The NL Mortgages team
Nl Mortgages consists of 2 investment professionals positioned in Amsterdam. The team has a diverse background and strong capabilities of managing investments in Dutch Mortgages.
NL Mortgages
Dutch residential mortgages provide an interesting risk & return proposition. The limited expected loss and the possibility to originate ‘green’ mortgages makes this an attractive type of investment for our portfolios. It also offers diversification benefits compared to other fixed income asset classes and the long-term investment horizon matches that of our pension fund's liabilities. Besides this, mortgage investments are closely correlated to movements in interest rate (swaps) and thus contribute to the liability hedge of our pension fund assets.
3
Billion euros AUM*
2
Investment professionals
Mortgages provide a long term investment horizon. The risk profile for Dutch mortgages has commonalities with the liability structure of pension fund liabilities.
Our investment principle
Our investment process
We invest in mortgage portfolios through direct origination and through portfolio acquisitions. There are several ways to invest in the Dutch residential mortgage market. For this strategy, we invest in mortgage portfolios through direct origination or portfolio acquisitions.
When we invest through direct origination, we look for a partner who acts as the point of contact for the consumer. This partner will offer their mortgage product in the market. More investors can invest in mortgage loans provided under the label. The mortgage lender can have an in-house mortgage department (such as the large Dutch insurers and banks), but can also outsource the administrative work to third parties.
When we purchase a portfolio from a mortgage lender, we create an investment that is very similar to direct provision. The buying process allows an investor to select (and analyze) a specific portfolio. The purchase of a portfolio can be used to invest in a portfolio that offers a specific maturity or credit profile. In the case of a portfolio takeover, the origination has already taken place, but a mortgage servicer is required for the ongoing maintenance of the loans, and for example, providing further advances to existing customers.
Read more about our investment process.