Five things you need to know about our listing on Euronext

1. Triodos Bank has listed its share certificates on Euronext Amsterdam. What exactly does that mean? 

Let's start with the basics: share certificates are tradable securities that represent (part of) a share in a company. In other words, they are investment products. People who are interested in them can invest in them, have voting rights and can receive dividends. The price of a listed certificate is determined by supply and demand. 

Triodos Bank has been issuing share certificates since its foundation in 1980. A total of more than 14.2 million certificates have been issued, which are mainly held by private certificate holders. Until a few years ago, the bank had an internal system for trading certificates. Because this internal trading system became bogged down at the start of the coronavirus pandemic, the bank had to look for a new way to organise trading. Initially, this was done via a so-called multilateral trading platform, and since 18 June, trading has been taking place on Euronext Amsterdam. 

The main purpose of the listing with Euronext is to make it easier to buy and sell existing certificates. This makes them more accessible to the largest possible group of investors, not only private individuals but also, for example, pension funds and other institutional investors. 

2. Why did Triodos Bank issue certificates in the first place? 

This has everything to do with the capital we need to be a bank. A bank has roughly two main tasks. First, we hold our customers' savings. In the meantime (and secondly), we put those savings to work in the real economy. At Triodos Bank, your savings contribute to positive change and social impact. For example we do not use your savings to finance weapons, fast fashion or oil. Instead, we finance innovative healthcare initiatives, organic farming and the acceleration of the energy transition. 

In order to be able to lend savings to companies at all, a bank also needs its own capital. This is also known as risk-bearing capital. It serves as a buffer against losses, for example if a company is unable to repay a loan. Risk-bearing capital ensures that the bank can absorb such financial setbacks itself. This protects savers and other creditors. 

In other words, risk-bearing capital is extremely important for the health of a bank. One way to acquire this capital is by issuing (certificates of) shares to investors.  

3. How does a listing on Euronext contribute to attracting new investors and making the financial sector more sustainable? 

The listing enables Triodos Bank to attract more investors (both small and large) who want to invest in a bank that stays away from the oil, arms and animal testing with its loans and investments. The transition to a sustainable world and a new economy requires broad support. By being present on Euronext, we increase our brand awareness and make the Amsterdam stock exchange a little greener.  

A stock market listing also strengthens our mission to change the financial sector from within. After all, in order to achieve a new, sustainable economy, the financial system must also be overhauled. At Triodos Bank, we demonstrate that financial returns and social impact can go hand in hand. It is now up to us to prove that we can do the same as a listed company. This will send a strong signal to other financial institutions. 

4. What does this mean for Triodos Bank's sustainable mission? Is sustainability compatible with a stock market listing? 

We think it can be. As mentioned earlier, we expect to be able to make a greater sustainable impact in this way. Our articles of association are clear about our mission, and we have recently incorporated the B Corporation requirements into them, with the approval of the certificate holders. We also want to further develop the community of changemakers, of which Triodos Bank is a proud member, where customers, certificate holders and other stakeholders can work together to create a more sustainable, fairer and more socially equitable world. An independent foundation helps protect the bank from unwanted takeovers. This allows the bank to continue to focus on its mission: putting money to work for positive change. 

5. Where can I find more information on this topic? 

For more information about our listing on Euronext, please visit our investor relations website. On this site you will find a video, various informative documents and answers to frequently asked questions.