UBI Banca Group

UBI PRAMERICA SGR SPA
Figures in thousands of euro
31.12.2011 31.12.2010 Change % change
OWN "RETAIL CUSTOMERS" 6,782,454 7,724,350 -941,896 -12.2%
Of which: customer portfolio management 5,082,519 5,659,178 -576,659 -10.2%
FUND BASED INSTRUMENTS 1,699,935 2,065,172 -365,237 -17.7%
FUNDS 14,026,614 18,958,811 -4,932,197 -26.0%
of which: Pramerica funds included in fund based instruments 1,190,291 1,882,328 -692,037 -36.8%
Other duplications 110,961 125,379 -14,418 -11.5%
SICAV’s and other (net of duplications) 781,059 371,900 409,159 110.0%
TOTAL ASSETS UNDER MANAGEMENT 20,288,875 25,047,354 -4,758,479 -19.0%
Income statement
Net interest income 1,739 924 815 88.2%
Net commission income 68,356 70,142 (1,786) (2.5%)
Performance fees 11,728 14,982 (3,254) (21.7%)
Net income from trading, hedging and disposal/repurchase activity 2,073 2,048 25 1.2%
Other net operating income/(expense) 69 (43) 112 n.s.
Operating income 83,965 88,053 (4,088) (4.6%)
Personnel expense (14,406) (15,490) (1,084) (7.0%)
Other administrative expenses (14,383) (15,114) (731) (4.8%)
Net impairment losses on property, equipment and investment property and intangible assets (124) (120) 4 3.3%
Operating expenses (28,913) (30,724) (1,811) (5.9%)
Net operating income 55,052 57,329 (2,277) (4.0%)
Net provisions for risks and charges 20 292 (272) (93.2%)
Pre-tax profit from continuing operations 55,072 57,621 (2,549) (4.4%)
Taxation for the year (17,722) (19,146) (1,424) (7.4%)
Profit from discontinued operations 226 - 226 -
Profit for the year 37,576 38,475 (899) (2.3%)
Other information
Total work force (actual employees+personnel on leasing contracts) 142 142 -
As at 31 st December 2011, UBI Banca held 65% of the share capital of UBI Pramerica SGR and the
remaining 35% was held by Prudential International Investments Corporation.
Significant events occurred during the course of 2011.
The operation to contribute three Capitalgest Alternative hedge funds (Conservative, Dynamic
and Equity Hedge) to Tages Sgr Spa was concluded with effect from 1 st October 2011. The
operation, commenced in the previous April, involved the acquisition of a stake - recognised
within available-for-sale financial assets –, of 7.74% as at 31 st December 2011 in the share
capital of Tages Sgr which received the contribution and a gain of approximately €0.2 million
(net of tax).
Following the tax reform for Italian registered mutual funds (in February) and the reform on
financial income (in August), the Company had to make important changes to its IT,
organisational, administrative and sales procedures in order to make them compliant with the
new legislation.
The operation to dispose of the units it held in its proprietary mutual funds resulting from the
contribution of the Capitalgest Sgr Spa operations in January 2008 was completed in the first
half. That disposal generated liquidity of €18.5 million and a gross profit of €2.2 million.
With regard to the marketing of new products, the activity as the main distributor of the
subsidiary UBI Management Company S.A. was performed. In detail, the sales for the new UBI
Sicav sector entitled “UBI Sicav Coupon Certa 2012-2015” - for which UBI Pramerica is both
the manager and the distributor - was concluded in December 2011.
UBI Pramerica SGR Spa received important recognition in 2011:
in February the “Capitalgest Alternative Conservative” funds received the 2011 “Premio Mondo Hedge
Award” as the “best low and medium volatility funds in 2010”;
in March, with regard to the 2010 “High Return Prize”, the “UBI Pramerica Obbligazioni Dollari” fund
was nominated as the “Best American Bond Fund” as a result of its performance over three years, while
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