Sumitomo Mitsui Financial Group 2021 Financial Overview
SMBC covered bond: Investment highlights
The SMBC Covered Bond Programme offers an opportunity to gain exposure to one of the highest quality
asset classes in Japan with a top notch rating.
Historically, Japanese banks have not been active in the secured market due to absence of dedicated
covered bond legislation. Our contractual framework will satisfy key covered bond requirements for
investors and enable SMBC to gain access to broader capital markets and to further diversify its investor
base.
Solid Credit of SMBC
• Strong and diversified earnings capability
• Sound loan portfolio
Robust liquidity
• Sound capital position
• High credit ratings
Robust Residential Loan Market of Japan
Japan's strong and stable economy
Solid growth
High gross national savings
Low unemployment rate
• Low household debt to net disposable income
• Stable housing market with low delinquency
• Robust RMBS market
SMBC
Covered
Bond
• SMBC's robust residential loan underwriting
and risk management framework
• Dual recourse to segregated cover pool and SMBC
• Cover pool consisting of AAA-rated Japanese self-
originated RMBS
• Daily collateral top-up
• 25% minimum OC
Attractive Product Structure
Copyright © 2021 Sumitomo Mitsui Financial Group.
All Rights Reserved.
61View entire presentation