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2006 was a successful year for the Division despite the reorganisation measures. Total revenues – reflected primarily in net fee and commission income – rose by 24% to € 171 m. All business areas contributed to this result. Operating profit for 2006 was 37,5% up on 2005, and profit before tax (adjusted for one-off effects) improved by 11%.
The Financial Statements for 2006 are presented and explained in the segment reporting section of the Management Report of the Bank Austria Creditanstalt Group.
The Asset Management unit made a significant contribution to these good results in 2006 through the very successful sale of guarantee products. With their risk/opportunity profile – 100% capital guarantee and an 80% peak value guarantee – these products were in strong demand, especially following the pronounced correction on financial markets in May/June 2006: this development had negative implications for individuals with a greater appetite for risk, while investors continued to be on the lookout for good returns in an environment characterised by low bond yields. The volume of PIA’s guarantee funds consequently rose to € 2.5 bn with the launching of its most recent products. PIA is Austria’s clear market leader in the guarantee fund segment.