Financial targets

Total shareholder return, %

To be in the top quartile of Nordea's European peer group. View total shareholder return data.

Risk adjusted profit

Risk-adjusted profit is defined as total income minus total operating expenses, minus Expected losses and standard tax (approximately 26 % 2010). In addition, Risk-adjusted profit excludes major non-recurring items. Expected loan losses will be approximately 27bp in 2010. View Risk-adjusted profit figures.

Return on equity (RoE)

The target is to have a RoE in line with top Nordic peers. This target is relative to competitors. There is no longer any absolute target in percent, since return on equity over time will vary with the business cycle.

The Board of Directors has also decided the following capital structure policy:

Dividend payout ratio, %

> 40% of net profit.

Tier 1 capital ratio, %

9.0% over a cycle (excluding transition rules).

Total capital ratio, %

11.5% over a cycle (excluding transition rules).