Swedish Real Estate Conference 2023 | Moody's Investors Service | 30 November 2023 | Grand Hôtel, Södra Blasieholmshamnen 8, 103 27 Stockholm, Sweden

The bond market is currently technically inaccessible for most CRE companies for refinancing due to high interest rates and low investor interest, leading to a shift towards secured bank loans. However, banks are likely to be selective in who they lend to. Moreover, their substantial exposure to the CRE sector raises questions about their ability to maintain ratings and competitiveness. Sweden’s bond market has not been tested in a market downturn, raising uncertainties over what would happen to bondholders’ respective banks in a potential restructuring process for distressed or defaulted companies.

Governance risks from cross-ownership and majority-owned companies further limit access to capital, potentially requiring shareholders to share risk with banks.

Against this unsettled backdrop, we consider whether the CRE sector is in the eye of the storm, whether it will get worse before it gets better or whether it is at the beginning of the end of the current cycle.

2023 Speakers

Erik Thedéen
Governor, Riksbank

Henrik Braconier
Executive Director Of Banking, Swedish Financial Services Authority

Arvid Lindqvist
Fund Manager, Head Of Research, Catella

Niclas Boheman
Vice President - Senior Analyst, Emea Banking, Moody's Investors Service

Sarah Carlson
Senior Vice President, Sovereign Risk, Moody's Investors Service

Lisa Gundy
Vice President – Senior Covenant Officer, Corporate Finance Group, Moody's Investors Service

Maria Gillholm
Vice President - Senior Credit Officer, Corporate Finance, Moody's Investors Service

Daniel Harlid
Vice President - Senior Analyst, Corporate Finance, Moody's Investors Service

Sandra Veseli
Managing Director, Corporate Finance, Moody's Investors Service