ING Group, one of our European Financial holdings rallied significantly this month, up 20% after reporting better than expected quarterly earnings and the sale...

ING Group, one of our European Financial holdings rallied significantly this month, up 20% after reporting better than expected quarterly earnings and the sale of an 11% position in NN Group that was worth 1 billion euros. ING is a dominant Benelux regional banking franchise with an average 25% market share positions in their core markets. It has illustrated consistent net interest income margins over time and has excess capital. Following their recent NN Group sale, ING still remains a 54% shareholder of the group, which they have stated they will exit over time. The bank's current Basal Three Tier one capital ratios stands at 11.5% which is above the 10% hurdle expected for the industry. We expect as the year progresses that the dividend payout ratio will increase, currently ING has a 40% payout ratio which equates to a 4% dividend yield and trades at a discount to its book value.