Helvetia is publishing its Financial Condition Report (FCR) for the 2020 financial year today. As at 1 January 2021, the Group has a strong SST ratio of 193% (1 January 2020: 235%) and therefore clearly exceeds the regulatory requirements. The change over the previous year is primarily attributable to capital market developments such as the continued decline in risk-free interest rates and higher credit spreads as well as to the effect of the Caser acquisition. The latter was financed in a capital-saving manner with an equity capital increase and the issue of an eligible hybrid bond. The business results for 2020 and the newly issued green hybrid bond had a beneficial effect on capitalisation. Helvetia’s solvency thus remains extremely solid, even after the Caser acquisition and despite the pandemic's adverse impact on the capital markets.
Sustainable payout thanks to increased dividend capacity
The sustained balance sheet strength of Helvetia is also reflected in the Group’s stable net economic dividend capacity of CHF 0.8 billion as at 31 December 2020 (31 December 2019: CHF 0.7 billion). The dividend capacity of the acquired company Caser was the main contributor to this increase over the previous year. With its increased dividend capacity, Helvetia is well placed to ensure a sustainable payout to shareholders in line with the helvetia 20.25
The Financial Condition Report and the accompanying set of slides are available on the Helvetia website at www.helvetia.com/annual-results
. Additional information on net economic dividend capacity can be obtained from the analysts’ presentation on the full-year 2020 results under the same link.
This media release is also available on our website www.helvetia.com/media