SoFFin
Encyclopedia
The SoFFin is a program of the German government with the purpose to stabilize and restore confidence in the financial system. It was created in the middle of the Financial crisis of 2007–2010 on October 17 2008 by the German Parliament and enacted on October 20 2008 .
As of December 31 2010 it stopped offering new services but continued managing existing guarantees.
In November 2011, it was announced that it would be revived for potential new issues if necessary.
Initially it was established as an agency at the Deutsche Bundesbank
and was supervised by the federal ministry of finance. The fund was managed by Dr. Hannes Rehm (speaker), Dr. Christopher Pleister and Gerhard Strattthaus.
Operations were conducted through three tasks
The SoFFin may grant guarantees of up to 400bn euros and recapitalize or purchase assets for an additional 80bn euros.
In January 2011 the SoFFin was reorganized under the then created German Agency for the Stabilization of the Financial Markets FMSA .
As of December 31 2010 it stopped offering new services but continued managing existing guarantees.
In November 2011, it was announced that it would be revived for potential new issues if necessary.
Initially it was established as an agency at the Deutsche Bundesbank
Deutsche Bundesbank
The Deutsche Bundesbank is the central bank of the Federal Republic of Germany and as such part of the European System of Central Banks . Due to its strength and former size, the Bundesbank is the most influential member of the ESCB. Both the Deutsche Bundesbank and the European Central Bank are...
and was supervised by the federal ministry of finance. The fund was managed by Dr. Hannes Rehm (speaker), Dr. Christopher Pleister and Gerhard Strattthaus.
Operations were conducted through three tasks
- Providing Liquidity by means of guarantees for specially issued debt by eligible financial institutions
- Investing in Equity (recapitalization)
- Purchasing securities in open market operations
The SoFFin may grant guarantees of up to 400bn euros and recapitalize or purchase assets for an additional 80bn euros.
In January 2011 the SoFFin was reorganized under the then created German Agency for the Stabilization of the Financial Markets FMSA .
SoFFin guaranteed issues
| Issuer | Issue Date | ISIN | Amount Issued [€] | Coupon | Maturity |
| HYPO REAL ESTATE | 11/13/2008 | DE000A0XXY00 | 15,000,000,000 | 0.726 | 12/23/2009 |
| COMMERZBANK AG | 1/15/2009 | DE000CB896A7 | 5,000,000,000 | 2.75 | 1/13/2012 |
| HSH NORDBANK AG | 1/20/2009 | DE000HSH2539 | 3,000,000,000 | 2.75 | 1/20/2012 |
| BAYERISCHE LNDBK | 1/23/2009 | DE000BLB5N07 | 5,000,000,000 | 2.75 | 1/23/2012 |
| IKB DEUT INDUSTR | 1/28/2009 | DE000A0SMN03 | 2,000,000,000 | 2.875 | 1/27/2012 |
| SDB-SICHERUNGS | 2/5/2009 | DE000A0AD7F4 | 447,000,000 | 1.02 | 2/3/2012 |
| SDB-SICHERUNGS | 2/5/2009 | DE000A0AD7G2 | 223,000,000 | 1.02 | 2/3/2012 |
| DUESSELDORF HYP | 3/13/2009 | DE000DUS1S07 | 125,000,000 | 0.978 | 3/12/2010 |
| DUESSELDORF HYP | 3/13/2009 | DE000DUS2S06 | 125,000,000 | 1.031 | 3/11/2011 |
| IKB DEUT INDUSTR | 3/13/2009 | DE000A0SMN45 | 2,000,000,000 | 2.625 | 3/13/2012 |
| AAREAL BANK AG | 3/26/2009 | DE000AAR0041 | 2,000,000,000 | 2.625 | 3/26/2012 |
| IKB DEUT INDUSTR | 4/30/2009 | DE000A0SMN52 | 1,000,000,000 | 2.25 | 4/29/2011 |
| HSH NORDBANK AG | 5/11/2009 | DE000HSH27X2 | 3,000,000,000 | 2 | 5/11/2011 |
| HYPO REAL ESTATE | 5/14/2009 | DE000A0XFP11 | 5,000,000 | 0.683 | 5/15/2011 |
| COREALCREDIT | 6/2/2009 | DE000A0BVBN3 | 1,000,000 | 1.225 | 6/1/2011 |
| HYPO REAL ESTATE | 6/3/2009 | DE000A0XFP29 | 5,000,000 | 1.124 | 6/4/2012 |
| HYPO REAL ESTATE | 6/12/2009 | DE000A0Z1J14 | 5,000,000,000 | 3.772 | 6/12/2014 |
| COREALCREDIT | 7/13/2009 | DE000A0BVBQ6 | 1,000,000 | 2.02 | 7/13/2011 |
| HSH NORDBANK AG | 7/23/2009 | DE000HSH29Z3 | 3,000,000,000 | 2.25 | 7/23/2012 |
| IKB DEUT INDUSTR | 9/10/2009 | DE000A0SMN60 | 2,000,000,000 | 2.125 | 9/10/2012 |
| COREALCREDIT | 10/16/2009 | DE000A0BVBW4 | 15,000,000 | 0.823 | 10/4/2011 |
| COREALCREDIT | 11/2/2009 | DE000A0BVBX2 | 15,000,000 | 0.872 | 11/2/2011 |
| DT PFANDBRIEFBAN | 11/11/2009 | DE000A1A6PM3 | 5,000,000,000 | 0.768 | 6/30/2010 |
| DT PFANDBRIEFBAN | 11/11/2009 | DE000A1A6PL5 | 5,000,000,000 | 0.768 | 6/30/2010 |
| DT PFANDBRIEFBAN | 11/11/2009 | DE000A1A6PN1 | 5,000,000,000 | 0.768 | 6/30/2010 |
SoFFin Equity recapitalizations
| Institution | contracted amount [€] |
| Aareal Bank AG | 380,000,000 |
| Commerzbank AG | 18,200,000,000 |
| Hypo Real Estate Holding AG | 7,700,000,000 |
| WestLB AG | 3,000,000,000 |