Nordea Bank Abp · OMXHEX:NDA_FI
Nordea Bank Abp — Nordea Eiendomskreditt — Debt Investor Presentation (2024)
22 slides from Nordea Bank Abp's debt investor presentation, 2024
Slide 1: Q4 2023 Debt investor presentation: Nordea Eiendomskreditt Covered Bonds
@4 2023 Debt investor presentation Nordea Eiendomskreditt 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 15 6. Further information 20 Nordea
Slide 3: 1. In brief
1. In brief Nordea
Slide 4: Covered bonds: Nordea covered bond operations
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: Nordea Eiendomskreditt — overview
Nordea Eiendomskreditt — overview Q4 2023 it 100% owned subsidiary of Nordea Bank Abp - the largest Nordic financial institution “gS The purpose of the Issuer is to acquire and provide residential mortgage loans and finance its activities mainly through issuance of covered bonds =] Financial Underta
Slide 6: 2. Cover pool characteristics
2. Cover pool characteristics Nordea
Slide 7: Cover pool key characteristics
Cover pool key characteristics Q4 2023 Feoverpetsumma Loans in cover pool NOK 313.6bn Outstanding covered bonds NOK 195.8bn Cover pool content Mortgage loans secured by Norwegian residential collateral Geographic distribution Throughout Norway with concentration to urban areas Asset distribution 100
Slide 8: Cover pool key characteristics (2)
Cover pool key characteristics (2) Q4 2023 Cover pool balance by loan category = Summer houses 4% ™ Tenant owner units 31% ® Single family ‘ houses _ | 65% Cover pool balance by region West 20% South 6% | North 5%_~ Mid 9% East 60% Nordea
Slide 9: 3. Asset quality
3. Asset quality Nordea
Slide 10: Loan To Value (LTV)
Loan To Value (LTV)* Continuous distribution where each loan can exist in multiple buckets Q4 2023 Weighted Average LTV — Indexed — 55.9% en 100% Nominal 3136 % Residential Loans . 654 ena 882 38% 45.0 ; 515 14% 17% 12% 20% moe oe me oe = 0-40% 40-50% 50-60% 60-70% 70-80% Total 0-40% 40-50% 50-60% 6
Slide 11: Loan structure
Loan structure Q4 2023 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 2293 Rate type 22Q4 = 23Q1 23Q2 2393 2304 = Floating rate mFixed rate 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 2293 2204 Repayment 23Q1 23Q2 2393 23Q4 = Amortising m Bullet / interest only 11 Nordea
Slide 12: Underwriting criteria
Underwriting criteria Regulation Mortgages are regulated in “Utlansforskriften” which sets requirements on borrowers’ debt to income, rent sensitivity, instalments and loan to value Repayment ability * Nordea’s credit decision is based on the customer.s repayment ability and collateral is always tak
Slide 13: 4. Covered bond framework
4. Covered bond framework Nordea
Slide 14: Norwegian covered bond framework
Norwegian covered bond framework Legal framework + Financial Undertakings Act (Act. No. 17 of 10 April 2015, Norwegian: Finansforetaksloven), which was recently amended on 8 July 2022 to implement the European Covered Bond Directive Registration and independent inspector + Amortgage credit instituti
Slide 15: 5. Macroeconomy
5. Macroeconomy Nordea
Slide 16: Nordic economic development
Nordic economic development Soft landing GDP Unemployment rate 140 Tindex 2007Q1=100 GDP, level Index 2007Q1=100] ‘4° "1% ‘Unemployment wl 135 10 430 | —Sweden ° Norway 125 7 = Denmark s 120 | —Finland 7 us 6 110 5 5 105 , a a 100 | AY a 3 a oo ; Sweden — Norway — Denmark — Finland ; 2008 2010 2012
Slide 17: Nordic economies
Nordic economies Past the peak Policy rates 5.0 4s 40 35 3.0 25 20 15 10 os 0.0 -05 “10 7 % Policy rates 0.0 “05 1.0 12° 13° 14°15" «16 17 1B 19 «20 «2 22 23 2a” 25 == Sweden == Norway == Denmark == Euro Area Public balance/debt, % of GDP, 2024E (IMF) 150 ; 20246 125 Norway 10.0 7S Wreland 251 venma
Slide 18: Households
Households Adapting to higher interest rates Household debt % of disposable] 30° incomel|. 275 300 49% of disposable 275 fincome Household debt 250 250 225 225 200 200 175 175 150 150 125 125 100 ee 100 75 75 so —Sweden — Norway — Denmark — Finland 50 2002 2004 2006 2008 2010 2012 2014 2016 2018 202
Slide 19: Housing markets
Housing markets Still under pressure from high interest rates Home prices Households’ credit growth 0 0 o 25 Index, 2007=100 Home prices index, 2007100) * 01 iy Households’ credit growth vy) 3m moving average 25 125 225 225 10.0 10.0 200 7s 7S 1s 50 5.0 25 25 150 0.0 + 0.0 425 -25 25 -5.0 5.0 100 75
Slide 20: 6. Further information
6. Further information Nordea
Slide 21: Covered bonds — outstanding volumes
Covered bonds — outstanding volumes Domestic benchmark in NOK ISIN Amount, M Currency Amount, MNOK Noog10843628 32.387 NOK 52387 Noo910852650 6 000 NOK 6.000 Nooo10873334 ‘30009 NOK 30.000 Nooo10893282 25.000 NOK 25.000 Nooo10981301 27 400 NOK 27.400 Noo02115171 7.000 NOK 7.000 Nooo12513532 23 809 N
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 Fredrik Dahllof Senior Dealer Tel: +46 8 407 90 69 Mobile: +46 721 45 75 56 fredrik.dahllof@nordea.com 2 Morten Kiel Head of Covered bonds Tel:
Nordea Eiendomskreditt — Debt Investor Presentation (2024) on 6ix