Amounts in thousands of EUR | 2022 | 2021 |
|---|---|---|
Participating interests designated at fair value through OCI | 35,990 | 30,143 |
Participating debt at fair value through profit or loss | 190 | 5,463 |
Associates at equity value | 9,436 | 4,285 |
Participating equity at fair value through profit or loss | 102 | 85 |
Balance sheet value as at 31 December | 45,718 | 39,976 |
As part of its mission, Triodos Bank wishes sustainable banking to create more and more impact over the world. In this respect, Triodos Bank provides equity funding to like minded financial institutions in order to increase growth of the sustainable banking sector. No significant influence can be exercised on our participating interests. These investments are of a strategic nature and are not held for trading. The instruments classified as equities, being the participating interests, are designated to be accounted for at fair value though OCI. The instruments classified as debt, being the participating debt, are mandatorily designated to be accounted for at fair value through profit or loss.
The participating interests designated at fair value through OCI can be broken down as follows:
Amounts in thousands of EUR | 2022 | 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|
| Participating interest | Carrying amount | Participating interest | Carrying amount | |||||
Participating interests designated at fair value through OCI |
|
|
|
| |||||
Amalgamated Bank, New York1 | 2.4% | 15,618 | 2.3% | 10,703 | |||||
Merkur Bank KGaA, Copenhagen1 | 3.6% | 3,127 | 6.1% | 3,203 | |||||
Cultura Bank Sparebank, Oslo1 | 1.2% | 95 | 1.2% | 100 | |||||
GLS Gemeinschaftsbank eG, Bochum1 | 1.5% | 10,050 | 1.6% | 10,050 | |||||
Banca Popolare Etica Scpa, Padova1 | 0.1% | 133 | 0.1% | 133 | |||||
Ekobanken Medlemsbank, Järna1 | 0.5% | 49 | 0.6% | 52 | |||||
Social Enterprise Finance Australia Limited, Sydney | 4.5% | 1 | 4.5% | 1 | |||||
Bpifrance Financement S.A., Maisons-Alfort. | 0.0% | 151 | 0.0% | 156 | |||||
Nederlandse Financieringsmaatschappij voor Ontwikkelingslanden N.V. (FMO), The Hague1 | 2.0% | 1,051 | 2.0% | 760 | |||||
Thrive Renewables Plc, Bristol | 5.4% | 3,605 | 6.0% | 3,465 | |||||
Transactie Monitoring Nederland B.V., Purmerend | 3.0% | 1,209 | 3.0% | 780 | |||||
La Société d’Investissement France Active (SIFA), Montreuil | 0.1% | 295 | 0.1% | 295 | |||||
Visa Inc, San Francisco1 | 0.0% | 506 | 0.0% | 345 | |||||
La Bolsa Social, plataforma de financiación participativa, S.A., Madrid | 4.7% | 100 | 4.7% | 100 | |||||
Balance sheet value as at 31 December |
| 35,990 |
| 30,143 | |||||
| |||||||||
The participating debt at fair value through profit or loss can be broken down as follows:
Amounts in thousands of EUR | 2022 | 2021 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Participating interest | Carrying amount | Participating interest | Carrying amount | |||||||
Participating debt at fair value through profit or loss |
|
|
|
| |||||||
Sustainability – Finance – Real Economies SICAV-SIF public limited liability company, Luxembourg1 | - | - | 12.8% | 5,112 | |||||||
Visa Inc, San Francisco2 | 0.0% | 190 | 0.0% | 351 | |||||||
Balance sheet value as at 31 December |
| 190 |
| 5,463 | |||||||
| |||||||||||
The associates at equity value can be broken down as follows:
Amounts in thousands of EUR | 2022 | 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|
| Participating interest | Carrying amount | Participating interest | Carrying amount | |||||
Associates at equity value |
|
|
|
| |||||
Triodos Emerging Markets Renewable Energy Fund, Luxembourg | 12.3% | 4,211 | 16.8% | 4,285 | |||||
Triodos Microfinance Fund, Luxembourg1 | 1.4% | 5,225 | - | - | |||||
Balance sheet value as at 31 December |
| 9,436 |
| 4,285 | |||||
| |||||||||
The movement of the participating interest designated at fair value through OCI is as follows:
Amounts in thousands of EUR | 2022 | 2021 |
|---|---|---|
Balance sheet value as at 1 January | 30,143 | 26,673 |
Acquisitions | - | - |
Increase of capital | 594 | 691 |
Revaluation | 4,873 | 1,801 |
Repayment of capital | - | - |
Divestments | - | - |
Exchange rate differences | 380 | 978 |
Balance sheet value as at 31 December | 35,990 | 30,143 |
The movement of the participating debt at fair value through profit or loss is as follows:
Amounts in thousands of EUR | 2022 | 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|
Balance sheet value as at 1 January | 5,463 | 4,461 | |||||||
Acquisitions | - | - | |||||||
Increase of capital | - | 16 | |||||||
Revaluation | -542 | 654 | |||||||
Repayment of capital | -156 | - | |||||||
Divestments | -5,2721 | - | |||||||
Exchange rate differences | 697 | 332 | |||||||
Balance sheet value as at 31 December | 190 | 5,463 | |||||||
| |||||||||
When a new fund is originated, Triodos Investment Management may decide to provide seed capital to get the fund started. Depending on the fund and its needs, this may be an investment for less than one year or for a longer period. In 2021, the Triodos Emerging Markets Renewable Energy Fund was originated in which seed capital was invested. The investment classifies as an associate and is accounted for using the equity method.
The movement of the associates at equity value is as follows:
Amounts in thousands of EUR | 2022 | 2021 | |||||||
|---|---|---|---|---|---|---|---|---|---|
Balance sheet value as at 1 January | 4,285 | - | |||||||
Acquisitions | 5,2721 | 4,320 | |||||||
Revaluation | -121 | -35 | |||||||
Sales | - | - | |||||||
Balance sheet value as at 31 December | 9,436 | 4,285 | |||||||
| |||||||||
The movement of the participating equity at fair value through profit or loss is as follows:
Amounts in thousands of EUR | 2022 | 2021 |
|---|---|---|
Balance sheet value as at 1 January | 85 | 80 |
Acquisitions | - | - |
Revaluation | 17 | 5 |
Sales | - | - |
Balance sheet value as at 31 December | 102 | 85 |
Accounting policy
Investment securities include participating interests in other financial institutions either in equity or debt form and it includes seed capital investments in own investment funds that are classified as associates. The participating interests in equity are designated at FVOCI as these are strategic long-term investments. The participating interest in debt form are measured at FVTPL as these do not meet the SPPI criteria. The participating interest in associates are measured using the equity method.
For securities that are listed on an active stock exchange, the fair value will be deemed to be equal to the most recently published stock exchange price. If the security is not listed on an active stock exchange or where there is no regular price quotation, the fair value will be determined to the best of one's ability using all available data, including an annual report audited by an external independent auditor, interim financial information from the institution and any other relevant data provided to Triodos Bank.
Unrealised and realised changes in the value of investment securities at FVOCI are recognised in the other comprehensive income and will not be recycled to profit or loss. Unrealised and realised changes in the value of investment securities at FVPL are recognised in the profit or loss.
Critical judgement and estimates
Triodos Bank determines the fair values of those financial instruments measured at FVOCI and FVTPL periodically which is a critical estimate. For more details on the measurement of fair values refer to Fair value of financial instruments .