Chart S12-1 shows the growth of the net entrepreneurial income of financial corporations in the euro area. Net entrepreneurial income broadly equals net value added plus net interest plus dividends / profits of foreign subsidiaries (reinvested earnings) received and net (land) rents minus compensation of employees paid. Income created by financial intermediation between borrowers and lenders (FISIM) is recorded in value added and not as net interest.
Chart S12-2 shows the components of the net lending/borrowing of financial corporations, starting from net entrepreneurial income, all expressed as a percentage of gross domestic product. The main components of the net lending/borrowing of financial corporations are net entrepreneurial income on the resource side and dividends / "reinvested earnings" (profits imputed to foreign shareholders) on the uses side.
Chart S12-3 shows the financial decomposition of net lending / net borrowing calculated as the net acquisition of shares and other equity and the net acquisition of other financial assets minus the net incurrence of loans, the net issuance of shares and other equity and the net incurrence of other liabilities.
As for non-financial corporations, the net financial wealth of financial corporations is the ultimate property of the owners / shareholders of corporations, mainly households. It is then useful to analyse it before accounting for shares and other equity on the liabilities side. Chart S12-4 displays the growth of this "adjusted" net financial wealth together with the percentage point contributions of components.
Chart S12-5 shows the decomposition of the net financial wealth of financial corporations by financial instruments, both on the assets and liabilities sides all expressed as a percentage of the gross domestic product.
