2014 EU-wide Stress Test Summary for FI - OP-Pohjola Group
Core Information
Bank Name: FI - OP-Pohjola Group
LEI Code: 549300NQ588N7RWKBP98
Summary: Adverse Scenario
Metric
As of 31 December 2013
As of 31 December 2016
Operating profit before impairments (3 yr cumulative)
887
-
Impairment losses on financial and non-financial assets in the banking book (3 yr cumulative)
2,256
-
Losses from the stress in the trading book (3 yr cumulative)
82
-
Valuation losses due to sovereign shock after tax and prudential filters
84
-
Common Equity Tier 1 capital
6,640
5,460
Total Risk Exposure
40,564
45,596
Common Equity Tier 1 ratio (%)
16.4%
12.0%
Memorandum Items
Common EU wide CET1 Threshold (5.5%): 2,508
Total amount of instruments with mandatory conversion into ordinary shares (2014–2016): 0
Additional Tier 1 and Tier 2 instruments eligible for CET1 or written down: 0
Eligible instruments whose trigger is above CET1 ratio in the adverse scenario: 0
Summary: Baseline Scenario
Metric
As of 31 December 2013
As of 31 December 2016
Operating profit before impairments (3 yr cumulative)
1,811
-
Impairment losses on financial and non-financial assets in the banking book (3 yr cumulative)
955
-
Losses from the stress in the trading book (3 yr cumulative)
49
-
Common Equity Tier 1 capital
6,640
7,311
Total Risk Exposure
40,564
41,430
Common Equity Tier 1 ratio (%)
16.4%
17.6%
Memorandum Items
Common EU wide CET1 Threshold (8.0%): 3,314
Detailed Risk Exposure Analysis
Exposure Values (as of 31 December 2013)
Category
F-IRB Non-defaulted
F-IRB Defaulted
A-IRB Non-defaulted
A-IRB Defaulted
STA Non-defaulted
STA Defaulted
Central banks and central governments
0
0
0
0
8,202
47
Institutions
5,888
1
0
0
77
1
Corporates
25,531
810
0
0
979
0
Corporates - Of Which: Specialised Lending
0
0
0
0
0
0
Corporates - Of Which: SME
10,157
450
0
0
979
0
Retail
0
0
45,990
301
1,048
13
Retail - Secured on real estate property
52.4%
0
40,427
206
0
0
Retail - Secured on real estate property - Of Which: Specialised Lending
25.1%
0
770
30
0
0
Retail - Secured on real estate property - Of Which: SME
52.9%
0
39,657
176
0
0
Retail - Qualifying Revolving
0
0
0
0
0
0
Retail - Other Retail
0
0
5,563
95
1,048
13
Retail - Other Retail - Of Which: SME
0
0
699
37
0
0
Retail - Other Retail - Of Which: non-SME
0
0
4,864
58
1,048
13
Equity
2,775
0
0
0
7,927
0
Securitisation
231
0
0
0
638
0
Other non-credit obligation assets
946
0
0
0
88
0
TOTAL
35,370
811
45,991
301
10,395
62
Risk Exposure Amounts (as of 31 December 2013)
Category
F-IRB Non-defaulted
F-IRB Defaulted
A-IRB Non-defaulted
A-IRB Defaulted
STA Non-defaulted
STA Defaulted
Central banks and central governments
0
0
0
0
97
0
Institutions
447
0
47
0
6
0
Corporates
24,685
753
1,373
0
949
0
Corporates - Of Which: Specialised Lending
0
0
0
0
0
0
Corporates - Of Which: SME
8,589
0
0
0
0
0
Retail
8,643
0
1,607
0
786
0
Retail - Secured on real estate property
2,535
176
107
26
0
0
Retail - Secured on real estate property - Of Which: Specialised Lending
0
0
0
0
0
0
Retail - Secured on real estate property - Of Which: SME
0
0
0
0
0
0
Retail - Secured on real estate property - Of Which: non-SME
0
0
0
0
0
0
Retail - Qualifying Revolving
0
0
0
0
0
0
Retail - Other Retail
1,303
64
305
92
0
0
Retail - Other Retail - Of Which: SME
0
0
0
0
0
0
Retail - Other Retail - Of Which: non-SME
0
0
0
0
0
0
Equity
7,927
0
0
0
0
0
Securitisation
638
0
0
0
0
0
Other non-credit obligation assets
945
0
0
0
134
0
TOTAL
29,774
0
2,428
0
1,972
0
Value Adjustments and Provisions (as of 31 December 2013)
Category
F-IRB Non-defaulted
F-IRB Defaulted
A-IRB Non-defaulted
A-IRB Defaulted
STA Non-defaulted
STA Defaulted
Central banks and central governments
0
0
0
0
11
0
Institutions
0
0
0
0
0
0
Corporates
0
0
0
0
0
0
Corporates - Of Which: Specialised Lending
0
0
0
0
0
0
Corporates - Of Which: SME
0
0
0
0
0
0
Retail
0
0
0
0
0
0
Retail - Secured on real estate property
0
0
0
0
0
0
Retail - Secured on real estate property - Of Which: Specialised Lending
0
0
0
0
0
0
Retail - Secured on real estate property - Of Which: SME
0
0
0
0
0
0
Retail - Secured on real estate property - Of Which: non-SME
0
0
0
0
0
0
Retail - Qualifying Revolving
0
0
0
0
0
0
Retail - Other Retail
0
0
0
0
0
0
Retail - Other Retail - Of Which: SME
0
0
0
0
0
0
Retail - Other Retail - Of Which: non-SME
0
0
0
0
0
0
Equity
0
0
0
0
0
0
Securitisation
0
0
0
0
0
0
Other non-credit obligation assets
0
0
0
0
0
0
TOTAL
0
0
0
0
0
0
Notes
Securitisation and re-securitisations positions deducted from capital: 0
Baseline Scenario: Impairment Rates and Coverage Ratios
Year
Impairment Rate (%)
Stock of Provisions
Coverage Ratio (%)
2014
0.02%
7
10.49%
2015
0.01%
12
16.09%
2016
0.01%
22
27.77%
Adverse Scenario: Impairment Rates and Coverage Ratios
Year
Impairment Rate (%)
Stock of Provisions
Coverage Ratio (%)
2014
0.03%
8
10.51%
2015
0.05%
17
14.01%
2016
0.03%
34
23.14%
Key Observations
Common Equity Tier 1 Capital: In the adverse scenario, CET1 capital decreased from 6,640 to 5,460 EUR million, while the ratio dropped from 16.4% to 12.0%.
Total Risk Exposure: Increased from 40,564 to 45,596 EUR million in the adverse scenario.
Impairment Losses: Significantly higher in the adverse scenario (2,256 EUR million) compared to the baseline (955 EUR million).
Trading Book Losses: Increased from 49 to 82 EUR million in the adverse scenario.
Sovereign Shock Impact: Resulted in valuation losses of 84 EUR million.
CET1 Thresholds: The adverse scenario CET1 threshold was set at 5.5%, while the baseline threshold was 8.0%.
Conversion Instruments: No instruments with mandatory conversion into ordinary shares or eligible for CET1 conversion were reported in the 2014–2016 period.
