ING Direct 2011 Annual Report Download - page 190

Notes to the consolidated annual accounts of ING Group continued
39 COMMISSION INCOME
Gross fee and commission income
Banking operations Insurance operations Total
2011 2010 2009 2011 2010 2009 2011 2010 2009
Funds transfer 916 861 859 916 861 859
Securities business 681 695 780 681 695 780
Insurance broking 161 190 188 366 348 124 527 538 312
Asset management fees 310 476 566 1,470 1,490 2,080 1,780 1,966 2,646
Brokerage and advisory fees 347 329 317 213 225 497 560 554 814
Other 1,013 965 825 526 289 315 1,539 1,254 1,140
3,428 3,516 3,535 2,575 2,352 3,016 6,003 5,868 6,551
Asset management fees related to the management of investments held for the risk of policyholders of EUR 495 million
(2010: EUR 358 million; 2009: EUR 825 million) are included in Commission income.
Other include commission fees of EUR 26 million (2010: EUR 15 million; 2009: EUR 18 million) in respect of underwriting syndication loans.
Fee and commission expenses
Banking operations Insurance operations Total
2011 2010 2009 2011 2010 2009 2011 2010 2009
Funds transfer 313 257 200 313 257 200
Securities business 126 125 159 126 125 159
Management fees 10 19 24 81 201 379 91 220 403
Brokerage and advisory fees 68 70 43 284 313 805 352 383 848
Other 457 452 449 627 283 252 1,084 735 701
974 923 875 992 797 1,436 1,966 1,720 2,311
40 VALUATION RESULTS ON NON-TRADING DERIVATIVES
Valuation results on non-trading derivatives
Banking operations Insurance operations Total
2011 2010 2009 2011 2010 2009 2011 2010 2009
Change in fair value of derivatives
relating to
– fair value hedges –956 –679 –1,321 –72 –69 191 –1,028 –748 –1,130
– cash-flow hedges
(ineffective portion) –1 2–2 –16 –9 –8 –17 –7 –10
– hedges of net investment in
foreign entities (ineffective
portion) 1 1
– other non-trading derivatives –315 –720 –237 1,380 94 –3,728 1,065 –626 –3,965
Net result on non-trading
derivatives –1,272 –1,397 –1,560 1,292 16 –3,544 20 –1,381 –5,104
Change in fair value of assets
and liabilities (hedged items) 989 686 1,201 58 66 –226 1,047 752 975
Valuation results on assets
and liabilities designated as
at fair value through profit
and loss (excluding trading) 504 69 –557 103 93 –57 607 162 –614
Net valuation results 221 –642 –916 1,453 175 –3,827 1,674 –467 – 4,743
The positive impact of the Valuation results on non-trading derivatives during 2011 includes the effect of negative developments in the
stock markets giving rise to positive valuation results on related derivatives. Furthermore as a result of decreasing long-term interest rates,
values of interest related derivatives have increased. Valuation results on non-trading derivatives related to insurance provisions are mainly
offset by an opposite amount in Underwriting expenditure (reference is made to Note 43 ‘Underwriting expenditure’).
The Valuation results on assets and liabilities designated as at fair value through profit and loss includes fair value changes on private
equity funds and certain issued debt securities. Valuation results on assets and liabilities designated as at fair value through profit and loss
were mainly due to changes in the fair value of financial liabilities driven by changes in market conditions and changes in own credit risk
asdisclosed in Note 20 ‘Financial liabilities at fair value through profit and loss’. In 2011 market conditions includes in particular credit
spread developments.
188 ING Group Annual Report 2011