Capital management
The Company is the holding entity of Swiss Re’s Reinsurance Business Unit. It plans, assesses and steers its own risk and solvency position in combination with the risk and solvency positions of its subsidiaries.
For the Group and its Swiss-regulated Business Unit holding companies, the Company and Swiss Re Corporate Solutions Ltd, the Group Risk Policy sets SST capitalisation targets on a consolidated basis, which define the capitalisation objective for executive management in normal operating circumstances. Target capital is used as a basis to coordinate capital planning and capital management actions. Any deviation from target capitalisation − whether deliberate or intentional − must be restored as soon as practical, and in any event over the applicable three-year plan. Surplus capital is expected to be made available to the Group holding company.
Change in shareholder’s equity
Download |
CHF millions |
Share capital |
Legal capital reserves |
Legal profit reserves |
Voluntary profit reserves |
Retained earnings brought forward |
Net income for the financial year |
Total |
Shareholder’s equity 1.1.2016 |
34 |
6 778 |
650 |
272 |
94 |
6 432 |
14 260 |
Allocations relating to the dividend paid |
|
|
|
6 500 |
–68 |
–6 432 |
– |
Dividend for the financial year 2015 |
|
|
|
–2 933 |
|
|
–2 933 |
Net income for the financial year |
|
|
|
|
|
875 |
875 |
Shareholder’s equity 31.12.2016 |
34 |
6 778 |
650 |
3 839 |
26 |
875 |
12 202 |
|
|
|
|
|
|
|
|
Shareholder’s equity 1.1.2017 |
34 |
6 778 |
650 |
3 839 |
26 |
875 |
12 202 |
Allocations relating to the dividend paid |
|
|
|
850 |
25 |
–875 |
– |
Dividend for the financial year 2016 |
|
|
|
–2 590 |
|
|
–2 590 |
Net income for the financial year |
|
|
|
|
|
1 209 |
1 209 |
Shareholder’s equity 31.12.2017 |
34 |
6 778 |
650 |
2 099 |
51 |
1 209 |
10 821 |
For more details on valuation differences between shareholder’s equity and the SST net asset value, please refer to the Valuation section of this Report.