Transaction Update: Sparbanken Skane (Mortgage Covered Bond Program)

The cover pool comprises residential mortgage-backed loans with lower loan-to-value (LTV) ratios than the maximum allowed by legislation. Low portion of loans that pay interest-only until maturity. Relatively low percentage of tenant-owner rights. Relatively higher share of floating-rate assets than only floating-rate covered bonds positively affects the program's excess spread in a higher interest rate environment. The program benefits from a public commitment to maintain an overcollateralization level that is consistent with the rating. Cover pool payments received before an issuer insolvency could be commingled with the issuers' insolvent estate as these are not registered in the cover pool. No liquidity coverage of 180 days. The issuer's business focus is concentrated in South Sweden. Lower seasoning than other Swedish covered

...+ The cover pool comprises residential mortgage-backed loans with lower loan-to-value (LTV) ratios than the maximum allowed by legislation. + Low portion of loans that pay interest-only until maturity. + Relatively low percentage of tenant-owner rights. + Relatively higher share of floating-rate assets than only floating-rate covered bonds positively affects the program's excess spread in a higher interest rate environment....

Transaction Update Report