Investors

  • What is the rational for the one notch rating difference versus the Central Government for Moody’s?

    An upgrade could be contemplated once AFL has further stabilized its franchise, increased its market share, generated sustainable profit and accumulated capital.

  • What is the average duration of the loan portfolio?

    The average maturity of loans is 18 years, and because most of AFL’s loans are linear amortizing, the average duration is approximately 9 years.

  • Why does AFL issue bonds in other currencies than euro?

    In order to diversify its investor base and to optimize its funding cost. AFL does not have any loan denominated in any other currency than EUR.

  • Are your ESG issuances per project or for a pool

    ESG issuances are for a pool of loans. These loans are selected as per our methodology which is detailed in our Sustainability Bond Framework.

  • Why do you estimate that debt securities issued by AFL are 5 to 8% risk weighted?

    AFL’s member local authorities guarantee all the financial commitments undertaken by AFL up to the amount of loans AFL granted to them.

    However not all the member local authorities are 0% risk weighted (some are still 20%).

    Taking into accounts the guarantees from the ones that are 0% risk weighted leads to a risk weighting of the debt securities issued by AFL between 5 and 8%.

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