REPORT OF THE EXECUTIVE
BOARD
With effect from January 1, 1992, FGH BANK
N.V. has acquired the status of a commercial bank.
This move should not be seen as an attempt by
FGH BANK to compete for business in the al
ready overcrowded commercial banking sector in
the Netherlands, but rather as a means of impro
ving the range and quality of services the bank
provides. For instance, FGH BANK’S newly acqui
red status as a commercial bank allows it to offer
clients direct payment facilities, checking accounts
and investment accounts (including special deposits
and money placed on call). These facilities are pro
vided in addition to FGH BANK’S traditional
portfolio of services. This enables the bank to pro
vide an optimum mix between credit and invest
ment services, as well as offering ancillary facilities
such as the provision of bank guarantees. FGH
BANK’s newly acquired status as a commercial
bank further underlines its reputation as the autho
ritative realty bank in the Netherlands.
Nineteen ninety-one was the last year in which the
company operated under the name Friesch-
Groningsche Hypotheekbank N.V.. On the advice
of the Executive Board, FGH BANK N.V. was
adopted as the company’s new name and the
statutes amended accordingly.
A further important change which took place in
1991 was the decision to transfer a portfolio of
existing loans held by private individuals and
valued at NLG 1,150 million on January 1, 1992
to a separate company, Nederlandse
Hypotheekbank. This was seen as a logical step as
the organization, structure, policy and services of
FGH BANK are primarily geared to serving the
needs of the commercial real estate sector.
Nederlandse Hypotheekbank, which is a wholly
owned subsidiary of FGH BANK, will continue to
trade under its own name and will seek to provide
further loans to the private sector.
I FGH BANK, THE REALTY BANK
FGH BANK N.V. is the only realty bank in the
Netherlands. It offers a complete portfolio of servi
ces not only to real estate professionals, such as
Dutch and foreign investors, property developers
and independent dealers, but also to non-profit
organizations, housing corporations and companies
with substantial real estate assets. While FGH
BANK is primarily concerned with providing tail
or-made financial facilities, increasing emphasis is
being placed on the development of advisory and
support services. These ancillary services are inten
ded to address key aspects such as legal and tax
matters, market and structural surveys, as well as
being directed to assisting with the maintenance
and insurance of commercial property. In addition,
FGH BANK is in the process of expanding its asset
management activities, with particular attention
being focused on the management of mortgage and
real estate portfolios held by third parties.
In keeping with FGH BANK’s desire to provide a
comprehensive portfolio of professional services,
every effort has been made to enhance the orga
nization’s speed of response, flexibility and clarity
in the present reporting period. The exercise to
bring FGH BANK’s organizational structure more
in line with its new business aims was completed
in 1991. The bank’s staff will continue to em
phasize the importance of personal contacts as the
basis for building up long-term, trusting relation
ships with clients.
In order to respond better to market demand, an
active product development policy was introduced
A YEAR OF IMPORTANT CHANGES AT
FGH BANK
Commercial bank status
New name
Nederlandse Hypotheekbank
A balanced portfolio of sendees
MARKETING