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 Q4 2022 Debt investor presentation
Nordea Q4 2022 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 Eiendomskreditt Nordea Hypotek Nordea Kredit
Nordea Eiendomskreditt Nordea Hypotek Nordea Kredit Nordea Mortgage Bank • • • Open
Slide 5: Nordea Eiendomskreditt — overview
Nordea Eiendomskreditt — overview * A100% owned subsidiary of Nordea Bank Abp * The purpose of the Issuer is to acquire and provide residential mortgage loans and finance its activities mainly through issuance of covered bonds * — Issues also green covered bonds * Loans are originated by Nordea Eien
Slide 6: 2. Cover pool characteristics
2. Cover pool characteristics Nordea
Slide 7: Cover pool key characteristics
Cover pool key characteristics Q4 2022 | Cover pool summary Pool notional NOK 245.1bn Outstanding Covered Bonds NOK 147.9bn 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 2022 Cover pool balance by loan category = Summer houses 3% = Tenant owner units 28% ® Single family houses 69% Cover pool balance by region West 19% ® South 5% @ North5% m East 62% = Mid9% Nordea Open
Slide 9: 3. Asset quality
3. Asset quality Nordea
Slide 10: LTV buckets Nominal (NOKbn)
LTV buckets Nominal (NOKbn) % Residential Loans >0 - <=40 % 71.4 47% >40 - <=50 % 47.1 17% >50 - <=60 % 57.3 17% >60 - <=70 % 48.1 14% >70 - <=80 % 21.2 6% Total 245.1 100% 10 Open
Slide 11: Floating vs fixed rate and amortisation
100% 100% 90% 90% 80% 80% 70% 70% 63% 62% 62% 63% 63% 63% 60% 60% 98% 98% 98% 98% 97% 98% Floating rate Amortising 50% 50% 40% Fixed rate 40% Bullet / interest only 30% 30% 20% 20% 37% 38% 38% 37% 37% 37% 10% 10% 2% 2% 2% 2% 3% 2% 0% 0% 21Q3 21Q4 22Q1 22Q2 22Q3 22Q4 21Q3 21Q4 22Q1 22Q2 22Q3 22Q4 11
Slide 12: Underwriting criteria
Underwriting criteria Regulation * Mortgages are regulated in "Boliglansforskriften" which sets requirements on borrowers’ debt to income, rent sensitivity, instalments and loan to value. Affordability * Customer's ability to service its commitment out of its cash flow/income is critical + Repayment
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 institut
Slide 15: 5. Macroeconomy
5. Macroeconomy Nordea
Slide 16: Nordic economic development
Nordic economic development Nordic outlook pressured by higher inflation, interest rates and energy prices GDP development Unemployment rate 1 135 Jindex 2007Q1=100 GDP, level Index 2007Q1=100 135 inc ‘Unemployment % " " 10 10 130 7 sweden F7 {2° A ~ 125 N K x. 125 9 9 120 Vor 120 84 re ——_\ 6 H 6 1
Slide 17: Nordic economies
Nordic economies Interest rates set to peak in 2023 Policy rates Public balance/debt, % of GDP, 2023E (IMF) aoty 40 200 Norway . 200 A , jorwa 2023E a5 Policy rates : 35 175 - 175 3.0 } > 3.0 15.0 15.0 67 ee a 25 +e 25 gs 125 3100 20 *L 20 S. 10.0 15 15 g 75 78 te te 5 50 treland 50 Ss Denmark Sos N
Slide 18: Households
Households Households pressured by high interest rates and inflation Household debt 300 49% of disposable 275 fincome 250 225 200 175 150 125 100 75 50 % of disposable income Household debt —Sweden — Norway — Denmark — Finland (0203 04°05 06 07 08 0910 11. 12°13.14°15 16°17 18 19°20 21 22° 300 275 2
Slide 19: Housing markets
Housing markets Higher interest rates is cooling off hot Nordic housing markets Housing prices Households’ credit growth 0 0 o 250 1 ex, 2007100 Housing prices index 2007100)“ 01 iy Households’ credit growth xy 225 |3m moving average 225 125 Sweden Rs 10.0 10.0 200 7s 7S 175 5.0 5.0 25 25 150 oof oo
Slide 20: 6. Further information
6. Further information Nordea
Slide 21: Outstanding covered bonds by ISIN
ISIN Currency Amount (NOKm) Maturity Coupon (%) NO0010789266 NOK 2 932 2023-05-23 FRN NO0010819717 NOK 13 483 2023-06-21 FRN NO0010843626 NOK 38 900 2024-06-19 FRN NO0010873334 NOK 20 000 2025-03-19 FRN NO0010678766 NOK 600 2025-05-08 3,6 NO0010593064 NOK 550 2025-06-18 4,8 NO0010893282 NOK 19 700 2
Slide 22: Investor Relations and Group Treasury
Investor Relations Maria Caneman Debt IR and ratings Mobile: +46 738 66 17 24 Tel: +46 10 156 50 19 maria.caneman@nordea.com Group Treasury Ola Bladholm Morten Keil Chief Treasury Manager Head of Covered Bonds Tel: +46 101 56 1389 Tel: +45 3333 1875 Mobile: +46 702 69 6532 Mobile: +45 6177 3100 ola.
Nordea Eiendomskreditt — Debt Investor Presentation (2023) on 6ix