BackAlternative performance measures (APMs)
| Average assets | Definition | The average sum of total assets for the year, calculated as a daily average. |
| Justification | This key figure is used in the calculation of percentage ratios for the performance items. | |
| Calculation | Average sum of total assets* | |
| LTV (Loan to value) | Definition | A customer's loan amount as a percentage of market value** of the collateral. |
| Justification | This key figure provides information about the asset ratio in the lending portfolio and is relevant for evaluating the risk of loss. | |
| Calculation | Weighted average LTV is calculated by weighting each LTV by the respective loan amount, and then dividing the sum of the weighted LTVs by the total loan amount. | |
| Over-collateralisation | Definition | Over-collateralisation, calculated as the difference between value of the eligible cover pool and the value of the outstanding covered bond loan debt, relative to the value of outstanding covered bond loan debt (reporting the lowest value of either market value or nominal value). |
| Justification | This key figure provides information about the ratio between outstanding bond loans and the underlying eligible collateralised assets. | |
| Calculation | Eligible collateralised assets -Debt securities issued * 100 Debt securities issued | |
| Figures | 30.09.2022: (29,424-24,184)/24,184*100 = 21.2 % | |
| 30.09.2021: (32,261-28,926)/28,926 = 11.6 % | ||
| 31.12.2021: (30,694-25,603)/25,603*100 = 19.9 % |
*This figure is based on daily calculations in the accounting system, and is not directly reconcilable against the Statement of financial position.
**Market value is obtained from external AVM company (Eiendomsverdi AS).