An expert in money and life

Mandatum is one of Finland’s leading financial service providers. It combines expertise in money and life. The company’s expected growth is enabled by a strong market position, a renowned brand, highly competent personnel and successful investments. Mandatum is well-positioned to promote its potential future growth and value creation. 

     1. Solid solvency position and attractive dividend   

Mandatum aims to distribute cumulative dividends of EUR 500 million during 2024–2026. Mandatum looks to achieve a good investment result with moderate risk and profitable growth from capital-light business. Together with the capital released from the with-profit business, this lays a solid foundation for an attractive dividend flow as well as added potential for additional distribution of profits.

      2. Profitable growth from wealth management  

     The Institutional & wealth management business area is the driver of Mandatum’s growth. Its clients include Finnish and Nordic institutional clients as well as high-net-worth individuals. Strong investment expertise and a proven track record, especially in our own spearhead products in the fixed income and credit markets, support our growth strategy and help expand the business to other Nordic countries.

      3. Market leadership in the corporate segment enables cross-selling in wealth management  

      A strong market position in the corporate segment also means extensive contacts with Finnish business leaders, which enables the cross-selling of wealth management products and access to significant new customer flows. Approximately 70 per cent of Mandatum’s private wealth management clients currently have some kind of business connection. Mandatum offers the most extensive remuneration and engagement services on the market for corporate clients.

      4. A strong brand and high customer and employee satisfaction

      Mandatum’s well-known brand, proven customer and personnel satisfaction and sales-oriented culture support all business activities and create added value in relation to competitors.

Mandatum in figures

Customer assets under management EUR 12.5 billion
(31 Mar 2024)

Net subscriptions EUR 246 million
(31 Dec 2023−31 Mar 2024)

Comprehensive income before taxes EUR 0.08 per share
and equity EUR 3.26 per share
(31 Dec 2023−31 Mar 2024)

Total paid dividends approx. EUR 500 million
in 2021–2023

Solvency ratio 216.5 %
(31 Mar 2024)

Mandatum’s business consists of four segments

Institutional & wealth management is a driver of growth

Mandatum provides comprehensive wealth and asset management services to its clients, which include Finnish and Nordic institutional inves­tors, corporations and high-net-worth individ­uals. The company's investment expertise is based on long experience and a strong track record for profit, especially in the credit and alternative investments. Mandatum has been able to generate attractive risk-adjusted returns for its clients in a variety of asset classes.

Read more on Mandatum’s Annual Report 2023

Market leader in corporate clients

Mandatum serves corporate clients in two main segments: large and medium-sized clients and entrepreneur-driven clients. For small businesses and entrepreneurs, Mandatum primarily offers preparing and prospering services, while for large and medium-sized companies the focus is on incentive schemes and compensation, including personal and pension insurance and personnel funds.

Mandatum is the clear market leader in supplementary pensions and personnel funds and has a strong position in personal insurance. We have extensive contacts with Finnish business leaders, since the end customers of these products and services consist of the management and employees of Finnish companies. This enables the cross-selling of products and services as part of the customer relationship.

Read more on Mandatum’s Annual Report 2023

We serve retail clients directly and through our partners

Mandatum offers investment solutions and personal insurance to retail clients. Danske Bank is the main distribution channel for retail clients’ solutions. The services are also available directly through Mandatum's own sales force and digital channels. In addition, Mandatum has selected partnerships for example with associations.

Read more on Mandatum’s Annual Report 2023

The decrease of the with-profit portfolio releases capital

The With-profit business area includes the management of the with-profit insurance portfolio and management of assets cov­ering the with-profit liabilities and assets covering Mandatum Life’s shareholders’ equity. The target for investments is to generate returns above the insurance con­tract liabilities requirements at moderate risk, while at the same time decreasing the insurance portfolio releases capital.

Read more on Mandatum’s Annual Report 2023

Financial targets

Mandatum’s financial targets are based on Mandatum’s proven experience and growth strategy, and they are built around capital distribution and the sustainability of the solvency position. This is supported by the targeted growth of the capital-light segment, together with the expected contraction of the with-profit portfolio.

Going forward, Mandatum’s goal is to maintain a resilient balance sheet and solvency position, and to support stable dividend payments and strategic growth initiatives with strong organic capital generation and management of the with-profit insurance portfolio.

Solvency ratio: Over the medium term, Mandatum’s target is a solvency ratio between 170 and 200 per cent.

Cumulative dividend 2024–2026: Between 2024 and 2026, Mandatum’s target is to distribute a total of EUR 500 million in cumulative dividends, with upside potential from excess capital distributions.

Segmental financial targets

Capital-light business

• Annual net subscriptions: Over the medium term, Mandatum’s target is annual net subscriptions amounting to 5 per cent of the customer assets under management *
• Fee margin: Mandatum’s target is the development of fee margins based on disciplined pricing
• Cost/income ratio: Mandatum’s goal is to improve the cost/income ratio **

With-profit business

• Development of technical provisions: Mandatum’s is targeting the with-profit technical run-off with active portfolio management actions.
  
  

* Based on the amount of customer assets under management at the start of the period.

** Based on investment and wealth management income and expenses.