Toten Sparebank’s A- issuer rating reflects a strong market position in its local area in south-east Norway, resilient profitability, and sound solvency position. As a savings bank, the group continues to focus on retail customers in its local area with residential mortgages accounting for over 70% of lending. Despite the economic disruption caused by the pandemic, the group reported a return on equity of 10% for the nine months ending 30 September 2021.

Like with other Norwegian banks, Totens Sparebank relies to some extent on market funding, including covered bonds. Customer deposits account for about half of funding. At the same time, the group maintains a high-quality liquidity portfolio well in excess of upcoming maturities within the next twelve months.

This monitoring note does not constitute a rating action, nor does it indicate the likelihood of a credit rating action in the short term. The latest information on the credit ratings in this monitoring note along with the associated rating history can be found on www.scoperatings.com.

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