Summary: Skandinaviska Enskilda Banken AB (publ)

Well-diversified revenue base by geography and business areas, supporting capital generation. Large Nordic corporate and institutions business support several business areas. Stable earnings from Swedish retail and large corporate banking business. Concentration of comparably large single-name exposures. Cost efficiency is less than domestic peers, but is improving. Our stable outlook on Sweden-based Skandinaviska Enskilda Banken AB (SEB) balances increasing economic risks in SEB's core market with our view that the Swedish government will continue to support its domestic systemically important banks. The outlook also reflects our view that the bank will have a risk-adjusted capital (RAC) ratio sustainably above 10% over the next 18-24 months, consistent with our revised strong assessment of the bank's capital and earnings. Moreover, this incorporates

...Our stable outlook on Sweden-based Skandinaviska Enskilda Banken AB (SEB) balances increasing economic risks in SEB's core market with our view that the Swedish government will continue to support its domestic systemically important banks. The outlook also reflects our view that the bank will have a risk-adjusted capital (RAC) ratio sustainably above 10% over the next 18-24 months, consistent with our revised strong assessment of the bank's capital and earnings. Moreover, this incorporates our view that SEB's asset quality and loss experience will continue to be in line with that of its core Nordic peers. Our view is also underpinned by SEB's established franchise value that enables the bank to deliver consistently solid profitability metrics from its various business lines....

Summary