The Lower Austrian Raiffeisen banks

34
Savings market
Since April 2000 RLB has been acting as depository for
eight investment funds administered by Raiffeisen KAG,
with a total volume of ATS 5.6 bn. These form part of an
umbrella fund set up as a vehicle for own investment by the
Lower Austrian Raiffeisen banks, and are used by them for
standard active and passive risk management operations.
The main development in the savings deposit business
in 2000 was the abolition of anonymous savings books.
The relevant amendment to the law entered into force on
1 November 2000, requiring RLB to ascertain the identity of
the holders of about 1.4 million savings books. Since this
time it has not been possible to open a savings book without
presenting an official identity document.
Due to the continuing trend towards investment in securities,
savings deposits were almost unchanged at about
ATS 117 bn. The Raiffeisen Investment Card put in a good
showing, with deposits rising by 69 percent to some
ATS 2.3 bn.
Home loan savings deposits rose by 5.6 percent to
ATS 17.6 bn despite the fact that the market was heavily
saturated.
Treasury & Investment Products
Insurance business in general, and whole life assurance
sales in particular boomed. There was increased demand
for the unit-linked life assurance products, offered in cooperation
with MLP and the Raiffeisen securities based
funds. Sales leapt by over 400 percent.
Since 1996 the surrender
Surrender value of whole life value of the whole life poli-
policies sold by the Group cies – the measure of the
ATS m, as of 31Dec.
amount of capital invested in
such products – has almost
1996
5,090
doubled, from ATS 5.1 bn to
19 97
5,343
ATS 9.6 bn (as of the end of
2000).
1998
6,438
RLB assumes responsibility for
1999
7,736 the insurance products sold
2000
9,573 via its wholly owned subsidiary
Raiffeisen-Versicherungs-
Maklerdienst GesmbH (RVD).
Raiffeisen-Versicherungsagentur GesmbH (RVB) was founded
on 1 January 2000 to handle the insurance business of the
Raiffeisen banks in Lower Austria and Vienna. The agency and
broking firm together employ a total of 31 people.
In financial 2000 money under management by RLB, i.e.
total security deposit accounts, primary and home loan
saving deposits, and whole life assurance policies (surrender
value) grew by 7.5 per-
Money under management
by the Group
cent or ATS 18.9 bn to some
ATS 270 bn. This amount
excludes the deposits and
ATS m, as of 31. Dec.
security deposit account bal-
1996
219,583 ances of the Lower Austrian
Raiffeisen banks and other
19 97
233,450
customers of RLB formally
1998
237,436 ascribable to its interbank
business.
1999
250,952
2000
Treasury & Investment Products
269,830
Soaring
insurance sales
35