Swedish FSA, Debt Office dispute Riksbank covered bond stance

Nov 27th, 2015
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Sweden’s FSA and National Debt Office have questioned the rationale behind proposals from the Riksbank that would tighten its rules on the use of covered bonds as repo collateral, and disputed that certain structural risks and vulnerabilities are not reflected in covered bonds’ ratings.

Moody’s upbeat on Sweden, but warning on boom

Nov 13th, 2015

Moody’s has improved its outlook on the Swedish banking system from negative to stable, citing the positive impact of strong economic growth on asset quality and profitability, but the rating agency also warned of the consequences of a housing boom.

SEB in solid book for Eu1bn sevens as euros beat kronor

Oct 30th, 2015

Skandinaviska Enskilda Banken (SEB) built a “rock solid” order book for a Eu1bn long seven year covered bond issue on Monday, according to an official at the Swedish issuer, who said the euro market continues to offer more attractive pricing terms and volume access than its domestic market.

Rate cuts stymie Swedish third quarter profits, but positives seen

Oct 23rd, 2015

Third quarter results of the big four Swedish banks came in below consensus expectations this week, with the impact of persistently low interest rates on net interest income (NII) and weak capital markets cited as contributing to the weaker than expected performance.

Swedbank £350m deal reopens sterling covered, offers attractive funding

Oct 23rd, 2015

Swedbank Hypotek reopened the sterling covered bond market after two months without benchmark supply on Wednesday, and although the FRN was priced 10bp wider than preceding deals an official at the issuer said the sterling market still offered attractive funding.

Moody’s: Swedish move positive

Oct 2nd, 2015
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A Swedish government plan to introduce a legislative 2% minimum overcollateralisation level – prompted by EU derivatives clearing regulations – would be credit positive for covered bonds, according to Moody’s.

Swedish government plans 2% OC minimum to meet EMIR criteria

Sep 25th, 2015
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The Swedish government is proposing to introduce a 2% minimum overcollateralisation requirement in legislation so the country’s covered bonds will meet the criteria necessary for exemption from central clearing obligations for OTC derivatives under the European Market Infrastructure Regulation (EMIR).

S&P positive as Swedish amortisation plan finally approved

Sep 18th, 2015

Revived plans to introduce compulsory amortisation requirements for new mortgage loans in Sweden could enhance Swedish covered bonds’ credit quality, according to Standard & Poor’s.

Riksbank holds fire, but more QE, possibly covered, anticipated

Sep 4th, 2015
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Sweden’s Riksbank kept the repo rate unchanged at minus 0.35% yesterday (Thursday), although market participants still expect the central bank to engage in further monetary policy measures over the coming months.

Reactive Stadshypotek £300m FRN shows sterling possibilities

Aug 14th, 2015

Stadshypotek sold a £300m three year FRN covered bond on Monday, proving that the sterling market is an appealing option for issuers and printing at a tighter price than could have been achieved in the domestic market, according to bankers.