

Total non-recognised lease commitments

5,995

6,159

of which obligations that can be terminated within one year

5,927

6,078

9. Intangible assets

in 1,000 CHF

Cost value

Accumulated depreciation

Book value previous year end

Changes to the consolidated Group

Current year additions

Current year disposals

Current year amortisation

Book value as at end of current year

Goodwill

553,178

-151,890

401,288

935

-36,992

365,231

Other intangible assets

25,000

-6,855

18,145

-7,143

-4,349

6,653

Total intangible assets

578,178

-158,745

419,433

0

935

-7,143

-41,341

371,884

10. Other assets and other liabilities

in 1,000 CHF

Current year

Previous year

Other assets

 

 

Compensation account

9,162

180,565

Settlement accounts for indirect taxes

649,385

303,233

Other settlement accounts

57,030

54,585

Employer contribution reserves with pension plans

125,548

123,233

Miscellaneous other assets

11,011

11,090

Total other assets

852,136

672,706

Other liabilities

 

 

Due, unredeemed coupons and debt instruments

12,474

15,856

Levies, indirect taxes

55,093

60,877

Other settlement accounts

77,619

87,324

Miscellaneous other liabilities

14,840

6,047

Total other liabilities

160,026

170,104

11. Assets pledged or assigned to secure own commitments and of assets under reservation of ownership1

in 1,000 CHF

Current year book value

Current year effective commitments

Previous year book value

Previous year effective commitments

Amounts due from banks

391,805

376,039

528,792

524,567

Mortgage loans

29,535,283

21,660,076

28,229,613

20,671,997

Financial investments

1,525,745

477,515

1,354,638

233,705

Tangible fixed assets/other assets

35

Total pledged or assigned assets

31,452,833

22,513,630

30,113,078

21,430,269

Total assets under reservation of ownership 2

52

52

107

107

1 Without securities financing transactions (see separate presentation of the securities financing transactions in note 1)

2 These are primarily finance leasing objects that are recognised as assets

12. Social insurance institutions

Most employees of the Raiffeisen Group are covered by the Raiffeisen Pension Fund Cooperative. The normal retirement age is set at 65. Members have the option of taking early retirement from the age of 58 with a corresponding reduction in benefits. The Raiffeisen Pension Fund Cooperative covers at least the mandatory benefits under Swiss occupational pension law. The employees of Notenstein La Roche Private Bank Ltd are insured with Katharinen Pension Fund I and II, which are both defined-contribution plans. All employees are insured and thus vested starting at the minimum annual BVG salary defined by law. The employer has no additional obligations to provide further benefits. Katharinen Pension Fund II is a voluntary pension plan for employees of Notenstein La Roche Private Bank Ltd that enables the use of personalised investment strategies.

The Raiffeisen Employer Foundation manages the individual employer contribution reserves of the Raiffeisen banks and the companies of the Raiffeisen Group. Eight Raiffeisen banks (prior year: eight) and Investnet AG and Business Broker AG are insured outside the pension plans of the Raiffeisen Group (other collective foundations, collective insurance contracts, etc.).

12.1 Liabilities to own social insurance institutions

in 1,000 CHF

Current year

Previous year

Amounts due in respect of customer deposits

186,678

274,962

Negative replacement values of derivative financial instruments

4,345

3,527

Bonds

40,000

40,000

Accrued expenses and deferred income

543

543

Total liabilities to own social insurance institutions

231,566

319,032

12.2 Employer contribution reserves

Employer contribution reserves arise for the Raiffeisen Employer Foundation (Raiffeisen) and for pension plans outside the Raiffeisen Group (Others).

in 1,000 CHF

Current year Raiffeisen

Others

Total

Previous year Raiffeisen

Others

Total

As at 1 January

118,897

4,336

123,233

112,912

2,071

114,983

+ Deposits

19,756

100

19,856

18,648

4,867

23,515

– Withdrawals

-14,937

-2,837

-17,774

-12,974

-2,607

-15,581

+ Interest paid *

233

233

311

5

316

As at 31 December

123,949

1,599

125,548

118,897

4,336

123,233

* Interest paid on the employer contribution reserves is recorded as interest income.

The employer contribution reserves correspond to the nominal value as calculated by the pension plan. The individual employer contribution reserves of the affiliated companies cannot be offset against each other. The balance of the employer contribution reserves is recorded in the balance sheet under "Other assets". The employer contribution reserves are subject neither to waiver of use (conditional or unconditional) nor to other necessary value adjustments. Any discounting effect is not considered.

12.3 Economic benefit/obligation and retirement benefit expenditure

According to the latest audited annual reports (in accordance with Swiss GAAP FER 26) of the pension plans of the Raiffeisen Group, the coverage ratio is:

 

as at 31.12.2017 in %

as at 31.12.2016 in %

Raiffeisen Pension Fund Cooperative

116.1

110.8

Katharinen Pension Fund I (unaudited value)

117.6

111.2

Katharinen Pension Fund II (unaudited value)

125.6

119.7

The fluctuation reserve of the Raiffeisen Pension Fund Cooperative slightly exceeded the level set out in the regulations as at 31 December 2017. The Assembly of Delegates of Raiffeisen Pension Fund Cooperative decides how the resulting uncommitted funds will be used. The Board of Directors of Raiffeisen Switzerland assumes that, despite this surplus cover, no economic benefits will accrue to the employer until further notice; instead, the benefits are to be used to benefit pension plan members.

The fluctuation reserves of the Raiffeisen Group's remaining pension plans did not reach the level stipulated in the pension fund regulations in the current year. The affiliated employers have no economic benefits or economic obligations for which allowance would have to be made in the balance sheet and income statement.

Pension expenditure with significant influencing factors

in 1,000 CHF

Current year

Previous year

Pension expenditure according to separate financial statements

128,056

123,103

Deposits/withdrawals employer contribution reserves (excl. interest paid)

-4,394

-3,390

Employer contributions reported on an accruals basis

123,662

119,713

Change in economic benefit/obligation as a result of surplus/insufficient cover in the pension plan

Pension expenses of the Raiffeisen Group (see note 26 “Personnel expenses”)

123,662

119,713

13. Issued structured products

 

Book value

 

 

Valued as a whole

Valued separately

 

in 1,000 CHF

Booked in trading portfolio

Booked in other financial instruments at fair value

Value of the host instrument

Value of the derivative

Total

Underlying risk of the embedded derivative

 

 

 

 

 

Interest rate instruments

19,005

2,189

54

21,248

With own debenture component (oDC)

19,005

2,189

54

21,248

Without oDC

Equity securities

2,279,939

1,316,006

2,137

3,598,082

With own debenture component (oDC)

2,279,882

1,316,006

-12,165

3,583,723

Without oDC

57

14,302

14,359

Foreign currencies

16,055

1

-1

16,055

With own debenture component (oDC)

16,055

1

-1

16,055

Without oDC

Commodities/precious metals

60,199

97,689

15,724

173,612

With own debenture component (oDC)

60,199

97,689

15,724

173,612

Without oDC

Credit derivatives

205,107

204,794

-1,314

408,587

With own debenture component (oDC)

205,107

204,794

-1,314

408,587

Without oDC

Total

2,580,306

1,620,679

16,600

4,217,585

Structured products Raiffeisen Switzerland Cooperative

In the case of issued structured products that include a debt security, the derivative is split from the underlying contract and valued and presented separately. Underlying instruments are recognised at their nominal value in "Bond issues and central mortgage institution loans". The derivative components of the products are recognised at market value in "Positive replacement values of derivative financial instruments" and "Negative replacement values of derivative financial instruments".

Structured products of Raiffeisen Switzerland B.V. Amsterdam

Issued structured products are carried at market value and included in "Liabilities from other financial instruments at fair value".

14. Outstanding bond issues and central mortgage institution loans

in 1,000 CHF

Year of issue

Interest rate

 

Maturity

Early redemption possibility

Bond principal

 

Bonds of Raiffeisen Switzerland

 

 

 

 

 

 

 

Bonds of Raiffeisen Switzerland – non subordinated

2010

2.000

 

21.09.2023

 

250,000

 

 

2011

2.125

 

04.02.2019

 

249,580

 

 

2011

2.625

 

04.02.2026

 

150,000

 

 

2011

2.375

 

10.05.2018

 

150,000

 

 

2014

1.625

 

07.02.2022

 

100,000

 

 

2014

0.000

 

05.06.2018

 

215,000

1

 

2016

0.000

 

17.09.2020

 

50,000

 

 

2016

0.300

 

22.04.2025

 

375,000

 

 

2016

0.750

 

22.04.2031

 

79,815

 

Bonds of Raiffeisen Switzerland – subordinated without PONV clause 2

2011

3.875

 

21.12.2021

 

535,000

 

Bonds of Raiffeisen Switzerland – subordinated with PONV clause 2

2013

3.000

 

Perpetual

02.05.2018

543,945

3

 

2015

3.000

 

Perpetual

02.10.2020

589,925

3

Underlying instruments from issued structured products 4

 

0.619

5

2018

 

566,056

 

 

 

-0.215

5

2019

 

416,597

 

 

 

-0.316

5

2020

 

191,778

 

 

 

-0.111

5

2021

 

96,035

 

 

 

-0.506

5

2022

 

154,334

 

 

 

0.035

5

after 2022

 

195,878

 

Total bonds of Raiffeisen Switzerland

 

 

 

 

 

4,908,944

 

Loans from Pfandbriefbank schweizerischer Hypothekarinstitute AG

 

 

 

 

 

 

 

 

div.

1.247

5

div.

 

21,029,700

 

Total loans from Pfandbriefbank schweizerischer Hypothekarinstitute AG

 

 

 

 

 

21,029,700

 

Total outstanding bond issues and central mortgage institution loans

 

 

 

 

 

25,938,644

 

1 Variable coupon, basis CHF Libor 3 months and spread

2 PONV clause = point of non-viability

3 Subordinated perpetual Additional Tier 1 bond with contingent write-down. With FINMA’s consent, the bond can be terminated on a unilateral basis by Raiffeisen Switzerland (no earlier than five years following issue).

4 In the case of issued structured products that include a debt security, the derivative is split from the underlying contract and valued and presented separately. Underlying instruments are recognised at their nominal value in “Bond issues and central mortgage institution loans”. The derivative components of the products are recognised at market value in “Positive replacement values of derivative financial instruments” and “Negative replacement values of derivative financial instruments”.

5 Average weighted interest rate (volume-weighted)

15. Value adjustments and provisions

in 1,000 CHF

Previous year end

Use in conformity with designated purpose

Reclassifications

Past due interest, recoveries

New creations charged to income

Releases to income

Balance at current year end

Provisions

 

 

 

 

 

 

 

Provisions for deferred taxes

851,464

58,510

-2,576

907,398

Provisions for default risks

13,421

2,313

2,136

-3,804

14,066

Provisions for other business risks

18,528

-211

1,430

-163

19,584

Provisions for restructuring 1

11,506

-7,533

-3,473

500

Other provisions 2

8,557

-1,924

6,215

-5,763

7,085

Total provisions

903,476

-9,668

2,313

68,291

-15,779

948,633

Reserves for general banking risks

80,000

80,000

Value adjustments for default and country risks

 

 

 

 

 

 

 

Value adjustments for default risks in respect of impaired loans/receivables

223,590

-14,987

-2,313

6,330

54,127

-59,172

207,575

Value adjustments for latent risks

Total value adjustments for default and country risks

223,590

-14,987

-2,313

6,330

54,127

-59,172

207,575

1 Of which, CHF 0.7 million were recognised under personnel expenses.

2 Other provisions include provisions for legal expenses.

16. Cooperative capital

 

Number of members

Nominal amount per share

in 1,000 CHF

Cooperative capital at the beginning of the current year

 

 

 

Cooperative capital

1,876,687

 

398,970

Cooperative capital (additional cooperative shares) *

 

 

1,195,783

Total cooperative capital at the beginning of the current year

1,876,687

 

1,594,753

+ Payments from new cooperative members

69,968

200

13,993

 

200

300

60

 

137

400

55

 

2,931

500

1,466

+ Payments of cooperative shares (additional cooperative shares)

 

 

391,265

Total payments from new cooperative members

73,236

 

406,839

– Repayments to departing cooperative members

-57,451

200

-11,490

 

-204

300

-61

 

-106

400

-42

 

-2,036

500

-1,018

– Repayments of cooperative shares (additional cooperative shares)

 

 

-31,585

Total repayments to departing cooperative members

-59,797

 

-44,196

Total cooperative capital at the end of the current year

 

 

 

of which cooperative capital

1,804,511

200

360,902

 

6,033

300

1,810

 

5,700

400

2,280

 

73,882

500

36,941

of which cooperative capital (additional cooperative shares)

 

 

1,555,463

Total cooperative capital at the end of the current year

1,890,126

 

1,957,396

* To avoid double counting, the number of members is shown only under the position “Cooperative capital”.

Number of cooperative shares, number of shares: Current year 9,519,365, previous year 7,742,800  

Interest-bearing cooperative capital: Current year CHF 1,957,395,500, previous year CHF 1,594,753,300

Paid-up cooperative capital: Current year CHF 1,957,395,500, previous year CHF 1,594,753,300 

Non-distributable statutory or legal reserves based on individual financial statements as at 31 December 2017: CHF 3,816,513,000 (previous year CHF 3,633,647,000)

No cooperative member holds more than 5% of voting rights.

17. Related parties

 

Amounts due from

Amounts due to

in 1,000 CHF

Current year

Previous year

Current year

Previous year

Members of the Board of Directors of Raiffeisen Switzerland and associated persons and companies

20,051

19,274

4,949

3,655

Members of the Executive Board, of the Extended Executive Board and Head of internal Auditing of Raiffeisen Switzerland and associated persons and companies

41,068

42,986

9,807

8,579

Other related parties 1

4,687,348

4,643,716

21,673,490

20,444,021

Total amounts due from/to related parties

4,748,467

4,705,976

21,688,246

20,456,255

1 Includes particularly receivables from and liabilities to non-consolidated participations with a participating interest between 20% and 50%, or a participating interest of less than 20% if significant influence can be exercised otherwise.

Material off-balance-sheet transactions with related parties

Contingent liabilities exist vis-a-vis related parties amounting to CHF 28.5 million (previous year CHF 10.4 million), irrevocable commitments amounting to CHF 269.1 million (previous year CHF 252.9 million) and call-in obligations amounting to CHF 109.2 million (previous year CHF 109.2 million).

Transactions with related parties

On- and off-balance-sheet transactions with related parties are allowed at arm's length terms, with the following exceptions:

  • Standard preferential terms apply to the Executive Board, the Extended Executive Board and to the Head of Internal Auditing of Raiffeisen Switzerland.
  • Liabilities to other related parties include CHF current account balances in the amount of CHF 36.5 million for which the credit balance exceeding the allowance is subject to a negative interest rate of 0.4%. Furthermore, a credit balance in the amount of CHF 7.3 million is included, which bears 2.75% interest.

Special provisions apply to the processing and monitoring of loans to executive bodies to ensure that staff remain independent at all times.

18. Maturity structure of financial instruments

in 1,000 CHF

At sight

Cancellable

Due within 3 months

Due within 3 to 12 months

Due within 1 to 5 years

Due after 5 years

Total

Assets/financial instruments

 

 

 

 

 

 

 

Liquid assets

20,523,022

20,523,022

Amounts due from banks

329,580

28,770

7,903,339

70,000

8,331,689

Amounts due from securities financing transactions

231,672

231,672

Amounts due from customers

121,778

1,997,873

1,431,077

796,215

2,270,237

1,298,995

7,916,175

Mortgage loans

38,792

7,185,360

6,679,476

17,411,056

98,020,868

43,285,951

172,621,503

Trading portfolio assets

3,879,083

3,879,083

Positive replacement values of derivative financial instruments

1,676,852

1,676,852

Financial investments 1

85,896

213,194

287,040

2,869,389

4,137,869

7,593,388

Total

 

 

 

 

 

 

 

Current year

26,655,003

9,212,003

16,458,758

18,564,311

103,160,494

48,722,815

222,773,384

Previous year

25,679,382

10,393,775

16,820,529

18,505,032

95,003,768

47,461,143

213,863,629

Debt capital/financial instruments

 

 

 

 

 

 

 

Amounts due to banks

833,979

1,362

10,156,681

1,375,933

235,000

12,602,955

Liabilities from securities financing transactions

2,200,519

2,200,519

Amounts due in respect of customer deposits

55,939,147

94,251,070

3,092,077

2,968,214

6,315,329

1,518,988

164,084,825

Trading portfolio liabilities

133,799

133,799

Negative replacement values of derivative financial instruments

1,691,646

1,691,646

Liabilities from other financial instruments at fair value

2,580,306

2,580,306

Cash bonds

87,074

177,671

496,010

75,210

835,965

Bond issues and central mortgage institution loans

502,316

2,361,485

7,732,950

15,341,893

25,938,644

Total

 

 

 

 

 

 

 

Current year

61,178,877

94,252,432

16,038,667

6,883,303

14,779,289

16,936,091

210,068,659

Previous year

54,912,107

93,295,112

15,583,759

6,665,359

15,664,281

16,176,452

202,297,070

1 Financial assets include CHF 38,571,000 of real estate (previous year: CHF 33,772,498).

19. Balance sheet by currency

in 1,000 CHF

CHF

EUR

USD

Other

Total

Assets

 

 

 

 

 

Liquid assets

19,291,618

1,036,362

34,501

160,541

20,523,022

Amounts due from banks

3,481,515

1,077,226

2,333,030

1,439,918

8,331,689

Amounts due from securities financing transactions

180,301

51,371

231,672

Amounts due from customers

7,478,530

201,353

174,880

61,412

7,916,175

Mortgage loans

172,621,503

172,621,503

Trading portfolio assets

1,496,727

776,541

994,983

610,832

3,879,083

Positive replacement values of derivative financial instruments

1,676,852

1,676,852

Financial investments

6,720,518

471,634

335,648

65,588

7,593,388

Accrued income and prepaid expenses

248,298

17,475

10,354

1,678

277,805

Non-consolidated participations

650,109

8

650,117

Tangible fixed assets

2,802,620

2,802,620

Intangible assets

371,884

371,884

Other assets

852,064

13

15

44

852,136

Total assets reflected in the balance sheet

217,692,238

3,580,612

4,063,712

2,391,384

227,727,946

Delivery claims under spot exchange, forward exchange and currency option contracts

22,544,391

10,884,414

21,404,457

5,481,937

60,315,199

Total assets

240,236,629

14,465,026

25,468,169

7,873,321

288,043,145

Liabilities

 

 

 

 

 

Amounts due to banks

6,401,700

1,333,571

3,223,754

1,643,930

12,602,955

Liabilities from securities financing transactions

539,001

796,008

764,086

101,424

2,200,519

Amounts due in respect of customer deposits

159,392,026

2,779,233

1,416,026

497,540

164,084,825

Trading portfolio liabilities

133,799

133,799

Negative replacement values of derivative financial instruments

1,691,646

1,691,646

Liabilities from other financial instruments at fair value

618,775

798,648

962,939

199,944

2,580,306

Cash bonds

835,965

835,965

Bond issues and central mortgage institution loans

25,686,501

82,055

160,236

9,852

25,938,644

Accrued expenses and deferred income

846,440

1,192

2,766

176

850,574

Other liabilities

159,019

242

747

18

160,026

Provisions

948,633

948,633

Reserves for general banking risks

80,000

80,000

Cooperative capital

1,957,396

1,957,396

Retained earnings reserve

12,745,864

-16

92

12,745,940

Currency translation reserve

2

5

7

Group profit

916,922

1

145

917,068

Minority interests in equity

-357

-357

– of which minority interests in group profit

-6,317

-6,317

Total liabilities reflected in the balance sheet

212,953,330

5,790,936

6,530,554

2,453,126

227,727,946

Delivery entitlements from spot exchange, forward exchange and currency option contracts

27,257,337

8,595,027

18,907,930

5,397,718

60,158,012

Total liabilities

240,210,667

14,385,963

25,438,484

7,850,844

287,885,958

Net position per currency

25,962

79,063

29,685

22,477

157,187

 

31.12.2017

31.12.2016

Foreign currency conversion rates

 

 

EUR

1.171

1.073

USD

0.975

1.016