Investing in asset-backed real estate bonds
Discretionary mandates for institutional clients
Track record since 2018
17bn
co-invested (NOK)
37
transactions
0
defaults
Consistent returns
3.3%
2022
3.6%
2021
3.7%
2020
3.8%
2019
About us
Storebrand Private Debt manages an array of asset-backed portfolios with mandates of >NOK 50 billion to invest in asset-backed real estate, direct loans to Nordic LBOs, external debt funds and mortgage funds.
Our clients include Storebrand Life Insurance (Storebrand), SPP and various external institutional clients.
Currently, the discretionary mandates for external institutional clients are limited to Norwegian unlisted real estate bonds with fixed interest rates, and since inception in 2018 we have completed 37 transactions where external institutional clients and Storebrand have co-invested NOK 17 billion.
Since 2018, we have done 37 transactions investing NOK 17 billion in asset-backed loans and bonds.
Our investment strategy
Co-invest with Storebrand
Institutional clients co-invest with Storebrand, where Storebrand will have the largest exposure. The entire investment process is completed within the Storebrand Debt Investments team, which consists of sourcing, credit rating, structuring, negotiating, documentation, and follow up.
Our target is to achieve 2 percent credit spread above reference rate, and we only take moderate risk equivalent to investment grade.
Target and risk
Our target is to achieve 2 percent credit spread above reference rate. We only take moderate risk equivalent to investment grade.
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Target
- 2% credit spread above the reference rate
- Low probability of default with limited loss given default (recovery rate >95%)
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Risk profile
- Moderate risk, credit rating by Storebrand equivalent to investment grade
- Satisfactory combination of location, asset, rental contracts, tenants, and owner
- LTV based on market values: Initially ≤65% , default at >75%
- Priority security in the properties and the shares of the holding company
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Limitations
- Norwegian OTC real estate bonds
- Up to 10-year maturity
- Fixed interest
Storebrand Private Debt team
Our team consists of highly experienced professionals with extensive investment experience. The investment activity is spearheaded by the two fund managers Torstein Hagen and Arve Eidsvik, supported by Legal, analysts and Operations.
Torstein Hagen
Fund Manager
Joined Storebrand in 2011
Previous experience:
- DNB (5 years)
- ntna (3 years)
- NORD L/B (3 years)
- DnB NORD (6 years)
- MSc in Business (Siv.øk) from University of South Florida
- Executive Program ESMT
Arve Eidsvik
Fund Manager
Joined Storebrand in 2017
Previous experience
- Ministry of Finance (3 years)
- DNB (21 years)
- MSc in Business (Siv.øk) from NHH Norwegian School of Economics
- Chartered European Financial Analyst (CEFA / AFA)
Martin Hugo Starberg
Legal
Joined Storebrand in 2021
Previous experience
- Deloitte (2 years)
- Thommessen (4.5 years)
- Master of Law from University of Oslo
- Master of Maritime Law (LLM) from University of Oslo
- Admitted to the bar (2019)
Jesper Lenanader
Credit Analyst
Joined Storebrand in 2021
BSc in Finance from Palm Beach Atlantic University
Anders Huseby
Credit Analyst
Joined Storebrand in 2018
MSc in Business (Siv.øk) from BI Norwegian Business School
Kjersti N. Kvasnes
Senior Operations
Joined Storebrand in 1987
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