Corporate Treasury
Funding
NIBC's funding policy is aimed at achieving an adequate diversification of funding sources spread across products, markets and currencies. The primary source of our funding is the issuance of debt securities through both private placements and public offerings. Corporate deposits and retail funding are other important funding sources.
Funding programmes
The Corporate Treasury team is responsible for the short- and long-term funding of NIBC through several funding programmes. These programmes give NIBC the flexibility to issue securities of all sizes and currencies through a variety of financing structures, including equity-, credit-, inflation-, interest- and currency-linked notes. Funding is raised across the world in all major currencies and in all maturities.
NIBC has several funding programmes:
- Under the Euro Medium Term Note (EMTN) programme, we issue securities, subject to a maximum aggregate outstanding principal amount of EUR 20 billion. At the end of 2008, the outstanding amount was EUR 8.4 billion. Under this programme NIBC has issued several Dutch Government Guaranteed Bonds since December 2008;
- Through the Euro Commercial Paper (ECP) programme, the bank issues short-term commercial paper, subject to a maximum aggregate outstanding principal amount of EUR 3 billion. At the end of 2008, NIBC had no outstanding amount under this programme;
- NIBC oversees a Domestic French Commercial Paper (French CP) programme and an Australian Dollar Medium Term Note (AMTN) programme;
- Through the Covered Bond (CB) programme, signed in May 2008, we issue covered bonds with prime Dutch and German residential mortgages as collateral, subject to a maximum aggregate amount of EUR 7 billion. At the end of 2008, NIBC had EUR 0.7 billion outstanding under this programme. NIBC's programme is comparable to the Covered Bond programmes of other Dutch financial institutions.
NIBC's programmes allow for both private and public issues and are flexible in size and maturity of issues.
See right for more information on the bank's funding activities.
Corporate Deposits
The Corporate Deposit team is responsible for raising corporate deposits from clients and other third parties. NIBC offers deposits and saving accounts against attractive levels and is flexible in terms of size and maturity.
Retail Funding
In September 2008, NIBC launched NIBC Direct, a complete range of online retail savings products. For more information please visit www.nibcdirect.nl.
RMBS
The RMBS market is another source of funding for the bank, managed by the structuring team within Specialised Finance.
NIBC has been active in the Dutch RMBS market since 1996 and has successfully closed 18 securitisations. At the end of 2008, the outstanding amount of bonds and notes issued was EUR 6.7 billion.