In February, in the global financial markets positive trends continued to prevail. The markets of corporate bonds and government bonds of emerging markets continued to recover after December fall while investors preferred risk to quality, therefore credit risk premiums lowered.

During 2014, the bank and other companies of ABLV Group continued to grow, due to consistent implementation of the group’s development strategy. Although several our target markets were considerably affected by political and economic instability, we managed to achieve the planned results because of our thoroughly chosen business model, risk management, and cautious policy.

For the eighth year in a row, the corporate charitable foundation ABLV Charitable Foundation organised a Christmas charitable campaign, in collaboration with ABLV Bank, during which ABLV Bank’s employees and clients were invited to make donations, along with any member of the general public, wishing to support the Foundation’s goals.

January turned to be full of events that may have a long-term impact on the global bond market. Among them, there were the announcement made by the ECB about a new programme of quantitative easing (QE), the depreciation of key interest rates performed by the regulators of several developed countries, the cut of Russia credit rating.

December turned to be a very complicated month in the markets of high-risk corporate bonds and government bonds of emerging countries. The most significant factor that caused a strong sell off in these markets was the continuation of unrestrained fall in oil prices.

In November, in the global stock market an upward move formed in the second half of October kept prevailing, and as a result, the majority of global stock indexes concluded the month in positive territory.

For the eighth year in a row, in partnership with ABLV Bank, ABLV Charitable Foundation is organising a Christmas charitable campaign, in which ABLV Bank employees and clients as well as the general public, who wish to support the foundation’s objectives, is invited to make donations.

Although varying trends were observed in the world economy and economic growth slowdown was observed in some countries, Latvian economic indicators are continuing being among the best in the European Union. In Q3 2014, Latvian real gross domestic product (GDP), according to data without seasonal adjustment, grew by 2.1%. Q3 2014 was favourable for ABLV Bank, AS, and the group. The business volume continued to grow and the bank’s profit amounted to EUR 50.0 million.

It has been so long since we last saw such amusement as this “rollercoaster” in the financial markets. That is how the situation settled in October in the global stock markets can be best described. As a result of this rapid growth of volatility, investors, used to calm and steady sequence of events, started to panic.

Continuing the bond issue programme started in 2011, ABLV Bank, AS, has performed three new bond issues: two straight coupon bond issues of USD 75 000 000 and EUR 20 000 000, and subordinated bond issue of EUR 20 000 000 at face value. During the public offer, straight bonds denominated in dollars were purchased by 112 investors, straight bonds in euro – by 54 investors, and 20 investors purchased subordinated bonds. This is a record-high demand for our bonds in the history of bond issue programme.