Authorizations Granted to the Board . . . . . . . . . . . . . 24
Statement of Changes in Equity, IFRS . . . . . . . . . . . . . . . . . 41 Statement of Cash Flows, IFRS . . . . . . . . . . . . . . . . . . . . . . . . . . 42
Board has on 6 February 2020 approved a new dividend policy according to which total annual dividends paid will be at least 70 per cent of Group's net profit for the year (excluding extraordinary items). In addition share buy-backs can be used to complement the cash dividend.
Sampo plc - Board of Directors’ Report for 2019 Sampo Group
US-China trade spat escalated in a tit-for-tat increase on imposed tariffs. In addition, the risks posed by a hard Brexit decreased foreign investments into the UK.
Nordic region. Unemployment dropped to 3.7 per cent, which was the lowest out of the Nordics. Compared to the rest of the world, Norway’s economy weathered the global trade uncertainties well. Due to a strong economy,
Group since 2002 and been a member of the Sampo Group
General Meeting of 2 April 2020 a dividend of DKK 17 per share. If the AGM approves the proposal, Sampo’s share of the Topdanmark’s total dividend amounts to EUR 96 million.
Share of associates' profit/loss 13 321 647 - Valuation loss on dividend distribution of associate shares 13 -155 -
Other comprehensive income for the period -31 -124 -590 -744 -744
Financial Reporting Standards (IFRSs). In preparing the financial statements, Sampo has applied all the standards and interpretations relating to its business, adopted by the commission of the EU and effective at 31 December, 2019.
The consolidated financial statements are presented in euro, which is the functional and reporting currency of the Group and the parent company. Items included in the financial statements of each of the Group entities are measured using their functional currency, being the currency of the primary economic environment in which the entity operates. Foreign currency transactions are translated into the appropriate functional currency using the exchange rates prevailing at the dates of transactions or the average rate for a month. The balance sheet items denominated in foreign currencies are translated into the functional currency at the rate prevailing at the balance sheet date.
Financial assets held for trading Financial asset that is held for the purpose of selling or buying in the short term, or belongs to a portfolio that is managed together or is repeatedly used for short-term profit taking, is classified as an asset held for trading.
available-for-sale assets are sold, the cumulative change in the fair value is transferred from equity and recognised together with realised gains or losses in profit or loss. The cumulative change in the fair value is also transferred to profit or loss when the assets are impaired and the impairment loss is recognised. Exchange differences due to available-for-sale monetary balance sheet items are always recognised directly in profit or loss.
Goodwill represents the excess of the cost of an acquisition (made after 1 January 2004) over the fair value of the
During the financial year, Sampo had four valid sharebased incentive schemes settled in cash (the long-term incentive schemes 2014 I, 2014 II,2017 I and 2017 II for the management and key employees). Topdanmark had one mainly share-settled incentive scheme for the executive board and senior executives during the financial year.
Total items reclassifiable to profit or loss, net of tax 189 -2 87 83 16 373
Administrative expenses pertaining to other technical operations (operating expenses) -45 -34
Valuation loss on dividend distribution of associate shares *) -155 - -155 - - -
Total financial assests measured at fair value 26,253 7,043 2,528 35,824
Net liability recognised in balance sheet 72 27 99 24 28 51
*) The total effect of leasese on the statement of cashflows was EURm -25. Non-cash flow additions from IFRS 16 leases to the balance sheet items was EURm 27.
Motor third party liability and Workers’ compensation, legislation differs significantly between countries. Some of the technical provisions for these lines include annuities which are sensitive to changes in mortality assumptions and discount rates. The proportion of technical provisions related to Motor other, Motor third party liability and
The actuaries also develop methods and systems to support these processes.
Investment grade bonds and loans 3,582 32% 2.8 3,770 34% 2.7
Cash flows of which interest rate swaps 0 0 0 0 0 0 0 0 0 0 of which interest rate swaps 25 0 25 -26 -1 0 0 0 0 0
Topdanmark Forsikring has a very comprehensive reinsu rance programme in place contributing to the low level of underwriting risk. The largest retention level of DKK
In case interest rates are high, the same losses could, to a larger degree, be absorbed by the bonus potential.
• Normal fluctuations in ROI and risk results in the average interest rate environment are captured by bonus potentials per contribution group
When selecting the investment assets, a portfolio composition that matches the risk features of the corresponding liabilities is sought. The purpose of the investment policy is also to ensure that the company has implemented effectively the organization, systems and processes necessary to identify, measure, monitor, manage and report on investment risks to which it is exposed.
Credit bonds are composed of a well-diversified portfolio, primarily exposed to businesses in Europe, predominantly in the investment grade segment.
The total amount of Sampo Group’s investment assets as at 31 December 2019 was EUR 26,820 million (25,887) as presented in the following graph. Mandatum Life’s and
• Market value adjustment to the book values of assets and liabilities.
Note to the Income Taxes 14 14 Deferred tax assets and liabilities .................................... 175
Notes to the Liabilities and Commitments 15–16 16 Future rental commitments ............................................... 176
In accordance with the decision of the Annual General Meeting in 2019, the company has compensated the transfer tax related to the acquisition of the company shares, in total EUR 11,220.32 (EUR 1,116.82 pertaining to the Vice Chairman and EUR 10,130.50 pertaining to the other Finnish members of the Board).
Director are also responsible for such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor’s report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.
Remuneration report and the Group CEO’s review, but does not include the financial statements and our auditor’s report thereon. We have obtained the report of the Board of