New analysis on Swedbank

Scope Ratings has updated its rating report on Swedbank, rated A+ with Stable Outlook

Swedbank’s ratings reflect the bank’s strong and low-risk franchise in Sweden, enjoying a low level of both impaired loans and credit impairment charges.

Swedbank is Sweden’s largest mortgage lender, with a 23% market share, and one of the country’s leading banks. It is also the market leader in the Baltic states. It has a very strong capital position and minimal problem assets, as well as a high level of profitability, supported by strong cost efficiency. The long-term ratings also reflect a degree of caution about Swedbank’s reliance on the real estate sector in Sweden for revenue and balance-sheet growth.

Like other Swedish banks, Swedbank depends on wholesale markets and corporate deposits for a considerable proportion of its funding. This is mitigated by access to the stable and well-tested covered bond market in Sweden, accounting for nearly one third of Swedbank’s funding.

For the detailed rating report, click here.

Scope Ratings has updated its rating report on Swedbank, rated A+ with Stable Outlook

Swedbank’s ratings reflect the bank’s strong and low-risk franchise in Sweden, enjoying a low level of both impaired loans and credit impairment charges.

Swedbank is Sweden’s largest mortgage lender, with a 23% market share, and one of the country’s leading banks. It is also the market leader in the Baltic states. It has a very strong capital position and minimal problem assets, as well as a high level of profitability, supported by strong cost efficiency. The long-term ratings also reflect a degree of caution about Swedbank’s reliance on the real estate sector in Sweden for revenue and balance-sheet growth.

Like other Swedish banks, Swedbank depends on wholesale markets and corporate deposits for a considerable proportion of its funding. This is mitigated by access to the stable and well-tested covered bond market in Sweden, accounting for nearly one third of Swedbank’s funding.

For the detailed rating report, click here.