Nordea Bank Abp · OMXHEX:NDA_FI
Nordea Bank Abp — Nordea Eiendomskreditt — Debt Investor Presentation (2023)
22 slides from Nordea Bank Abp's debt investor presentation, 2023
Slide 1: Nordea Q3 2023 Debt investor presentation
Nordea Q3 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: Nordea covered bond operations
Nordea covered bond operations Q3 2023 Nordea Eiendomskreditt Nordea Hypotek Nordea Kredit Nordea Mortgage Bank Four aligned covered >» . > bond issuers with 4 . 4 complementary roles A Up of UD a . Legislation Norwegian Swedish Danish Finnish Cover pool assets Norwegian residential mortgages ‘Swedi
Slide 5: Nordea Eiendomskreditt — overview
Nordea Eiendomskreditt — overview Q3 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 Q3 2023 Feoverpetsumna Loans in cover pool NOK 245.9bn Outstanding covered bonds NOK 174.3bn 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) Q3 2023 Cover pool balance by loan category = Summer houses 3% = Tenant owner units 31% ™ Single family houses 5 66% Cover pool balance by region West 19.1% _~ South 5.2% __, North 4.4% / Se Mid 8.6% East 62.6% 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 Q3 2023 Weighted Average LTV — Indexed — 49.2% 2459 oye 100% Nominal % Residential Loans . 688 28% 462 58.4 49.1 19% 24% 20% 10% 24 Bu mm = Bua Ef . 0-40% 40-50% 50-60% 60-70% 70-80% Total 0-40% 40-50% 50-60%
Slide 11: Loan structure
Loan structure Q3 2023 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% - Rate type 22Q2 2293 2224 23Q1 23Q2 2393 m Floating rate mFixed rate 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 22Q2 2293 Repayment 22Q4 = 23Q1 23Q2 2393 = Amortising mBullet / 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 New interest rate environment GDP development Unemployment rate n n 140 Tindex 2007Q1=100 GDP, level Index 2007Q1=100 mo % Unemployment % 135 135 10 10 430 | —Sweden [~~ 130 94 ° Norway WA 125 | —penmark —— 125 e e 120 | —Finlane! {ort 120 7 7 0 TO nos / —™ . 105, - -\ 10
Slide 17: Nordic economies
Nordic economies Higher for longer interest rates Policy rates Public balance/debt, % of GDP, 2023E (IMF) tel” Poti * 20235 8° olicy rates Norwa 40 25 “er 25 as 3.0 a 20 20 8 25 S15 15 2 20 2 #10 10 1s 5 \reland 10 10 =e? wa Netherlands ‘aust Portugal Spain United States ° os os Zo Eintang Austria °
Slide 18: Households
Households Heavy steps Household debt Household savings 300 19% of disposable Household debt % of disposable[ 30° 20.0 ty of disposable Household saving rate 20.0 275 income income|. 275 175 income 175 250 250 15.0 —Sweden Norway 225 225 2s —benmark 200 200 10.0 —Fintand 175 7s 7s 150 150 5.0 125 12
Slide 19: Housing markets
Housing markets Higher interest rates imply downside risks on the housing market Housing prices Households’ credit growth 250 1 dex, 2007=100 Housing prices index, 2007-100] *°° 19.0 464 iy Households’ credit growth vyiyp 2° 3m moving average 25 125 225 225 10.0 10.0 200 7s 7S 175 5.0 5.0 25 25 150
Slide 20: 6. Further information
6. Further information Nordea
Slide 21: Covered bonds — outstanding volumes
Covered bonds — outstanding volumes Domestic benchmark in NOK Amount, ISIN ‘Amount,M Currency MNOK NO0010843626 33.254 NOK 33.254 NO0010852650 6.000 NOK 6.000 NO0010873334 20000 NOK 20000 NO0010893282 20000 NOK 20000 NO0010981301 27400 NOK 27.400 No0011151771 7.000 NOK 7.000 NO0012513532 23 800 NOK
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 (2023) on 6ix