Related party transactions
Information checkedInformation geprüft Related party transactions
Related parties
The LLB Group is controlled by the Principality of Liechtenstein, which holds 57.5 per cent of the registered shares of Liechtensteinische Landesbank AG, Vaduz. The shareholder group, consisting of the Haselsteiner Familien-Privatstiftung and grosso Holding Gesellschaft mbH, holds 5.9 per cent of the registered shares. At the end of the year under report, LLB held 0.9 per cent of its own shares and 0.4 per cent were held by members of the Board of Directors and the Board of Management. The remaining registered shares are owned by the general public.
The related parties of the LLB Group comprise the Principality of Liechtenstein, associated companies, members of the Board of Directors and the Board of Management, as well as their close family members and companies, in which these individuals are part of the company management, either through their majority shareholding or through their function, as well as own pension funds.
Within the scope of its business activity, the LLB Group also conducts banking transactions with related parties. These transactions mainly involve loans, investments and services. The volumes of these transactions, the holdings and corresponding income and expenses are shown below. For information regarding important business transactions with the Principality of Liechtenstein reference is made to note 14 in the separate financial statement of LLB AG.
See “Scope of consolidation” for a detailed list of the intercompany relationships of the LLB Group.
Compensation of key management personnel
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Fixed compensation |
Variable compensation |
Contribution to benefit plans and other social contributions |
Entitlements |
Total |
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in CHF thousands |
2020 |
2019 |
2020 |
2019 |
2020 |
2019 |
2020 |
2019 |
2020 |
2019 |
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Compensation |
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Members of the Board of Directors * |
783 |
751 |
0 |
0 |
105 |
111 |
168 |
163 |
1'057 |
1'025 |
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Members of the Board of Management ** |
3'570 |
3'384 |
735 |
807 |
1'183 |
1'135 |
735 |
807 |
6'223 |
6'133 |
* The Board Chairman Georg Wohlwend stepped down from the Board of Directors on 4 November 2020. Vice Chairwoman Gabriela Nagel-Jungo took over the duties and responsibilities of the Chair. Currently, the Board of Directors is composed of six members.
** The Board of Management comprises six members.
Further information can be found in the Compensation report.
Loans to key management personnel and related parties
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Fixed mortgages |
Variable mortgages |
Total |
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in CHF thousands |
31.12.2020 |
31.12.2019 |
31.12.2020 |
31.12.2019 |
31.12.2020 |
31.12.2019 |
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Members of the Board of Directors |
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Georg Wohlwend, Chairman * |
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0 |
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0 |
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0 |
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Gabriela Nagel-Jungo, Vice Chairwoman |
400 |
400 |
0 |
0 |
400 |
400 |
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Patrizia Holenstein, Member |
0 |
0 |
0 |
0 |
0 |
0 |
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Urs Leinhäuser, Member |
0 |
0 |
0 |
0 |
0 |
0 |
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Thomas Russenberger, Member |
0 |
0 |
0 |
0 |
0 |
0 |
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Richard Senti, Member |
575 |
575 |
93 |
93 |
668 |
668 |
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Karl Sevelda, Member |
0 |
0 |
0 |
0 |
0 |
0 |
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and related parties |
0 |
0 |
0 |
0 |
0 |
0 |
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Total |
975 |
975 |
93 |
93 |
1'068 |
1'068 |
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Members of the Board of Management |
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Roland Matt, CEO |
2'000 |
1'000 |
1'000 |
0 |
3'000 |
1'000 |
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Other members of the Board of Management |
1'560 |
1'560 |
0 |
0 |
1'560 |
1'560 |
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and related parties |
0 |
0 |
0 |
0 |
0 |
0 |
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Total |
3'560 |
2'560 |
1'000 |
0 |
4'560 |
2'560 |
* Georg Wohlwend stepped down from the Board of Directors on 3 November 2020. The duties of the Chairmanship have been taken over by Vice Chair Gabriela Nagel-Jungo.
All mortgage loans to key management personnel and related parties are fully secured.
At 31 December 2020, the maturities of the fixed mortgages for the members of the Board of Directors and related parties ranged between 3 and 63 months (previous year: between 15 and 63 months) at standard market client interest rates of 0.95 to 1.65 per cent per annum (previous year: 0.95 to 1.65 %). A variable mortgage at standard market conditions was issued. The remaining term to maturity amounted to one month at an interest rate of 0.95 per cent (previous year: term to maturity amounted to one month at an interest rate of 0.95 per cent).
At 31 December 2020, the maturities of the fixed mortgages for the members of the Board of Management ranged between 1 and 118 months (previous year: between 0 and 73 months) at interest rates of 0.46 to 1.80 per cent per annum (previous year: 0.60 to 1.88 %). This includes two newly granted fixed mortgages. Two variable mortgages were also issued at market conditions. The remaining term is 1 month at an interest rate of 0.65 per cent (previous year: none).
The fair value of the collateral of the newly issued mortgages amounts to CHF thousands 3'142.
Of the total amount for mortgages for the members of the Board of Management, CHF thousands 1’500 (previous year: CHF thousands 1’000) was granted at the preferential interest rate for staff, the remainder was subject to the standard market client interest rate. No other loans were issued to the Executive Board (previous year: none).
No allowances for loans to management were necessary. LLB granted third parties guarantees amounting to CHF thousands 168 (previous year: CHF thousands 168) for management and related parties.
Transactions with key management personnel and related parties
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in CHF thousands |
2020 |
2019 |
+ / – % |
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Loans |
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As at 1 January |
3'628 |
4'786 |
– 24.2 |
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Loans issued / changes to management and related parties |
2'000 |
93 |
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Loan repayments / changes to management and related parties |
0 |
– 1'251 |
– 100.0 |
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As at 31 December |
5'628 |
3'628 |
55.1 |
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Deposits |
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As at 1 January |
6'695 |
5'137 |
30.3 |
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Change |
– 2'780 |
1'558 |
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As at 31 December |
3'914 |
6'695 |
– 41.5 |
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Income and expenses |
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Interest income |
47 |
47 |
0.1 |
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Interest expenses |
– 2 |
– 2 |
– 21.9 |
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Other income * |
7 |
12 |
– 45.5 |
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Other expenses ** |
0 |
0 |
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Total |
51 |
56 |
– 8.2 |
* Mainly net fee and commission income
** Services in connection with consultation
Transactions with associated companies
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in CHF thousands |
2020 |
2019 |
+ / – % |
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Loans |
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As at 1 January |
1'502 |
1 |
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Change |
8'502 |
1'501 |
466.5 |
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As at 31 December |
10'003 |
1'502 |
566.2 |
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Deposits |
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As at 1 January |
13'063 |
11'525 |
13.3 |
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Change |
16'694 |
1'538 |
985.5 |
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As at 31 December |
29'757 |
13'063 |
127.8 |
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Income and expenses |
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Interest income |
87 |
53 |
64.8 |
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Interest expenses |
0 |
0 |
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Other income |
20 |
18 |
10.7 |
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Other expenses |
– 153 |
– 125 |
22.0 |
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Total |
– 45 |
– 54 |
– 16.1 |
The LLB Group has not issued guarantees to third parties for related parties.
Related parties have concluded currency swaps to hedge against foreign currency risks. Claims exist from derivative financial instruments against related parties totalling CHF thousands 0 (previous year: CHF thousands 19). One company has a currently unused credit limit of CHF 10 million.
Transactions with own pension funds
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in CHF thousands |
2020 |
2019 |
+ / – % |
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Loans |
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As at 1 January |
0 |
642 |
– 100.0 |
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Change |
0 |
– 642 |
– 100.0 |
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As at 31 December |
0 |
0 |
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Deposits |
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As at 1 January |
17'868 |
20'371 |
– 12.3 |
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Change |
– 6'892 |
– 2'503 |
175.4 |
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As at 31 December |
10'976 |
17'868 |
– 38.6 |
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Income and expenses |
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Interest income |
0 |
0 |
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Interest expenses |
0 |
0 |
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Other income * |
1'009 |
752 |
34.1 |
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Other expenses |
0 |
– 1 |
– 100.0 |
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Total |
1'009 |
751 |
34.4 |
* Mainly net fee and commission income
No guarantees have been granted by the LLB Group for third parties on behalf of own pension funds.
To hedge against interest rate and currency risks, an own pension fund has concluded swaps. Claims exist from derivative financial instruments against the own pension fund totalling CHF thousands 133 (previous year: CHF thousands 6) and liabilities amounting to CHF thousands 370 (previous year: CHF thousands 1'000).