Nordea Bank Abp · OMXHEX:NDA_FI
Nordea Bank Abp — Q3 2024 Earnings Presentation
22 slides from Nordea Bank Abp's earnings presentation, Oct 17, 2024
Slide 1: Q3 2024 Debt investor presentation: Nordea Hypotek Covered Bonds
Slide 2: Table of contents
Table of contents 1. In brief 3 2. Cover pool key characteristics 6 3. Asset quality 9 4. Covered bond framework 13 5. Macroeconomy 6. Further information
Slide 3: 1. In brief
1. In brief
Slide 4: Covered bonds
Covered bonds Nordea covered bond operations Four aligned covered bond issuers with complementary roles Legislation Cover pool assets Cover pool size Covered bonds outstanding oc Issuance currencies Rating (Moody's / S&P) Outstanding green covered bonds Nordea Eiendomskreditt riLN Up Norwegian Norwe
Slide 5: Covered bonds rated Aaa by Moody's
Covered bonds rated Aaa by Moody’s
Slide 6: 2. Cover pool characteristics
2. Cover pool characteristics
Slide 7: Cover pool key characteristics
Cover pool key characteristics Q3 2024 Cover pool summary Loans in cover pool SEK 703.9bn Outstanding covered bonds SEK 348.3bn Cover pool content Mortgage loans secured by residential or commercial property. Loans to public sector Geographic distribution Throughout Sweden with concentration to urba
Slide 8: 4% 2% 13% 4% 11% 9% 38% 50% 16% 29% 6% 4% 14%
4% 2% 13% 4% 11% 9% 38% 50% 16% 29% 6% 4% 14% 8
Slide 9: 3. Asset quality
3. Asset quality
Slide 10: Loan to value distribution
Continuous distribution where each loan can exist in multiple buckets Loan To Value (LTV)* Q3 2024 Weighted Average LTV — Indexed — 53.9% 6645 100% 4949 74% Nominal % Residential Loans 9 69.6 49.6 327 "7 10% T% 5% 3% ee ee ees eee 0-40% 40-50% 50-60% 60-70% 70-80% Total 0-40% 40-50% 50-60% 60-70% 70
Slide 11: Loan structure
Loan structure Q3 2024 Rate type* Repayment* 100% + 100% 5 80% 4 80% + 60% 4 60% 4 7 = Floating rate = Amortising ™ Bullet / interest only 40% - mFixed rate 40% 4 20% + 20% + 0% + 23Q2 2303 23Q4 «=24Q1 = 24Q2_— 24Q3 23Q2 -23Q3)-23Q4 0 24Q1_S 24Q2)— 24Q3 0% + 11 “Excluding Public sector Nordea
Slide 12: Underwriting criteria
Underwriting criteria Private households + Track record and income checked via UC and Tink + Always household budget “before-after” with buffer requirement and stress test including behavioral analysis + Individual valuation of the pledged property Corporates/ Municipalities + Financial analysis wit
Slide 13: 4. Covered bond framework
4. Covered bond framework
Slide 14: Swedish covered bond framework
Swedish covered bond framework Legal framework + Swedish Covered Issuance Act (SFS 2003:1223), came into force 1 July 2004 and amended on 8 July 2022 in order to implement the European covered bond directive Registration + Anissuing institution is required to maintain a register on covered bonds, th
Slide 15: 5. Macroeconomy
5. Macroeconomy
Slide 16: Nordic economic development
Nordic economic development Activity picks up GDP Unemployment rate 140 4 index 2007Q1=100 GDP, level index 2007Q1=100[ °F 4¢ Unemployment vf” 1354 135 10 10 — Swed 1307 — Sweden pe 9 125 + —pDenmark " 125 5 120 7 Finland 120 7 us M5 og 105 105, 100 1000, | 954 sy 1 90 90 2008 2010 2012 2014 2016 20
Slide 17: Nordic economies
Nordic economies Precision play Policy rates 5.0 ty, 45 40 35 3.0 25 20 15 1.0 Os 0.0 -05 “1.0 Policy rates % 1°12°973°«214°:15°:'16«17-:«18:«19-« 20-21 22°23 24 25 26 —Sweden Norway — Denmark —Euro Area 5.0 Public balance/debt, % of GDP, 2024E (IMF) 150 ? 2o2ae ps Nocway q 100 8 7s * 50 Bra] commen
Slide 18: Households
Households Purchasing power is increasing, but from low levels Household debt Household savings 300 40% of disposable Household debt % of disposable[ 30° 20.0 4% of disposable Household saving rate 20.0 275 4income income} 275 47.5 Jincome 75 250 250 15.04 Sweden 15.0 ———— ~~ Norway 225 225 125 = De
Slide 19: Housing markets
Housing markets Brighter outlook Home prices Households’ credit growth 250 index, 2007=100 Home prices 250 15.0) iy Households’ credit growth % viv 225 225 125 10.0 2001 — sweden 200 7s 175 Norway 175 5.04 Denmark 25 150 Finland 150 0.0 125 125 25 -5.0 100 100 7S 75 75 40.0 07 08 09 10 11 12 13 14 1
Slide 20: 6. Further information
6. Further information
Slide 21: Nordea Hypotek — outstanding benchmark covered bonds
Nordea Hypotek — outstanding benchmark covered bonds Q3 2024 “Green bond Breakd by ISIN Serial no. Currency Amount (m) Maturity Coupon 5535 SEK 82800 17/09/2025 1% 5536 SEK 79227 16/09/2026 05% 5537 SEK 65 600 16/06/2027 1% 5731 SEK 6 000* 25/11/2027 3.375% 5538 SEK 59100 20/09/2028 3.5% 5733 SEK 6
Slide 22: Contacts
Contacts Investor Relations Maria Caneman Head of Debt IR and Ratings Tel: +46 10 156 50 19 Mobile: +46 768 24 9218 maria.caneman@nordea.com Group Treasury Cecilia Tannerfeldt Lead Dealer Tel: +46 8 407 9105 Mobile: +46 733 21 44 33 cecilia.tannerfeldt@nordea.com 2 Morten Kiel Head of Covered bonds