Nordea Bank Abp · OMXHEX:NDA_FI
Nordea Bank Abp — Q2 2024 Earnings Presentation
22 slides from Nordea Bank Abp's earnings presentation, Jul 11, 2024
Slide 1: Nordea Hypotek Covered Bonds
4 é ‘OF-presentation -, a bs 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 16 6. Further information 20 Nordea
Slide 3: 1. In brief
1. In brief Nordea
Slide 4: Covered bonds
Covered bonds Nordea covered bond operations 4 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 Nor
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 Nordea
Slide 7: Cover pool key characteristics
Cover pool key characteristics Q2 2024 Cover pool summary Loans in cover pool SEK 697.0bn Outstanding covered bonds SEK 401.6bn 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: Cover pool distribution charts
4% 1% 13% 4% 11% 9% 38% 50% 16% 30% 6% 4% 14% 8
Slide 9: 3. Asset quality
3. Asset quality Nordea
Slide 10: Loan to value distribution
Continuous distribution where each loan can exist in multiple buckets Loan To Value (LTV)* Q2 2024 Weighted Average LTV — Indexed — 54.2% 658.4 100% 488.5 74% Nominal % Residential Loans 69.0 495 334 183 11% 8% 5% 3% eee es eee 0-40% 40-50% 50-60% 60-70% 70-80% Total 0-40% 40-50% 50-60% 60-70% 70-80
Slide 11: Loan structure
Loan structure Q2 2024 Rate type Repayment 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 100% 90% 80% 70% 60% = Floating rate 50% = Amortising ‘ m Bullet / interest only mFixed rate 40% 30% 20% 10% 0% 23Q1 = 23Q2)—-23Q3 23Q4) = 24Q1— 24Q2 23Q1 .23Q2)-23Q3)-23Q4) 0 24Q1_ Ss 24Q2 u 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 Nordea
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 Nordea
Slide 16: Nordic economic development
Nordic economic development Continued normalisation GDP Unemployment rate 149 Jindex 2007Q1=100 GDP, level Index 2007Q1=100 140 " * Unemployment % " 135 135 0 sweden | 130 | =Sweden pr 8° "] ° ras | horney. : 125 120 | —Fintand f (| 74 7 15 15 6 6 110 Ty nos s 105 \ 105, a 4 100 (Ze V 100 3 3 9s JA~
Slide 17: Nordic economies
Nordic economies The policy rate cutting cycle has commenced Policy rates 5.0 ty, 45 40 35 3.0 25 20 18 1.0 Os 0.0 -05 “1.0 Policy rates 14°15 —Sweden 161718 19 20 21 2223 24 25 Norway — Denmark —Euro Area 5.0 Public balance/debt, % of GDP, 2024E (IMF) 150 25 100 7s Fiscal Balance, % of GDP. Denmark
Slide 18: Households
Households Purchasing power is increasing, but from low levels Household debt Household savings 300 1% of disposable Household debt % of disposable| 0° 20.0 1% of disposable Household saving rate 20.0 275 income income}. 975 17s lincome 175 250 250 150 Sweden 150 225 225 125 =venmerk 125 200 200 10.
Slide 19: Housing markets
Housing markets Stabilisation process Home prices Households’ credit growth 250 250 15.0 15.0 Index, 2007=100 Home prices \% v/y Households’ credit growth % y/y| [3m moving average 125 125 225 225 10.0 10.0 200 ——~ | 200 —Sweden 75 7s a5 | —Nerway Ws 5.0 5.0 TPenmark 25 25 —Finlan 150 150 oo oo Denm
Slide 20: 6. Further information
6. Further information Nordea
Slide 21: Nordea Hypotek — outstanding benchmark covered bonds
Nordea Hypotek — outstanding benchmark covered bonds Q2 2024 “Green bond Breakd by ISIN Serial no. Currency Amount (m) Maturity Coupon 5534 SEK 58017 18/09/2024 1% 5535 SEK 82800 17/09/2025 1% 5536 SEK 78550 16/09/2026 05% 5537 SEK 63 350 16/06/2027 1% 5731 SEK 6 000* 25/11/2027 3.375% 5538 SEK 58 3
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