Wholesale Banking
Meeting clients' needs
Key points
- Resilient results in challenging business conditions
- Generator of high-quality assets and important source of market and risk expertise
- Landmark deals illustrate services and capabilities
- Using capital efficiently to stimulate growth
Wholesale Banking achieved resilient results in 2007 in what was a very challenging business environment and with financial markets experiencing significant turbulence. Profitable growth was achieved by concentrating on the needs of clients and on high value-added products, especially in the home markets. There was also a focus on reducing expenses, improving capital efficiency and stimulating growth. Wholesale Banking’s position as a full-service Benelux bank, a specialist products provider and a growing force in emerging markets helped it perform well in unusually difficult business conditions.
Profit and loss account* (underlying)
| in EUR million | 2007 | 2006 | change |
|---|---|---|---|
| Total income | 5,860 | 5,804 | 1.0% |
| Operating expenses | 3,576 | 3,400 | 5.2% |
| Additions to loan-loss provisions | –115 | –121 | |
| Underlying profit before tax | 2,399 | 2,525 | –5.0% |
| Total profit before tax** | 2,261 | 2,481 | –8.9% |
* These numbers include the result from ING Real Estate which reports to Wholesale Banking. ING Real Estate is discussed in detail in the chapter on asset management together with ING Investment Management.
** Total profit before tax is defined as profit before tax including divestments and special items.
Key figures (underlying)
| 2007 | 2006 | |
|---|---|---|
| After-tax RAROC | 20.3% | 20.6% |
| Economic capital (in EUR billion) | 7.8 | 8.1 |
UNDERLYING PROFIT BEFORE TAX
in percentages
BREAKDOWN UNDERLYING PROFIT BEFORE TAX
in EUR million
