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SEB vs Swedbank

Side-by-side credit pricing comparison from Pillar 3 disclosures.

Last updated: March 2026 · Data source: public Pillar 3 disclosures
Verdict:

On a representative BBB+ EUR 25M 5-year term loan, Swedbank is the cheaper lender by 4bp in minimum spread. For a EUR 25M facility, that's EUR 11,083 per year.

Bank profiles compared

Metric SEB
Sweden		 Swedbank
Sweden
IRB approachA-IRBMixed
Cost-to-income45.0%36.0%
Effective tax rate22.0%20.6%
Avg corporate PD0.85%1.87%
Avg LGD unsecured34.8%39.8%
Avg LGD secured18.0%21.1%
Funding spread (bp)12bp12bp
Corporate EADEUR 740bnEUR 727bn

Sample RAROC: BBB+ EUR 25M 5Y term loan

Both banks priced on the exact same deal — 150bp spread, 20bp commitment fee, 60-month maturity. Higher RAROC means the bank earns more from this deal. Lower min-spread means the borrower gets a better rate.

Component SEB Swedbank
Annual revenueEUR 385,000EUR 385,000
Operating costEUR 154,000EUR 154,000
Expected lossEUR 28,750EUR 28,750
Capital required (FPE)EUR 2,451,320EUR 2,451,320
RAROC (after tax)7.87%8.01%
Min spread for 12% RAROC236bp232bp
This is just one sample deal.

Your actual portfolio has different ratings, sizes, maturities, and collateral. The cheapest bank for one deal isn't always cheapest for another. Upload your real facilities and OpenRAROC will run the same calculation on each, against SEB, Swedbank, and 57 other banks.

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SEB full profile Swedbank full profile All banks RAROC methodology

FAQ: SEB vs Swedbank

Which bank is cheaper on corporate credit: SEB or Swedbank?
On a BBB+ EUR 25M 5-year term loan, Swedbank requires a minimum spread of 232bp to reach a 12% RAROC hurdle, versus 236bp at the other bank — a difference of 4bp on the same deal.
How do SEB and Swedbank compare on corporate PD?
SEB reports an EAD-weighted corporate PD of 0.85%, while Swedbank reports 1.87%. The gap reflects differences in obligor mix and geography rather than underwriting quality.
How do the two banks differ on IRB approach?
SEB uses A-IRB and Swedbank uses Mixed. The IRB approach determines whether internal LGD models or supervisory LGDs apply, which materially affects capital required on every corporate facility.
What deal is used in this comparison?
A single standardised facility: BBB+ rated, EUR 25M drawn on a EUR 30M commitment, 5-year tenor, 150bp spread, 20bp commitment fee. Both banks are priced on this exact deal using their own disclosed Pillar 3 parameters.