See accounting policy E.
| 31 December 2021 | 31 December 2020 |
---|---|---|
Available for sale | 30,333 | 33,774 |
At fair value through profit or loss | 3,216 | 2,825 |
| 33,550 | 36,599 |
For changes in investments available for sale and changes in investments at fair value through profit or loss see chapter 6.5.5.1 and chapter 6.5.5.2 respectively.
| 31 December 2021 | 31 December 2020 | ||||
---|---|---|---|---|---|---|
| Available for sale | Fair value through profit or loss | Total | Available for sale | Fair value through profit or loss | Total |
Fixed income investments | | | | | | |
Government bonds | 14,149 | - | 14,149 | 17,390 | - | 17,390 |
Corporate bonds | 10,827 | - | 10,827 | 11,817 | - | 11,817 |
Asset-backed securities | 530 | - | 530 | 404 | - | 404 |
Preference shares | 311 | - | 311 | 316 | - | 316 |
Rural property contracts | - | 215 | 215 | - | 143 | 143 |
| | | | | | |
Equities and similar investments | | | | | | |
Equities | 4,111 | 18 | 4,129 | 3,447 | 62 | 3,510 |
Real estate equity funds | - | 2,202 | 2,202 | - | 2,029 | 2,029 |
Mortgage equity funds | 398 | 781 | 1,179 | 393 | 590 | 983 |
Other participating interests | 7 | - | 7 | 7 | - | 7 |
| | | | | | |
Total investments | 30,333 | 3,216 | 33,550 | 33,774 | 2,825 | 36,599 |
The equities consist primarily of listed equities and investments in investment funds. Equities increased mainly as a result of additional investments and positive revaluations.
In 2021, government bonds decreased to € 14,149 million (2020: € 17,390 million) mostly due to negative revaluations and the disposal of government bonds. Cash collateral received on derivative instruments was reinvested into government bonds, cash collateral decreased due to increasing interest rate, therefore these government bonds were sold. For more information regarding cash collateral received see chapter 6.5.21.
For the real estate equity funds and mortgage equity funds for which a.s.r. has significant influence, being ASR DMOF, ASR DPRF, ASR DCRF and ASR Mortgage Fund, the exemption of IAS 28 was used, thereby measuring the investments at fair value through profit or loss and presenting them as a separate category within the investments at fair value through profit or loss. For a breakdown of the real estate equity funds ASR DMOF, ASR DPRF and ASR DCRF, and ASR Mortgage Fund see chapter 6.5.4.
All investments at fair value through profit or loss are designated as such by a.s.r. upon initial recognition. For more detailed information about the fair value valuation of the investments, see chapter 6.7.1.
Based on their contractual maturity, an amount of € 21,400 million (2020: € 23,681 million) of fixed income investments is expected to be recovered after more than one year after the balance sheet date. For assets without a contractual maturity date, it is expected that they will be recovered after more than one year after the balance sheet date.
| 2021 | 2020 |
---|---|---|
At 1 January | 33,774 | 31,893 |
Purchases | 13,516 | 14,366 |
Repayments | -6,658 | -7,824 |
Disposal | -9,805 | -5,816 |
Realised gains through profit or loss | 429 | 386 |
Revaluation recognised in equity | -845 | 786 |
(Reversals of) Impairments | -13 | -61 |
Amortisation | -110 | -189 |
Exchange rate differences | 46 | -98 |
Changes in the composition of the group | - | 331 |
| | |
At 31 December | 30,333 | 33,774 |
a.s.r. has bonds amounting to € 3,524 million (2020: € 3,844 million) and cash amounting to € 1,000 million (2020: € 1,450 million) (see chapter 6.5.12) that have been transferred, but do not qualify for derecognition. The majority of these investments are part of a securities lending programme whereby the investments are lent in exchange for a fee with collateral obtained as a security. The collateral furnished as security representing a fair value of € 5,383 million (2020: € 6,199 million) consists of mortgage loans and corporate and government bonds. See accounting policy S about securities lending.
Prior year changes in the composition of the group relates to the assets acquired through VvAA life and Veherex.
| 2021 | 2020 |
---|---|---|
At 1 January | -354 | -350 |
Increase in impairments through profit or loss | -16 | -63 |
Reversal of impairments through profit or loss | 3 | 2 |
Reversal of impairments due to disposal | 68 | 57 |
| | |
At 31 December | -300 | -354 |
The increase in impairments through profit or loss is related to impairments on equities and investment funds, there is no direct link to COVID-19 for these impairments. The reversal of impairments due to disposal mainly relates to the write-off of asset-backed securities and preference shares which were impaired in previous years.
| 2021 | 2020 |
---|---|---|
At 1 January | 2,825 | 2,831 |
Purchases | 336 | 306 |
Disposal | -64 | -277 |
Revaluation through profit or loss | 117 | -2 |
Transfer between investments on behalf of policyholders and investments | - | -34 |
Transfer between investments and investment property | 2 | 1 |
| | |
At 31 December | 3,216 | 2,825 |
The developments surrounding COVID-19 had an impact on the value of the retail property fund. The negative revaluation of retail property was mainly compensated by positive revaluations of residential property.
Purchases relate to purchases of interests in mortgage equity fund, real estate equity funds and rural property contracts. Disposals mainly relate to disposals of interests in real estate equity funds.