Sabadell doesn’t want markets to present itself as the weakest link in the industry in the face of a possible financial crisis, so its leaders have made an effort today to fix that. Limit what happens with Silicon Valley Bank (SVB) And Credit Suisse, and make it clear that these are special circumstances that have nothing to do with the reality of the Eurozone financial system or institution itself.
“impossible in europe“, resoundingly reassured the chairman of the Alicante-based bank, Josep Olíu, referring to the bankruptcy of the North American enterprise attributed to the mismanagement and “lack of adequate supervision” of organizations of this size on the other side of the Atlantic. For this reason, in the traditional meeting held with the members of the press the day before the shareholders’ general assembly and attended by the CEO of the corporation; Cesar Gonzalez Goodand other board members believe that the turbulence caused by Oliu, SVB and Credit Suisse will have greater repercussions for banks in Spain and Europe. “There’s no reason for this to affect us“, the banker insisted.
Therefore, Oliu recalled that the bankruptcy of SVB was due to the fact that the institution invested the equivalent of 70% of its customers’ deposits in long-term public debt, in addition to 95% of these funds. Customers were not covered by the Guarantee Fund. It’s a far cry from what’s offered. sabadellas in the task of emphasizing, where public debt portfolio weighs only 11% on its balance sheet – also with short-term bonds – and More than 60% of the deposit is coveredThanks to the guarantee mechanism that reduces the risk of leakage.
Along the same lines, César González-Bueno is Sabadell’s current Second of the major European banks with the most short-term liquidity -one month later- and a ninth year according to the parameters used in the industry. In this sense, the management attributed Sabadell’s punishment in the markets to being one of the values that gained the most value in recent years and preferred by many investors. make a profit Given the resulting uncertainty.
In particular, he reminded that Sabadell has been the bank that has gained the most value in all of Europe since 2021, and despite the decline caused by SVB’s bankruptcy, it has only accumulated an increase of around 20 percent since the beginning of the year. .
“The solvency and liquidity of Spanish banks they do not doubtDescribing the ECB’s action as “relaxing”, Josep Oliu insisted. owners Coco’s -convertible bonds- had caused the collapse of these titles in the market.
Likewise, Oliu argued that Sabadell is doing well at the moment, after markets penalized the presence in 2020 and was about to force its merger with BBVA in the wake of the covid-induced crisis. “similar or better” More than the rest of the Spanish banks.
So much so that Sabadell’s CEO said they did not plan to change their forecasts after the turbulence created by the bankruptcy of SVB and Credit Suisse, and that the bank’s protect your roadmapfocused on improvement cost effectiveness your existence.
re-election
On the other hand, when asked why he renews his mandate for another four years, a decision the board should approve this Thursday, Oliu assured him that he didn’t do it because he felt he had nothing “on hold” but for him. “loyalty” you exist with existence. “What the bank is doing excites me. and with the team led by César González-Bueno. “My job at the bank will be to support this team and collaborate with my experience,” he said.
On the other hand, he justified the bank’s decision to appeal in court. new temporary bank tax Government-approved “must” defend the interests of shareholdersHe also stated that while he didn’t want to push the ink too far, “nothing good that harms banks’ ability to build solvency within a stable framework.”
No reason to change venue
Sabadell’s chairman, Josep Oliu, once again made it clear that the party sees no reason for a new headquarters change, after the decision to relocate its headquarters to Alicante in 2017, given the risk posed by the struggle for independence in Catalonia. “It’s not on the table. It’s not under consideration, and my question is, I don’t know what conditions must be met for it to come up, but it hasn’t been met yet,” he replied. A question from a Catalan media outlet raised whether Oliu wanted to renew the bank’s presidency for another four years is one of the pending issues.