Interim Report January – March 2014

  · Net inflow totaled SEK 5,520 million (SEK 3,290 m), corresponding to 5 (4 %)
per cent of the total savings capital at the beginning of the year
  · The number of customers increased by 5 (3 %) per cent to 331,000 (316,500 as
of 31 December 2013)
  · The total savings capital increased by 8 (9 %) per cent to SEK 121,800
million (SEK 112,600 m as of 31 December 2013)
  · Operating income increased by 15 (–9 %) per cent to SEK 173 million (SEK 150
m)
  · Operating margin was 44 (36 %) per cent
  · The profit after tax increased by 44 (–25 %) per cent to SEK 65 million (SEK
45 m)
  · Earnings per share increased by 46 (–27 %) per cent to SEK 2.26 (SEK 1.55)
Comments from the CEO

”In March, our main event, Avanza Forum, was held for the ninth year in a row.
The increased interest in savings and investments was noticeable in our visitor
numbers, and we welcomed 5,000 visiting customers in the Ericsson Globe, a 40
percent increase compared with last year. We also continue to improve our
offering. During the quarter, we lowered the fees for trading on the U.S. stock
markets in response to the increased interest in American shares on behalf of
our customers and are now able to offer customers trading at less than a tenth
of the fees of some of the major banks.

Record-high customer inflow from the large banks

Historically speaking, the first quarter usually opens up on a positive note.
Many people review their savings situation facing the New Year. This usually
leads to increased activity and this year more than ever. We believe that the
launch of our new mortgage product, our new banking web site and an increased
market presence since the end of last year, have all created an increased
interest in our offering. Meanwhile, the economic climate has been favourable
with a long period of positive stock market development, in combination with low
returns in the interest rate market. Despite a certain degree of slowdown
towards the end of the quarter in conjunction with the instability in Ukraine
and Russia, we can look back at the best quarter in the history of Avanza in
terms of growth in new customers and net inflow. The net inflow of SEK 5.5
billion during the first quarter implied an increase of 68 percent and the
inflow of new customers totalling 14,500 represented a 63 percent increase
compared with the same period last year. The growth has continued during the
first two weeks of April with close to SEK 1 billion in net inflow and strong
customer inflow. Consequently, we have good hopes in our ability to exceed this
year’s long-term growth targets: an increase of 20,000–30,000 new customers and
securing at least 5 percent of the total net inflow to the Swedish savings
market.

Avanza Zero exceeds SEK 10 billion in assets under management

The strong inflow into mutual funds continues. Our most popular fund, Avanza
Zero, the fund with zero fees, has now passed the 200,000 savers mark, as well
as surpassing SEK 10 billion of assets under management. Meanwhile during the
latter part of the quarter, we could see that many customers now selling and
taking home their gains on Swedish index funds and biotech funds in favour of
fixed-income funds while waiting for signals as to where the market is headed.

Expansion within the sale of Occupational Pension and Private Banking

In the middle of January, we opened up the doors to our new office in Gothenburg
as an important step in our ambition to further our position within the
Occupational Pensions sector and within Private Banking. Simultaneously, we
extended our sales force within Occupational Pensions in Stockholm and have
thereby doubled our selling power compared with last year. With a geographically
expanded presence in western Sweden, we look forward to being able to maintain
our strong growth rate within Occupational Pensions and Private Banking.”

Stockholm, 15 April 2014

Martin Tivéus, CEO Avanza
For further information please contact:

Martin Tivéus, CEO
+46 (0)70 861 80 04
martin.tiveus@avanza.se

Birgitta Hagenfeldt, CFO
+46 (0)73 661 80 04
birgitta.hagenfeldt@avanza.se
Avanza is an Internet bank founded in 1999. The Parent Company, Avanza Bank
Holding AB (publ), is listed on the Stockholm Stock Exchange. Avanza’s vision is
that as a customer you will have more money in your pocket than if you banked
with other banks or institutions. The services include, amongst other things,
saving in shares, funds, savings accounts and a strong pension offering. Avanza
has more than 330,000 customers and more than SEK 120 billion in savings
capital. This is equivalent to just over 2 percent of the Swedish savings
market. Avanza is the largest in terms of the number of transactions of Swedish
banks on the Stockholm Stock Exchange. During the last four years Avanza has won
SKI’s (Swedish Quality Index) award, “Year’s Most Satisfied Savings Customers”.
For more information visit: www.avanza.se