”We can see that the conditions in the housing market have been impacted by the outbreak of COVID-19 given the far-reaching effects that the pandemic has had on society and the economy thus far. The housing market has been stable for a longer period, but there is a significant risk that new lock-in effects will be created in the market due to the macroeconomic climate. We are closely monitoring the situation and working together with the regional insurance companies to take action to ease the situation for affected customers. The financial performance of Länsförsäkringar’s mortgage lending operations was favourable during the quarter despite the circumstances. The credit quality of the mortgage portfolio remained very high and credit losses were unaffected and remained low. Despite the turbulence in the financial markets in the wake of the outbreak of COVID-19, the funding situation was favourable and the Swedish covered bond market has functioned well during the period”, says Anders Borgcrantz, President of Länsförsäkringar Hypotek.
”In summary, 2019 was another good year for Länsförsäkringar Bank. We are delighted to state that we remain the player with Sweden’s most satisfied bank customers according to the Swedish Quality Index. The solid performance of the business is continuing and our position as one of the leading retail banks in Sweden was further strengthened. Growth in business volumes for the year was high, whilst maintaining a healthy balance between savings and lending. Our market shares are continuously increasing, which is confirmation that we are a natural choice for customers in an ever more competitive market, but also a clear reflection of the tremendous work done by regional insurance companies, where our strong local presence is generating favourable results. Coupled with our strategy of being a leading player in the digital arena, we believe that this is one of the main reasons for the constant high level of customer satisfaction. During the year, we successfully implemented a new core banking system and launched our Open Banking platform. Going forward, this gives us greater ability to meet customers in the digital arena and opens more opportunities for developing the digital banking services of the future to continuously create security and added value for our customers”, says Sven Eggefalk, President of Länsförsäkringar Bank.