Summary: Nordea Banking Group Jun 11
- ID: 1859638
- June 2011
- Standard & Poors
The ratings on the banking operations of Nordic financial services group Nordea reflect the group's consistent strategy, which has resulted in successful integration; Nordea group's relatively solid earnings from its core banking operations; and well-diversified funding profile. The group's capitalization is adequate given its current risk profile, in Standard & Poor's Ratings Services' view. We believe Nordea is well positioned to benefit from a normalization of interest rates over the next two years as the current economic expansion in Sweden, Norway, and Finland continues. However, for the group to materially increase its earnings power, a trend shift in corporate and public-sector credit demand would need to occur, in our view. Private and public investment activities are likely to remain subdued...
Companies mentioned in this report are:
- Nordea Bank AB
- Nordea Bank Norge ASA
- Nordea Bank Finland PLC
- Nordea Bank Danmark A/S
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