Issuance of tranche products is at an all-time low in the Netherlands, with no such products launched in November. This year, 37 structured products were introduced to the Dutch market. Kempen, with 13 products was the most active provider, followed by Commerzbank (nine), BNP Paribas (eight), Wilgenhaege (three) and ING (two).

Societe Generale joined Binck, BNP Paribas, Citi, Commerzbank, Goldman Sachs and ING by becoming the seventh provider of leverage products in the Netherlands. The French bank introduced the SG Turbo Best (Barrier equals strike), which has no fixed maturity date, and differs from regular turbos in the sense that the financing level and stop-loss level is the same.

The best turbo, also known in the Netherlands as booster, trader, turbo XL or sprinter best, has become the most popular by some distance, according to Ernst Gevaerts, head of cross asset retail distribution sales the Netherlands. “We have started with the best-known equity underlyings and will probably introduce additional underlyings, such as commodities or currencies,” said Gevaerts.

Turnover of leverage products in the Netherlands during the first nine months of 2016 stood at €3,797m, down from €7,233m in the same period last year, according to figures from the European Structured Investment Products Association (Eusipa) and Gevaerts thinks the lower volumes are partly caused by the relative stability of the financial markets in 2016: “Apart from exceptional movements around the Brexit and US elections' votes, there has been little volatility in the market and that's probably why the volumes are a little bit less.”

ING has extended the trading hours for its leverage products with clients of ING, Binck and Alex now able to trade sprinters, ING’s equivalent to turbos, between 8am and 10pm CET. The extended trading hours are possible because sprinters at ING, Binck and Alex are traded via Citigroup Automated Trading Services (Cats) - the trading platform operated by Börse Stuttgart which facilitates end-users, market makers, issuers, brokers and asset managers with trading and execution of structured products - and no longer via Euronext Amsterdam.

"With Cats, we fulfill the client demand of more flexibility and extended trading hours,” said Sander van Baren, head of sprinters at ING. “Clients trading sprinters on indices, FX, commodities and US shares benefit directly from these extended trading hours," said Van Baren.

Bank Nederlandse Gemeenten (BNG) issued a 10-year step-up callable note aimed at European institutional investors. The note, which can be redeemed early by BNG on November 25, 2019, requires a specified denomination of €100,000. In the first three years, the Luxembourg-listed product pays a fixed coupon of 0.25% pa which is subsequently increased to 0.75% pa for years four to 10.

BNG's investment products are always targeted at professional investors, according to Willem Littel, senior manager capital markets & investor relations, BNG Bank. “We don't do retail. Investors are often life insurance companies, at a Pan-European level, who use these products as part of their investment portfolio,” said Littel. “Step-up callables are most suitable for insurers. This type of product allows [insurers] to increase the coupon because of the risk of early redemption.”

Van Lanschot and Achmea completed the acquisition of the private banking activities of Staalbankiers by Van Lanschot on December 15. The conditions for the acquisition, which was first announced on August 9, 2016, have been fulfilled. The Dutch National Bank (DNB) issued a declaration of no objection to Van Lanschot and Staalbankiers. In addition, the works councils concerned have given positive advice.

Van Lanschot has acquired private banking- and institutional client relationships with approximately €1.7bn assets under management, more than €300m savings and a limited number of collateralised loans. In addition 25 private bankers and investment professionals joined Van Lanschot. The transaction, for which Van Lanschot paid an initial purchase price of €16m, does not concern other activities of Staalbankiers.

Related stories:

BNG: Step-up callables most suitable for insurers

Societe Generale strikes at barrier with first Dutch turbos

ING extends trading hours sprinters, acts as counterparty for 98% of transactions

Acquisition could lead to structured product opportunities for Dutch private bank