Transaction Update: The Mortgage Society of Finland (Mortgage Covered Bond Program)

The cover pool comprises mortgage loans with low loan-to-value (LTV) ratios (cover pool LTV ratio of about 31%), which is lower than other specialized mortgage lenders in the Nordics. The program benefits from a public commitment to maintain a level of overcollateralization that is consistent with a 'AAA' rating. Liquidity risk is mitigated by the bonds' soft-bullet repayment profile. The cover pool's relatively low weighted-average seasoning compared with other Finnish covered bond issuers we rate. About 69% of the pool comprises housing associations, which we view as a higher risk to the program's creditworthiness than residential mortgages. S&P Global Ratings' stable outlook on its ratings on the mortgage covered bonds issued by The Mortgage Society of Finland ("Suomen Hypoteekkiyhdistys", or

...+ The cover pool comprises mortgage loans with low loan-to-value (LTV) ratios (cover pool LTV ratio of about 31%), which is lower than other specialized mortgage lenders in the Nordics. + The program benefits from a public commitment to maintain a level of overcollateralization that is consistent with a '###' rating. + Liquidity risk is mitigated by the bonds' soft-bullet repayment profile....

Transaction Update Report