Other activities and subsidiaries.
Insurance brokerage.
Algemene Participatiemaatschappij BV
In addition to the activities already referred to,
which constitute the nucleus of its business, the
Bank is active in many other areas. Both at
home and abroad, the ABN provides a range of
additional services in the area of wholesale
banking (e.g. cash management) as well as retail
banking (e.g. estate administration and execution
of wills).
A number of these activities are dealt with in the
following paragraphs, after which the results
achieved by our largest subsidiary, Bank Mees
Hope NY, in 1985 are briefly reviewed.
In the insurance sector, the year under review
brought significant changes. This applied to the
American market, in particular: sharply rising
premiums, reductions in capacity and tougher
conditions imposed by insurers. A similar trend
is discernible in London and in the reinsurance
market. Up to now, the Netherlands has
experienced relatively little effect from these
changes, though less in the case of products that
are highly dependent on the American and
London markets.
The brokerage activities of R. Mees Zoonen
Assurantiën B.V. and those of B.V. Assurantie-
bedrijf van de Algemene Bank Nederland were
merged during the year. The company will
henceforth operate as Mees Zoonen. The
name ABN Assurantiën will be used only in
connection with a number of private insurance
schemes sold over the counter.
In spite of the burden imposed on many by the
reorganization, a higher turnover was achieved,
the greater part of the increase stemming from
new activities. R. Mees Zoonen
Assurantiën B.V. was thereby enabled to
improve substantially its position as a leader in
the insurance market.
In recent years, M. van Marie B.V. (underwriting
agents) have experienced considerable pressure
on results owing to fierce competition in the fire
and marine insurance sectors. Now, premiums
appear to be returning to a more responsible
level. However, under the influence of numerous
and sometimes very large losses, results in both
sectors fell to an even lower level than in the
previous year.
The underwriting activities of ABN Assurantiën
were merged with those of Van Marie. The
latter's results were again influenced by the
measures taken in recent years to improve the
quality of the portfolio. The net result was
roughly on a par with 1984.
A newly formed subsidiary, N.V. Schade
verzekeringsmaatschappij Maas-Lloyd,
commenced operations on 1 January 1985. The
first-year trading results fell somewhat short
of expectations. N.V. Rotterdamse Assurantie
kas, which is now in liquidation, again produced
a disappointing result. It will be a number of
years before there is full insight into the effects of
the liquidation. It partly depends on the
outcome of several lawsuits.
The activities of Algemene
Participatiemaatschappij B.V. and its
wholly-owned subsidiary, Algemene Particuliere
Participatiemaatschappij B.V., expanded at a
faster rate than in previous years. Within the
constraints imposed by the Act on the
Supervision of the Credit System, APM provides
risk capital for small and medium-sized
businesses.
The number of applications for funds rose by a
significant margin to 110, reflecting closer
The Bank Settlement Plan was launched. Settlement of airline
ticket accounts between travel agents and the airlines in the
Netherlands is now taken care of centrally by ABN.
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