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Rabo Securities
Rabo Securities'new investment products
for private investors
Group Treasury
'We are the coming bank'
Wholesale banking 37
Rabo Securities is Rabobank International's wholesale securities house.
Its operations include share issues, mergers and acquisitions, derivatives,
and share research, sales and trading. Rabo Securities has operations in
Amsterdam and London, and an office in New York was opened in 2003.
Rabo Securities operates on Euronext and the London Stock Exchange,
among others.
In the year under review, Rabo Securities acquired a strategic interest of
51% in Rembrandt Corporate Finance, which focuses on tailored advice
and support to directors/controlling shareholders during business
transfers and expansions.This acquisition has resulted in the creation of
the new combination Rembrandt Mergers Acquisitions, a specialised
consultancy agency with an extensive client network and a strong
position in the small and medium-sized businesses sector.
In addition to providing services and products to the wholesale market,
Rabo Securities is also active as a producer of share derivatives for private
investors. In 2003, three new investment products were launched. At a
volume of EUR 650 million, the issue of the Rabo Global Titans Bond was
highly successful.The issue of this share-related investment product was
one of the largest issues of derivatives products in the Netherlands.The
issue of the Rabo S&P 500 Guarantee Certificate meets the requirements
of private investors who share the vision that Standard and Poor's 500
Index will go up in the medium to long term but who also want
protection should the index fall.The issued Rabo Double Tracker Note is
designed for investors who believe that the AEX index will go up in the
medium to long term.
Group Treasury did not manage to take full advantage of the market
conditions in 2003, resulting in lower profits than in 2002. Income
especially was significantly lower than in the previous year although
this effect was partly offset by cost savings. In 2003, Group Treasury
strengthened Rabobank Group's reserves by the issue of USD 1.75
billion in Trust Preferred Securities. Also, it assisted various Group entities
in the implementation of a risk management system.
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us, highlighting the fact that we are a proactive and
solid alternative.This is an advantage for attracting
new companies, as we still have a long way to go.
Our share of the Dutch corporate market is currently
22%, and our aim over the medium to long term is to
increase that to a market share that is fitting for the
largest bank in the Netherlands: 30% to 32%. We
must achieve sustainable growth, by establishing
long-term relationships with clients. Short-term gain
is not our style.
1 Monika Milz, director of wholesale banking unit Rabobank Nederland Corporate Clients.
