Market and clients
Service concepts
Expanded interest in Sarasin and cash flow
contributed to growth in assets managed and
held in custody
At the end of 2006, the AEX index was 13% higher than
at the beginning of the year. Many other European stock
exchanges showed double-digit growth figures in 2006.
In the US, the S&P500 index rose by 14%, although the
increase expressed in euros was much smaller due to the
depreciation of the US dollar. The Nikkei index showed a
less pronounced increase of 7%. The rise in interest rates
in the year under review resulted in lower prices for most
bonds. Due to the stock exchange recovery, there was less
interest in structured products among Robeco clients and
the demand for this product type declined. There was fierce
competition between providers of online investment
services in 2006, which went hand in hand with even lower
rates for investment orders handling. Clients of Alex and
Rabo Direct Beleggen benefited from this. Similarly, clients
of the new Younique need not pay any transaction costs if
they invest in Robeco funds via the Internet.
Rabobank offers a very broad range of investment products
and services to Dutch private and institutional investors via
different channels. Alex and Rabo Direct Beleggen accom
modate active, independent investors. In addition, Alex
offers digital portfolio advice for private individuals with
assets from EUR 25,000. Rabobank Private Banking focuses
on private individuals with invested assets or income of
EUR 80,000 or higher. With Robeco's Younique concept,
Robeco Direct offers tailored asset advice and management
to private individuals with invested assets of EUR 25,000 or
higher. Schretlen Co accommodates high net-worth
private individuals with assets of EUR 500,000 or more and
medium-sized institutional investors. The large institutional
investors can turn to Robeco Asset Management.
Traditionally, Robeco enables both institutional and private
clients to invest in a broad range of investment funds.
Rabobank also serves a large number of foreign investors.
Robeco distributes funds through third parties in many
countries and also has a few subsidiaries in the United States.
In addition, Rabobank serves high net-worth individuals
and institutional clients via its majority interest in Sarasin.
This Swiss bank operates internationally from Basel.
The assets managed and held in custody by Rabobank
Group grew by 28% in 2006 to EUR 286 (224) billion, of
which EUR 72 (68) billion represents Rabobank's investment
portfolio and EUR 214 (156) billion assets managed and
held in custody for clients. Because Sarasin is consolidated
in the figures as from 31 December 2006, assets managed
and held in custody increased by EUR 41 billion. The conso
lidation of the Bouwfonds Asset Management activities also
added EUR 4 billion to assets. The inflow of new assets
made a positive contribution to asset development. In
2006, the gross cash flow amounted to EUR 6 billion, mainly
attributable to asset inflows at Harbor Capital Advisors -
an American subsidiary of Robeco - and at Robeco Asset
Management. The favourable investment climate in the
second half of 2006 yielded positive investment results,
causing assets to increase by EUR 12 billion. The fall by 10%
of the US dollar partly offset the effect of these positive
Changes in assets managed and held in custody for clients
in EUR billions
220
210
200
190
180
170
160
150
31-12-2005 Gross Exchange Investment Sarasin
cash flow results results
Rabo
Bouwfonds
Interest, 31-12-2006
dividends
and other
Asset management and investment 47
