NIBC and AXA IM grow their cooperation

AXA Investment Managers (AXA IM) and NIBC Bank NV (NIBC) have been working together since October 2016 on an innovative strategy for the Dutch mortgage loans market. With this partnership, NIBC provides and services NIBC Direct mortgage loans with a long fixed interest rate period, a market in which there is high demand from borrowers.

AXA IM has invested more than EUR 3.5 billion (including commitments currently being originated) in Dutch residential mortgages originated by NIBC since this partnership began.

NIBC and AXA IM have now further strengthened their partnership with the offering of Dutch mortgage loans with broader features. Through this partnership, AXA IM invests on behalf of large institutional investors in selected Dutch mortgage loans originated by NIBC based on criteria agreed in advance between AXA IM and NIBC.

Demand for Dutch mortgages is supported by robust economics that continue to gain momentum, fuelled by strong consumer confidence, growing GDP and low unemployment. A shortage of available land and strict regulations, as well as supportive demographics, creates a structural imbalance between supply and demand which supports property prices in the Netherlands.

AXA IM’s Structured Finance investment team manages around EUR 38 billion  in AUM across the non-traditional credit spectrum. For more than 17 years, it has been providing bespoke solutions and investments in alternative credit and structured finance for large investors, typically looking for stable and predictable returns. AXA IM Structured Finance originates opportunities across the alternative credit spectrum to provide clients with opportunities for sourcing, diversification and spread pick-up.

Established in 1945, NIBC offers corporate and consumer banking activities, including residential mortgages and retail saving deposits. Since 2013, the NIBC Direct brand has provided mortgages compliant with the Dutch code of conduct for mortgages. NIBC distributes its mortgages through intermediaries that currently cover two-thirds of the Dutch mortgage market.