Our strategy involves reliance on a stable funding structure that fits our risk appetite and allows for diversification among investors, products and currencies. We operate primarily in the euro market and Nordic markets, but we are able to source funding in many countries and currencies. This includes regular issues in EUR-benchmark format, both covered bonds and non-preferred senior, as well as the domestic USD market in 144A format. We supplement benchmark issues with private placements of bonds.
Further, the Nordic currencies are an important source of funding. From time to time we issue in GBP, JPY and CHF as well as in other currencies when market conditions allow. Issuing subordinated debt in additional tier 1 capital or tier 2 capital format may cover a part of the funding need. However, the issuance plans for subordinated debt are driven by balance sheet growth and redemptions on one hand and our capital targets on the other.
Funding 2016 - 2020E