“We achieved record results in the first nine months of 2015 with the best quarter ever and we are about to close the best year in Fineco's history, but from the point of view of the shareholding structure there will be no news: contrary to the many misleading rumors circulated on the market these days, Unicredit will not sell or reduce its stake in Fineco in any way. The opposite would make no sense and the reason is simple: when our controlling shareholder decided to list Fineco, he did so thinking of giving up a piece of the pie to encourage the growth of the pie itself. Now that the cake has gotten bigger we want to enjoy tutti frutti”. Alessandro Foti, CEO and number one of Finecobank, does not hide all the satisfaction he has for both the gold accounts, and for corporate stability and the growth prospects of the Unicredit multi-channel bank. And he explains all the reasons in this interview with FIRSTonline.
FIRSTonline – Mr. Foti, all the economic and financial indicators of Finecobank are growing: net profit is up (148,8 million euro as at 30 September, +36,2%), revenues are up (407,4 million, + 22,2%), assets strengthened (CET1 ratio at 20,43%), total financial assets grew (52.521 million, +9%), deposits increased (4.088 million, + 33,4%) and customers exceed the historic threshold of one million. What do these results tell us?
FOTI - "They say that Fineco is riding two centuries-old trends that characterize the country: the first is the growing awareness of Italians, who have always been a nation of great savers, that managing savings is very complex and that this requires increasingly appropriate and competent financial advice; the second is the acceleration of the digitization of the country which does not only concern the new generations but also adults and which enhances Fineco's multi-channel banking model. We are living in a magical moment but the boom in savings, the growth in demand for consultancy and the increase in digitization are destined to last and Fineco is ready to capitalize on them".
FIRSTonline – What does it mean for Fineco to respond to the growing demand for financial advice?
FOTI – “It means meeting the customer's needs and helping him not only to invest but to plan the allocation of his savings in a more thoughtful way, having very clear the final objectives and the consequent portfolio choices”.
FIRSTonline – Does pushing digitization instead mean aiming to intercept more young savers?
FOTI – “No, it's an all-out challenge that changes the bank's own processes. Consider that the number of savers does not correspond by age to that of the population because the average age of Fineco savers is between 45-48 years and is among the lowest. But digitization is also increasingly affecting the elderly segments of customers because the diffusion of the smartphone and the Ipad have changed the way in which the customer and the saver relate to the bank. In four or five years anyone who goes to a bank counter to make a transfer will be considered a Martian”.
FIRSTonline – Among the many results achieved, which is the one that satisfies you the most?
FOTI – “The observation that our growth is very balanced and that the business model is able to fully satisfy the needs of customers and the market. We also saw this in the summer when market volatility was at its highest and Fineco was able to assist customers in a mutually very satisfactory way. We are facing impressive growth in our volumes, our assets, our customers and our profits, without ever losing sight of efficient cost control. And this time there is one more reason to be satisfied with the results”.
FITRSTonline – Which one?
FOTI – “The spectacular leap forward in private banking that makes Fineco one of the major operators in the sector, with a mass of private individuals of 20 billion. We have also made it through to the wealthiest clientele and this is certainly one of the benefits that derive from our listing on the Stock Exchange which has enhanced our credibility, our solidity and our visibility. It is no coincidence that our stock on the Stock Exchange has risen by more than 70 percent in one year”.
FIRSTonline – Will it be difficult to do better?
FOTI – “By definition, you can always improve and Fineco has a market space ahead of it that can grow further and by a lot. We are venturing into one of the most interesting phases in our entire corporate history”.
FIRSTonline – After a record first nine months, how do you expect to end 2015?
FOTI – “We never anticipate forecasts on numbers, but it will certainly be the best year of all the 15 years of Fineco's history. And having passed the historic threshold of one million customers fills us with pride”.
FIRSTonline – Will all this also be reflected in the next dividend?
FOTI – “For the 2014 financial year we distributed 20 cents per share with a payout of 81%, which is among the highest in the entire banking world. If Finecobank continues to improve, it goes without saying that the dividend will also be extremely generous for 2015”.
