Hedge Funds Finished 2015 with Marginally Positive Returns

  |   For  |  0 Comentarios

Los estilos value, táctico y macro en hedge funds: apuestas para comenzar un 2016 lleno de cambios
CC-BY-SA-2.0, FlickrPhoto: Glyn Lowe. Hedge Funds Finished 2015 with Marginally Positive Returns

The Lyxor Hedge Fund Index was down -0.7% in December. 3 out of 11 Lyxor Indices ended the month in positive territory. The Lyxor Merger Arbitrage Index (+1.5%), the Lyxor LS Equity Variable Bias Index (+1.1%), and the Lyxor CTA Short Term Index (+0%) were the best performers.

ECB and Fed related reversals in December. Disappointment following the ECB meeting and worsening concerns about credit and oil kept pressure on risky asset in early December. After the confirmed Fed’s rate hike, the bottoming in prices by mid-month paved the way for a year-end equity rally of small magnitude. It unfolded in low trading volumes and with scarce fundamental data. These intra-month reversals were overall detrimental to the performance of trend-followers and macro funds. By contrast, it supported the L/S Variable and Merger Arbitrage funds.

In retrospective, 2015 remained macro driven, dominated both by monetary policies and the shifts in deflation scares, themselves function of the stance regarding the Chinese transition and oil prices.

Hedge funds finished 2015 with marginally positive returns. Overall, they produced strong alpha relative to traditional assets until Q4. They lost about half of their advance during the rally, heavily dragged by the Special Situations’ underperformance.

In December, L/S Equity proved resilient after the ECB meeting and got boosted by a small year-end equity rally. Once again L/S Equity Variable funds proved very resilient during stress episodes. They had not rebuilt their net exposures. In particular, European funds refrained from playing the expectations building up ahead of the ECB meeting.

While the long bias funds felt the heat early December, they remarkably outperformed markets (which dropped nearly -5% post ECB). They were cautiously exposed, with higher allocations in the more resilient US markets. The bulk of their losses came from their sectors overweights.

Market Neutral endured minor losses after the ECB disappointment, but did not participated in the year-end rally, rather hit by unsettling sector rotations.

Merger Arbitrage thrived on higher deals spreads and completing acquisitions. Merger Arbitrage funds outperformed in December. They benefited from tightening spreads down from elevated levels. They also locked in P&L out of several acquisitions coming to their final stage, including BG vs. Royal Dutch Shell, Pace vs. Arris, and Altera vs. Intel deals.

There were a limited number of idiosyncratic events in the Special Situations space. Their returns tended to mirror that of broad markets: a detracting post-ECB correction, followed by a small upward trend after the Fed’s first hike.

Credit strategies suffered from the sell-off in HY markets, though by a smaller magnitude. Credit funds continued to produce strong alpha relative to their operating markets. The redemptions and gating in few US credit funds continued to feed concern among credit investors. Meanwhile E&P fundamentals steadily continued to deteriorate, in tandem with plunging oil prices. Credit funds remained cautiously positioned. They also benefitted from their allocations on European credit markets, which displayed better stability. The environment was calmer after mid-month.

The bulk of the December underperformance of CTAs LT models was endured in the aftermath of the ECB meeting. They suffered on their Euro crosses and in UK rates, as well as in their equity holdings (rebuilt back in October). Losses were partially offset by their short commodity exposures. Returns were mixed over the rest of the month, with offsetting gains and losses across markets.

Global Macro funds also suffered from the reversals unfolding over the month. As markets adjusted their positioning after the ECB meeting, Global Macro funds lost on their long USD crosses and US bonds, as well as on their equity exposures. Returns were flat over the rest of the month with, like for CTAs, offsetting gains across markets.

 “The trading backdrop will probably remain similar to last year, with frequent rotations, hovering liquidity risk, erratic flows amid rich valuations, and markets overshooting fundamental changes. Within the hedge funds space, this is leading us to favor relative-value, tactical and macro styles.” says Jean-Baptiste Berthon, senior cross asset strategist at Lyxor AM.

Niall Quinn: New Global Head of Institutional Business at Pictet AM

  |   For  |  0 Comentarios

Pictet AM nombra a Niall Quinn nuevo director de gestión institucional
CC-BY-SA-2.0, FlickrPhoto: Astiken, FLickr, Creative Commons. Niall Quinn: New Global Head of Institutional Business at Pictet AM

Leading asset manager Pictet Asset Management is pleased to announce the appointment of Niall Quinn as the Global Head of Institutional Business (excluding Japan), based in London, at the end of February 2016. He replaces Christoph Lanter, who retires after 17 years with Pictet Asset Management.

Niall has over twenty years’ experience in the industry, most recently as Managing Director of Eaton Vance Management International, responsible for all their operations outside North America. His focus was institutional business development.

Niall is an Irish national with a BA in Economics and Philosophy from Trinity College, Dublin.

Laurent Ramsey, Managing Partner of the Pictet Group and Chief Executive of Pictet Asset Management, said, “Niall is a great hire for us and we are delighted that he is joining the team. His appointment marks a step up in our institutional business effort globally.”

The Pictet Group

Founded in 1805 in Geneva, the Pictet Group is one of the premier independent asset and wealth management specialists in Europe, with EUR 381 billion in assets under management and custody at 30th September 2015. The Pictet Group is owned and managed by seven partners with principles of ownership and succession that have remained unchanged since foundation. Based in Geneva, the Pictet Group employs more than 3,800 staff. The Group has offices in the following financial centres: Amsterdam, Barcelona, Basel, Brussels, Dubai, Frankfurt, Hong Kong, Lausanne, London, Luxembourg, Madrid, Milan, Munich, Montreal, Nassau, Paris, Rome, Singapore, Turin, Taipei, Tel Aviv, Osaka, Tokyo, Verona and Zurich.

Pictet Asset Management includes all the operating subsidiaries and divisions of the Pictet Group that carry out institutional asset management and fund management. Pictet Asset Management Limited is authorised and regulated by the Financial Conduct Authority. At 30th September 2015, Pictet Asset Management managed EUR 134 billion in assets, invested in equity and bond markets worldwide. Pictet AM has seventeen business development centres worldwide, extending from London, Brussels, Geneva, Frankfurt, Amsterdam, Luxembourg, Madrid, Milan, Paris and Zurich via Dubai, Hong Kong, Taipei, Osaka, Tokyo and Singapore to Montreal.

 

Private Equity Investors in General do Not Have the Skills, Experience and Processes Needed for Proper Co-investing

  |   For  |  0 Comentarios

Los inversores en capital riesgo “carecen de las competencias y la experiencia necesarias para tener éxito en la coinversión”
CC-BY-SA-2.0, FlickrPhoto: Francebleu. Private Equity Investors in General do Not Have the Skills, Experience and Processes Needed for Proper Co-investing

According to Coller Capital’s Global Private Equity Barometer, 84% of LPs believe that private equity investors in general do not have the skills, experience and processes needed to do co-investing well. This is not only because meeting GP deadlines is hard (though 71% of investors acknowledge this) or because they are unable to recruit staff with the necessary skills (acknowledged by half of LPs) – but also, 55% of investors say, because Limited Partners have an insufficient understanding of the factors that drive the performance of co-investments.

Investors also expect a divergence in the returns that different types of Limited Partner will earn from the asset class. They believe small investors are increasingly being disadvantaged by the volume of money being committed by their large peers to individual funds (because small LPs have limited access to, and less negotiating-power with, the best GPs, for example). They also think that investors with a higher degree of operational freedom (to embrace direct investing, or open overseas offices, or set their own compensation levels, say) will achieve higher returns from private equity than more constrained investors.

The proportion of LPs with special (or managed) accounts attached to private equity funds has risen dramatically in the last three years or so – from 13% of LPs in Summer 2012 to 35% of LPs today. 43% of investors believe that this growth in special accounts is a negative development for the industry, on the grounds that it creates potential conflicts of interest.

“A huge amount gets written about the shifting dynamics of the private equity industry,” said Jeremy Coller, CIO of Coller Capital, “but the vast majority of it looks at it from a General Partner’s point of view. This edition of the Barometer provides valuable food-for-thought on the evolution of the industry for the trustees and CIOs of pension plans and other investors.”

Direct private equity investing has been a growing focus for many investors. The Barometer suggests this trend will continue: just over a third of investors plan to recruit investment professionals with skills and experience in directs over the next 2-3 years.

Investors also remain committed to expanding their emerging markets footprints. Over the next 3-4 years, the proportion of LPs with more than a tenth of their private equity exposure in emerging markets will rise from 27% to 44% (notwithstanding the 41% of investors who report that their private equity commitments in emerging markets have underperformed their expectations to date.) And on balance, Limited Partners remain positive about the prospects for China – with 37% of LPs saying China will be a more attractive destination for private equity investment in five years’ time, compared with only 17% who say it will probably be a less attractive destination.

With many investors having backed debut funds from newly-formed GPs since the financial crisis, the Barometer probed what LPs are looking for in these investments. Investors said several factors influenced them, but one factor in particular was cited by almost all LPs (94%), namely, that the new GP team in which they had invested contained individuals with an outstanding investment track record in other roles.

Investors’ medium-term return expectations remain strong, with 86% of Limited Partners forecasting net annual returns of 11%-plus from their private equity portfolios over the next 3-5 years. (They are almost unanimous that the biggest risk to this picture is today’s high asset prices.) Indeed, the majority believe it should be possible – at least for switched-on Limited Partners – to continue earning returns at this level even beyond a 3-5 year horizon, because they think new investment opportunities will open up even as established parts of the private equity market mature.

The Barometer also probed investor views on the implications of a ‘Brexit’ (an exit by the UK from the European Union) for the performance of European private equity as a whole. Very few investors (just 6%) think a Brexit would have positive implications for their European private equity returns, while one third of LPs believe it would reduce their returns.

The growing attraction of alternative assets shows no sign of diminishing, with 41% of Limited Partners planning to increase their target allocation to these asset classes over the next 12 months. Almost half of LPs (46%) plan to boost the share of their assets in infrastructure, with over one third (37%) planning an increase in their allocation to private equity.

The Winter 2015-16 edition of the Barometer also charts investors’ views and opinions on:

  •     The importance of corporate brand for GPs
  •     Expected returns from different regions and types of private equity
  •     The implications of potential changes in the transparency and tax treatment of PE fees
  •     LPs’ ongoing appetite for private debt funds
  •     LPs’ plans for, and expected benefits from, upgrading their back office technology

You can read the report in the following link.

How to Invest in a Changing China?

  |   For  |  0 Comentarios

¿Dónde están las oportunidades en una China en plenas turbulencias?
CC-BY-SA-2.0, FlickrPhoto: Charlie Awdry, China portfolio manager at Henderson. How to Invest in a Changing China?

Charlie Awdry, China portfolio manager at Henderson, looks back at 2015 and discusses where investment opportunities can be found in a country that is undergoing significant economic, political and social change.

What lessons have you learned from 2015?

First, the Chinese currency can depreciate but we find it odd to call August’s 2% move against the US dollar a devaluation, given other emerging market currencies have fallen as much as 35% during the year. Second, President Xi’s reform programme is reaching a critical stage and his vision of market forces includes both the invisible hand of the free market and the state’s visible and powerful hand working towards stability. Third, when markets move in an extreme fashion, correlations between stocks increase − this lack of discrimination is a reliable source of investment opportunities for our strategy.

Are you more or less positive than you were this time last year, and why?

We have been downbeat on the Chinese economy, but upbeat on the stocks we hold for quite a few years; that stance continues into 2016. Overall, economic activity continues to be squeezed by the competing needs of reform and deleveraging and challenged by a loss of competitiveness in the manufacturing sector. Rebalancing is taking place but declining commodity prices illustrate  how significant the ‘old part of the economy’ is. Unfortunately, the vibrancy of the ‘new consumer economy’ is probably underrepresented in official growth measures. The tough macroeconomic situation means we should expect more volatility in markets.

What are the key themes likely to shape your asset class going forward and how are you likely to position your portfolios as a result?

We will continue to see diverging valuations between consumer-driven businesses, such as technology, consumer services and healthcare. These sectors  will generally be generating profit growth, while sectors dominated by state-owned enterprises (SOEs), like energy, telecommunications and financials, will struggle to react to the tougher economic environment, and will most likely continue to be ‘inexpensive’.We do not own any banks and continue to strongly favour privately-managed consumer-driven businesses with strong profit margins and cash flows.

Shelter from the Storm

  |   For  |  0 Comentarios

¿Cómo hacer frente al reto de la diversificación?
CC-BY-SA-2.0, FlickrPhoto: Vins Stonem. Shelter from the Storm

In a late cycle environment, most commentary tends to focus on the challenge of finding return opportunities with reasonable risk and reward characteristics. However, finding reliable defensive assets is equally challenging. Until now, traditional balanced strategies have performed well, especially those with structurally long duration bond exposure. Despite more complex hedging strategies being expensive and at times unreliable, conventional developed market bonds have continued to be inversely correlated with equities, thus smoothing the bumps in the road and providing a return in excess of cash. But this period may be coming to an end. For long periods in the past, bonds have been positively correlated with equities and the risk is that such a relationship re-asserts itself and that conventional approaches to diversification, no longer flattered by high nominal and real interest rates, cease being effective.

While the consensus view is that interest rate increases in the US are going to be gradual, and that few other countries are in a position to follow the US in normalising interest rates, there is a real sense that the rate cycle is beginning to turn. Should growth turn out to be stronger than what is popularly characterised as ‘secular stagnation,’ it would arguably not take much in the way of growth surprises to impact bond yields. Even at the current moderate rate of growth in the US, the run rate of job creation is consistent with a sharp uptick in wage inflation which we believe could easily eventuate in the not too distant future. Furthermore, even if the consensus view proves correct, at current yield levels the benefit of developed market bond exposure in periods of market stress could prove to be very modest compared to previous periods. This was very much the case in August when equity markets sold off sharply and the offset from long bond positions was not material.

So how should one address the challenge of diversification? It is probably time to adopt a rather more tailored approach since one size no longer fits all. If owning US government bonds doesn’t offer the protection it used to, then shorting duration might offer some defence. Given the widely held view on the likely course of US interest rates, put options on interest rate futures appear to be surprisingly attractively valued. There are also government bond markets, such as those of Korea, Australia and Canada, where the likely path of interest rates means that they provide more protection than US Treasuries, particularly at the shorter end where correlations to US long-term interest rates tend to be much lower. Certain currencies also offer attractive defensive potential.

In our opinion, the yen appears to be well supported by Japan’s creditor nation status and improving cyclical fundamentals which should help it perform like a traditional ‘risk off’ currency in periods of market stress. Back in 2007, it was one of a very few defensive assets that provided strong diversification benefits. By contrast, other defensive assets had been pushed to unattractive valuations by loose credit conditions, which is not dissimilar to the impact of the zero rate policies of today. Interestingly, the dollar’s defensive characteristics may be eroding.

Equity options appear neither cheap nor expensive at present and volatility can be expected to rise on a cyclical basis, however pricing can periodically be more benign. Despite volatility strategies appearing attractive, they have tended to be fraught with disappointment in practice because of high transaction costs and volatility that peaks but then rapidly subsides. Effective use of defensive exposures to diversify portfolios has to reflect changing valuation and cyclical contexts in exactly the same way as one should approach growth assets.

Philip Saunders y Michael Spinks are co-heads of Multi-Asset at Investec.

Neuberger Berman Acquires Options Investment Team From Horizon Kinetics

  |   For  |  0 Comentarios

Neuberger Berman se hace con un equipo de inversión en opciones de Horizon Kinetics
CC-BY-SA-2.0, FlickrPhoto: Omar Burgos . Neuberger Berman Acquires Options Investment Team From Horizon Kinetics

Neuberger Berman on Monday announced that it has acquired from Horizon Kinetics an investment team that manages collateralized index-based options portfolios that seek to capture global volatility premiums. The team’s investment track records, proprietary research and client assets have also transferred to Neuberger Berman.

Neuberger Berman’s new options investment team is overseen by Doug Kramer, who joined the firm in November 2015 as Co-Head of Quantitative & Multi-Asset Class Investments (working alongside current Multi-Asset Class Chief Investment Officer Erik Knutzen). Derek Deven salso joins Neuberger Berman from Horizon Kinetics as a Managing Director and senior portfolio manager along with research analysts, Rory Ewing and Eric Zhou.  With the addition of this team, Neuberger Berman strengthens its lineup of systematic, outcome oriented investment capabilities.

Previously, Mr. Kramer was CEO of Horizon Kinetics, an investment management firm with approximately $8 billion in assets under management, and prior to that a Managing Principal of Quadrangle Group and a Partner of Goldman, Sachs & Co., where he served as Chief Investment Officer and Head of the Global Manager Strategies Group.

Joseph Amato, President and Chief Investment Officer, Equities, at Neuberger Berman, said “This highly differentiated global options strategy has a demonstrated, long-term track record of delivering attractive risk-adjusted returns. Doug’s leadership and investment expertise is valuable as we serve global investors seeking innovative, outcome-oriented solutions.”

Mr. Kramer said of coming to Neuberger Berman, “The breadth and rigor of Neuberger Berman’s investment capabilities is well-suited to serve a wide variety of client needs.  I am excited to be working with such a talented group of investment professionals as we help clients achieve their unique investment objectives.”

BBVA hires Derek White for Global Product and Design Post

  |   For  |  0 Comentarios

BBVA ficha a Derek White como responsable global de producto y diseño
. BBVA hires Derek White for Global Product and Design Post

BBVA has hired Derek White, former Chief Design & Digital Officer at Barclays Bank PLC, as Global Head of Customer Solutions. In this role White will drive the transformation of the customer value proposition, including global product and design, customer experience, launching new products and services and leveraging big data and customer analytics. 

Derek White will report to Carlos Torres Vila, president & COO of BBVA. White will start at BBVA on March 1st and will be based in Madrid. White joined Barclays in 2004 through the acquisition of Juniper Bank (now Barclaycard US), where he was an early member of the start-up internet bank. In his latest role at Barclays, Derek White led the U.K. bank’s digital banking initiative, embracing disruptive technologies and the startup ecosystem, while overseeing the design and launch of market leading applications, platforms and services. Prior to joining Barclays, Derek was at First USA Bank (now JPMorgan Chase) in the U.S.

“BBVA is a global institution that is transforming banking and creating the future of financial services,” said Derek White. “I can’t wait to join the team.”

Born in Utah in the U.S., Derek has a B.A. in Liberal Arts and Sciences from Utah State University and holds an MBA from Wharton School at the University of Pennsylvania. He and his wife have four children. 

When You Look at China, Are You Looking at Its Past or Its Future?

  |   For  |  0 Comentarios

Cinco factores que juegan a favor de los mercados de bonos asiáticos
CC-BY-SA-2.0, FlickrPhoto: Skyseeker. When You Look at China, Are You Looking at Its Past or Its Future?

Many investors are pessimistic about China’s economy, largely because they don’t realize how much China’s economy has changed. 

China’s old economy looks weak. Exports are down by about 3% through November, compared to an increase of 6% a year ago. Industrial production is up 6%, compared to 8% a year ago. Fixed asset investment has increased 10%, down from a 16% growth rate during the same period last year. But are those the parts of the economy you want to focus on, or invest in?

Not an Export-led Economy

Exports, for example, haven’t contributed to GDP growth for the past seven years. I estimate that only about 10% of the goods rolling out of Chinese factories are exported. China largely consumes what it produces.

Manufacturing is sluggish, especially heavy industries such as steel and cement, as China has passed its peak in the growth rate of construction of infrastructure and new homes. But manufacturing has not collapsed, with a private survey revealing that factory wages are up 5% to 6% this year, reflecting a fairly tight labor market, and more than 10 million new homes will be sold in 2015.

More importantly, few investors recognize that this is almost certain to be the third consecutive year in which the manufacturing and construction part of the economy will be smaller than the consumption and services part. China has rebalanced away from a dependence on exports, heavy industry and investment, and has become the world’s best consumption story.

Understanding this dramatic shift is key to assessing the impact of China on the global economy, and on your portfolio.

Ampliar

We are All China Investors

Even if you never own a Chinese equity, you are effectively a China investor. China accounts for about one-third of global growth—greater than the combined shares of the U.S., Europe and Japan.

This helps explain why U.S. exports to China have increased by more than 600% since it joined the WTO, while U.S. exports to the rest of the world rose by less than 100%.

 

Ampliar

Most GDP Growth from Consumption

The rebalancing is driven by Chinese consumers, with consumption accounting for 58% of GDP growth during the first three quarters of this year.

Shrugging off the mid-June fall in the stock market, real (inflation-adjusted) retail sales actually accelerated to 11% in October and November, the fastest pace since March.

Spending Driven by Strong Income Growth

Unprecedented income growth is the most important factor supporting consump¬tion. In the first three quarters of this year, real per capita disposable income rose more than 7%, while over the past decade, real urban income rose 137% and real rural income rose 139%. Some of that increase was driven by government policy: the minimum wage in Shanghai, for example, rose 187% over the past 10 years. (In the U.S., real per capita disposable personal income rose by about 8% over the last 10 years.)

And it is worth noting that one reason that the fall in the A-share market didn’t depress Chinese consumers is that although the market is down sharply from its recent peak, the story isn’t quite as bad as some make it out to be. As of the December 15, 2015 close, the Shanghai Composite Index was down 32% from its June 12 peak. But the index was up 9% from the start of the year, and it was up 20% from a year ago. Thus, the Shanghai Composite Index is outperforming the S&P 500 Index on a year-to-date basis (with the S&P 500 down 1% as of December 15) and on a one-year basis (with the S&P 500 up 6%).

Rebalancing needs time

We need to accept and understand, however, that the necessary restructuring and rebalancing of China’s economy, along with changes in demographics and the law of large numbers (two decades of 10% growth), does mean that almost every aspect of the economy will continue to grow at a gradually slower year-on-year pace for the foreseeable future. The strong consumer story can mitigate the impact of the slowdown in manufacturing and investment, but it can’t drive growth back to an 8% pace.

Ampliar

So while the growth rates of most parts of the economy are likely to continue to decelerate gradually, keep in mind that this year’s “slow” pace of 6.9% growth, on a base that is about 300% bigger than it was a decade ago (when GDP growth was 10%) means that the incremental expansion in China’s economy this year is about 60% bigger than it was back in the day.

Larger Opportunity

In other words, the lower growth rate is generating a larger opportunity for companies selling goods and services to Chinese, and for investors in those companies.

Andy Rothman is Investment Strategist at Matthews Asia.

 

Martin Currie Buys Japan Equity Boutique

  |   For  |  0 Comentarios

Martin Currie compra una boutique japonesa de renta variable
CC-BY-SA-2.0, FlickrPhoto: Skyseeker. Martin Currie Buys Japan Equity Boutique

Martin Currie has completed the acquisition of the business assets and investment management team of PK Investment Management, the London based long/short Japan Equity boutique.

Led by Paul Kirkby and including manager Claire Marwick, PK IM has overall AUM for the enlarged team are $425m (€395m).

Kirkby has also been appointed as lead manager of the Legg Mason Japan Absolute Alpha Fund the Luxembourg domiciled Ucits fund.

Andy Sowerby, head of Sales and Marketing at Martin Currie comments:- “This is an exciting milestone in the development of our Japanese long/short capability.

By capitalising on the combined strength of our collective resources we can further establish ourselves as a leading manager in this specialist area.

“Paul has over 30 years’ experience in managing Japanese equities and is backed by a proven team who together have combined experience of the Japanese market in excess of 97 years.”

Groupama and Orange Enter Exclusive Negotiations for the Creation of “Orange Bank”

  |   For  |  0 Comentarios

Groupama y Orange entran en negociaciones exclusivas para la creación de un banco
CC-BY-SA-2.0, FlickrPhoto: OTA Photos. Groupama and Orange Enter Exclusive Negotiations for the Creation of “Orange Bank”

Groupama and Orange announced that they are entering exclusive negotiations with a view to working in partnership to develop a new banking model that will enable Groupama to strengthen its online banking business and Orange to successfully diversify into banking services.

The launch of “Orange Bank” is planned for the start of 2017 in France, followed by other European markets such as Spain or Belgium. The services offered will cover all standard banking services as well as savings, loans and insurance services.

These negotiations could result in the acquisition by Orange of a 65% stake in Groupama Banque, enabling it to benefit from an existing operational infrastructure for the launch of Orange Bank.

From its creation, Groupama Banque has positioned itself as a multi-channel bank. Orange will bring its digital knowledge to develop a 100% mobile offer corresponding to new uses increasingly employed by the two partners’ customers. The partnership with Orange will accelerate the deployment of such innovative banking offers and will leverage the network of local Orange stores as well as the highstreet branches of Groupama and its subsidiary Gan.

During the presentation of the “Essentiels2020” strategic plan in March 2015, Stéphane Richard, Chairman and Chief Executive Officer of Orange, announced the Group’s ambition to diversify its operations by capitalizing on its assets and in particular by concentrating its efforts on mobile banking, which offers important growth prospects. The plan’s objective is to reach 400 million euros of revenues in financial services in 2018.