CEO's comments

CEO’s comments

In 2024, Aktia successfully fulfilled its purpose of creating wealth in a changing operating environment. 

In Finland, the housing market remained sluggish and the challenges of economic growth continued. Capital markets were also affected by geopolitical tensions and falling interest rates. We have worked closely with our customers to ensure that their investment portfolio allocations are right in all market conditions. During the last quarter of the year, large institutional investors made changes in their allocations before the turn of the year, which was also evident in our assets under management. 

Stable fourth quarter ends a strong year 

The comparable operating profit for the fourth quarter was 11% higher than last year and increased to EUR 28.3 million. It was a good conclusion to a strong financial year performance-wise with one of Aktia’s all-time highest comparable operating profits, EUR 124.5 million. Both the quarter’s and the entire financial year's comparable cost-to-income ratio and comparable return on equity (ROE) thus exceed the current long-term financial objectives. For the full year 2024, we report a strong cost-to-income ratio (0.56) and ROE (15.0%). As the level of our Common Equity Tier 1 capital ratio continues to exceed the target levels, we have reason to be satisfied. Thus, we start the year 2025 on a positive note with a proposed dividend of EUR 0.82 per share.

I am also happy that the quarter showed how long-term, systematic work bears fruit: the results of our employee surveys continued to improve, and Aktia’s result increased the most in the comprehensive, independent EPSI customer satisfaction survey among investors. I am particularly pleased that Aktia was assessed to have the most active dialogue with its customers and that the quality of Aktia’s products and solutions was commended. 

I would like to extend many thanks to our customers for placing their confidence in us and to our employees for the high standards of service quality and forward-thinking financial advice we offer. 

While the underlying business remained stable, the reported result for the quarter was affected by IT-related impairments and expenses of EUR 26.4 million.

Focus on development of asset management 

During the quarter, the development of Aktia's asset management continued. For instance, we launched a new product family of management solutions, combining ETF equity funds with Aktia's spearhead knowledge in fixed income investments and first-class allocation skills. Nevertheless, the total assets under management decreased slightly due to fragmented market development and allocation changes mainly among certain large institutions. However, the net commission income was stable. 

The favourable development of the life insurance business continued and the assets under management in investment-linked insurance contracts reached a new record level. With a new cooperation agreement, POP banks are also selling Aktia's investment-linked insurances. 

The banking business saw favourable demand during the quarter within our core target groups, although the entire loan book decreased slightly. Also in the current market situation credit losses remained at a moderate level, and the demand for investment solutions was strong among private customers. Thus, the full year 2024 was strong for the banking business performance-wise. 

Assessment of Aktia’s strategy 

When I assumed the position of CEO, I noted that Aktia has much potential. This thought has guided our work as we have reviewed our strategy in order to ensure our continued wealth-creating journey towards becoming a unique, leading wealth manager empowered by a strong banking heritage. We have sent out invitations to an investor event on 27 February 2025, where we present our specified strategic plan and updated financial targets.
Aktia will celebrate its 200th anniversary next year. By thinking further and striving for growth, we aim to create wealth also far into the future. I welcome all current and future employees, customers, and investors to join us on our journey.

Helsinki, 12 February 2025

Aleksi Lehtonen
CEO