S&P Global Ratings affirmed its 'AA+' issuer credit rating (ICR) on Minnesota Housing Finance Agency (MHFA). The outlook is stable. The ICR reflects our view of the following: High-quality loan portfolio, reflecting high asset quality, with program mortgage-backed securities (MBS) representing about 75% of loans outstanding and very low exposure to nonperforming assets (NPAs); A good financial strength ratio, including a five-year (2017-2021) average of 17.3%, well in line with the rating category benchmark; Steady profitability, as measured by net interest margin relative to the entire loan portfolio including MBS, at a five-year average of 1.23%; Stable loans (including MBS)-to-asset base of about 80% in recent years; A conservative investment strategy, as evidenced by the continued acquisition of low-risk assets
