Dividend policy
Liechtensteinische Landesbank pursues an attractive, long-term-oriented dividend policy for the benefit of its shareholders. Furthermore, under the StepUp2020 strategy, the LLB Group is committed to safeguarding its financial security and stability. It intends to keep risk-bearing capital at a Tier 1 ratio of over 14 per cent in accordance with Basel III. Against this backdrop, the payout ratio for shareholders should be 40 to 60 per cent of Group net profit.
The Board of Directors will propose a dividend that is 4.8 per cent higher than the previous year of CHF 2.20 per share (2018: CHF 2.10) at the 28th Ordinary General Meeting of Shareholders on 8 May 2020. Based on the share price as at the end of 2019, this corresponds to a dividend yield of 3.5 per cent. Total dividends to be paid out amount to CHF 67.0 million (2018: CHF 64.4 million). This represents a payout ratio of 54.3 per cent for 2019 (2018: 75.7 %).