A stable, well-functioning financial market for allA stable, well-functioning financial market for allReports
2025
Legal Position: Rule interpretation for deposits via digital platforms
An increasing number of banks and other credit institutions are offering savings via digital deposit platforms. This makes them more vulnerable since the deposits volume could decrease rapidly. FI notes in a report that some of the institutions do not sufficiently consider these risks, in part when calculating the liquidity buffer required for such deposits. A legal position specifies how we will interpret the rules.
Household savings in Sweden
Swedes hold a large amount of financial assets, but the distribution of these assets is very uneven. Most Swedes hold a small amount of financial assets, while 5 per cent of the population holds approximately half of all assets. Few have direct savings in shares or funds. Those with large loans can be vulnerable to weakened economic conditions and therefore in general have a greater need for a financial buffer. FI’s data indicates that many mortgagors hold a small amount of assets, at least with the same bank where they have their mortgage.
2024
AI increasingly common in the financial sector, but risk management is lagging behind
The new generative AI technology has spread rapidly and extensively throughout the Swedish financial sector. At the same time, the work to manage the risks accompanying the new technology is lagging behind. These are FI’s findings following a survey of firms’ use of AI.
FI proposes enhanced preventive work in efforts to prevent investment fraud
An increasing number of consumers are falling victim to investment fraud. In a report to the Government, FI proposes, among other things, enhanced work to prevent investment fraud.
Financial education continues to be important for strengthening consumers
Many people find it difficult to make decisions about their finances. The majority of Swedes understand financial terms but are not knowledgeable about how these concepts impact their own finances. Finansinspektionen (FI) is releasing a report today that evaluates the authority’s work with financial education and identifies a number of areas where deficient financial literacy could impose significant risks on the consumer.
Two expert reports on macroprudential policy measures
Amortisation requirements, the LTI ratio, and the LTV cap are macroprudential policy tools that are used in Sweden and many other countries. But what are the potential effects of these borrower-based measures? To answer to this question, Finansinspektionen commissioned two expert reports on the topic.
FI identifies transition risks in banks’ lending portfolios
There are climate-related transition risks in Swedish banks’ lending portfolios. This is the conclusion of an analysis Finansinspektionen (FI) conducted by linking lending to individual firms to emissions data from firms that are included in the EU Emissions Trading System.
Fraud prevention in payment services
Fraud is a major and expanding societal problem that fosters organised crime. FI supervises that payment service providers follow the provisions set out in the Payment Services Act that aim to prevent fraud. Payment service providers do a lot to prevent their payments services from being used for fraud, but this problem is still growing.
FI would like the financial market to shift its sustainability work into the next gear
There is a lot of work left to do before the financial market fully contributes to a sustainable economy. For example, firms need to be better at identifying and integrating sustainability risks. One condition for this is that they have the right competence in sustainability-related matters. Firms also are responsible for preventing their operations from being used for criminal purposes. These are several of the conclusions we draw in our sustainability report that is being published today.
FI prioritizes particularly vulnerable sectors to combat money laundering
Money laundering is a global problem that allows criminals to transact large sums of money without revealing their illegal activities. In order to counteract the risk of money laundering, FI has identified a number of areas where the risks are assessed to be particularly large and that we will have an extra focus on during the year.
Comprehensive overview is important when changing the conditions on the housing market
FI has received an assignment from the Government to assess an increase in the loan-to-value (LTV) cap from 85 to 90 percent. At the same time, the Government proposes phasing out the tax deductibility for unsecured loans. We assess that an increase in the LTV cap would lead to higher household indebtedness and an increase in associated risks. This assessment holds even if interest rate deductions for unsecured loans are phased out. We also take the position that it is appropriate to await the results of the ongoing inquiry into both the LTV cap and the amortisation requirement and consider any changes to the measures comprehensively.
2023
Open finance in Sweden
Digitalisation introduces both opportunities and risks to the financial market. After conducting a new survey, FI has noted that broader regulation on how customer data can be shared with third-party providers could make it easier for consumers to compare financial products such as occupational pensions and mortgages.
Report: Banks’ administration of amortisation requirement exemptions
Finansinspektionen has conducted a survey into banks' administration of amortisation requirement exemptions, as an assignment from the government. The survey shows that banks have primarily handled amortisation requirement exemptions well. Banks have improved their procedures for handling exemptions, which have increased due to increased pressure on households' finances and more widespread knowledge within society about the possibility of receiving an exemption. The banks' improved procedures are an adjustment to this change.
Is there a need for supplementary and gadget insurance?
Consumers’ need for supplementary insurance differs by age. Younger consumers have a greater need for this type of insurance, while older consumers often have little need for it. The need for gadget insurance is limited, and there is often no need for it at all. These are the conclusions of an in-depth analysis conducted by Finansinspektionen (FI).
2022
Swedish Consumer Credit
A large portion of Swedish households’ loans is for their homes. But the households also use loans to finance some of their consumption. Consumption credit has grown rapidly in recent years. In terms of SEK, unsecured loans represent the largest share of consumer credit. In terms of volume, invoices are the most common form of consumer credit. These are some of the conclusions from Finansinspektionen’s (FI) survey of new consumer credit with data from 2021.
Finansinspektionen’s strategy to prevent greenwashing
FI’s strategy for preventing greenwashing in the financial sector aims to safeguard the trust in sustainable investments and a sustainable finance market.
Roadmap for sustainable finance
In 2019, FI’s overarching mandate was expanded to include a responsibility to ensure that the financial system contributes to sustainable development. FI is also the responsible supervisory authority for a number of new regulations related to sustainable finance that are the result of the EU’s ambitious sustainability agenda.
Borrower-based measures following high inflation and rising interest rates
Changing or pausing the amortisation requirements is not an accurate or appropriate measure for helping the households with the greatest need for financial support to handle their higher costs. This is the conclusion of FI’s evaluation of how the amortisation requirements impact households with lower incomes and small margins in today’s difficult economy.
Funds with sustainable investment as its objective
The Swedish Financial Supervisory Authority, Finansinspektionen (FI) has conducted an in-depth analysis of how managers of funds registered in Sweden that have sustainable investment as its objective (so-called Article 9 funds) meet the requirements on sustainability-related disclosures in the pre-contractual information they must provide to investors.
Do loyal policyholders pay more?
Finansinspektionen has analysed whether loyal policyholders pay higher premiums for the three non-life insurance products that are most important for consumers: home insurance (contents), home insurance (building) and private car insurance. The analysis shows that premiums for home insurance (contents) are raised significantly more for loyal customers than for new customers. The premiums for home insurance (building) also are raised more for loyal customers, but this does not apply to private car insurance.
2021
Swedish Consumer Credit
One of Finansinspektionen’s (FI) assignments is to promote a high level of protection for consumers on the financial markets. FI does this in part by conducting an annual survey of new consumer credit. The survey helps enhance our understanding of consumer credit and the risks it entails for borrowers. Loans and loan service payments have a major impact on household finances. For a borrower with an average income that takes out a large consumer credit, the monthly payment for the interest and amortisation payments can correspond to the payment of a significantly larger mortgage.
Overall assessment of macroprudential measures
Since 2010, FI has implemented a number of macroprudential measures aimed at increasing the resilience in the financial system and subduing the risks associated with high and rising household debt. These measures include tightening the capital requirements on banks and introducing a mortgage cap and two amortisation requirements. In this report, we present an overall assessment of these measures, with a focus on the measures that, via lenders, place restrictions on households’ mortgage borrowing.
Liquidity tools in UCITS and special funds
Finansinspektionen concludes in a new report that fund managers need access to additional tools to manage liquidity risks in Swedish UCITS and special funds. We consider there to be a certain type of swing pricing that could be used already today. The report outlines a suggestion for how to regulate this and other liquidity management tools in legislation and regulations. FI takes the position that Swedish UCITS only need to be open for redemptions once a week. We suggest that the funds instead only need to be open for redemptions twice a month.
Sustainability Report 2021 – the climate in focus
Finansinspektionen has an assignment to promote the financial system’s contribution to sustainable development. The sustainability report outlines the current sustainability issues that are related to the financial sector and lists examples of what FI is working on in this area.
Cyber threats and financial stability – FI’s roll and assignments
In recent years, a number of legislative proposals and other initiatives have been presented to strengthen the financial sector’s resilience to cyberattacks. Given this background, Finansinspektionen has prepared a memorandum to describe FI’s role in terms of contributing to strong cyber security and its work to prevent cyber threats to the Swedish financial sector.
2020
Swedish Consumer Credit
Even though consumer credit only constitutes a small portion of households’ total credit, the interest rate and amortisation payments for these credits amount to more than half of the households’ total debt service payments. The analysis also shows that individual consumers are having difficulty paying for their consumer credit. Overall, this means that the consumer credit market could impact many households, which makes it important for consumer protection on the financial markets.
2019
FI’s work to combat money laundering and terrorist financing
Finansinspektionen (FI) strengthened its anti-money laundering supervision in 2019, in part by dedicating considerable resources to reviewing major Swedish banks’ governance and control of anti-money laundering measures in Baltic subsidiaries.
Swedish loans for consumption
The majority of consumption loans (non-mortgage loans) are small and have a high interest rate and a short maturity. However, it is households with large loans that represent the largest share of new lending, and these loans are growing at the fastest rate. The households with the highest income take out the largest loans. If the interest rate increases, many borrowers will need to use a large part of their income to make their interest and amortisation payments. This is evident in Finansinspektionen’s (FI’s) analysis of consumption loans, Swedish Consumption Loans.
The Commercial Real Estate Market and Financial Stability
The commercial real estate market plays a key role in financial stability. The financial position of commercial firms is currently satisfactory, but many firms are vulnerable to higher interest rates and weaker economic growth.
Personal injury claims handling – a follow-up review
Insurance undertakings have taken steps to develop IT systems, customer communication and quality assurance since FI published its previous report on personal injury claims handling in 2017.
2018
Integration of sustainability in corporate governance
Sustainability-related risks and opportunities do not differ from the other risks and opportunities that can be linked to financial firms’ operations. Therefore, sustainability should not be managed in limited areas of corporate governance, but rather be an integral part of corporate governance as a whole. In this survey, FI studied how financial firms describe their management of sustainability aspects in corporate governance and how these aspects are integrated into the operations.
FI’s Use of Macroprudential Tools
Household debt is not primarily a direct threat to financial stability. However, if the economy takes a turn to the worse, many households may be forced, or even choose, to reduce their consumption in order to continue to be able to pay off their loans. This could exacerbate a crisis and threaten financial stability, determines FI in a report on FI’s use of macroprudential tools.
Consequences of Brexit for the Swedish financial market
Brexit will become a reality when the UK leaves the EU on 29 March 2019. This will change conditions for cross-border trade in financial services to and from the UK. FI describes in this report its analysis of a number of significant economic and legal aspects related to Brexit.
Swedish loans for consumption
Most loans for consumption are small and have a high effective interest rate and a short maturity. Households with large loans represent the largest share of new lending, though, and the large loan segment is growing the fastest. Households with high income have the largest loans. Borrowers with mortgages normally have larger consumption loans than borrowers without mortgages. These are some of the results from FI’s mapping of consumption loans, Swedish Consumption Loans 2018.
2017
Conclusions from FI’s analysis of personal injury claims handling
The outcome of personal injury claims can have a considerable effect on the injured party. Some injured parties do not have confidence for the claims handling process at insurance undertakings. Given the total number of personal injury claims, there are relatively few complaints regarding claims handling.
FI establishes an innovation centre
FI is establishing a fintech innovation centre that will provide information to and maintain a dialogue with companies conducting innovation-based business. This centre and additional initiatives are presented in FI's report to the Government regarding an assignment.
Proposed capital requirement regulation for undertakings for occupational retirement provision
Finansinspektionen (FI) received a mandate from the Government to propose a capital requirement regulation for undertakings providing occupational retirement. The objective is to provide comprehensive protection for consumers (beneficiaries) while at the same time enabling effective management of occupational pensions.
Reporting of insurance firms (Summary)
Finansinspektionen (FI) has identified extensive quality deficiencies in the reporting of insurance firms. These deficiencies are a sign that the internal governance and control of many of the firms’ reporting procedures are unsatisfactory. Through this document, FI provides guidance for insurance firms for how they can strengthen their reporting procedures.
Swedish banking requirements for financial stability should be safeguarded
The design of the Swedish regulations for capital adequacy and crisis management is appropriate for reducing the risk of financial crises and ensuring effective management if a crisis were still to occur. This is the conclusion reached by Finansinspektionen (FI) and the Swedish National Debt Office in a joint report. The report emphasises that Sweden should safeguard national discretions in the framework of banking requirements in ongoing EU negotiations.
2016
How can the financial sector contribute to sustainable development?
Finansinspektionen is publishing today two reports on sustainability. Together, they serve as the report to the Government that FI was tasked with earlier in the year on the continued work with sustainability issues, how these issues are linked to financial regulation and supervision and how supervision can contribute to sustainable development in a constructive manner.
A necessary step for a better savings market
FI believes that independent financial advice would play an important role on the savings market, since consumers are at an information disadvantage in relation to producers of saving products while at the same time having to take more responsibility for their financial future.
Terrorism financing
The national risk assessment regarding the financing of terrorism that was published in June 2014 identified a need to increase knowledge and awareness about the financing of terrorism.
Climate changes and financial stability
Sweden and Swedish financial institutions have small exposures to climate risks. This means that the current risk that climate changes will cause problems for financial stability is low. However, there is a need for more information as well as improved transparency surrounding climate-related risks within the sector. Financial institutions also need to develop stress tests and analyses in order to identify what kind of consequences could arise from these risks and how such consequences could be prevented.
2015
Environmental and sustainability perspectives in credit granting to companies
Finansinspektionen (FI) has been commissioned by the Government to report on the bank's internal rules regarding credit granting to companies from the perspective of the environment and sustainability. If necessary, FI shall present proposals for measures that can be included in the banks' credit granting process to promote such a perspective.
Crowdfunding in Sweden
Alternative forms of funding can have a positive effect on the competition in and efficiency of the financial market by enabling more projects to find funding even if, for example, banks are not willing to grant a loan. However, crowdfunding introduces certain risks for consumers.
2014
Enforcement of financial information
2014-10-15 | Reports
Finansinspektionen (FI) is responsible for ensuring that enforcement of periodic financial information is of high, consistent quality.
2013
Bank interest rates and lending, Q3 2013 (Summary)
In this report, Finansinspektionen (FI) describes the banks' adaptations to higher capital requirements and the effects on households and non-financial firms.
Bank interest rates and lending, Q1 2013 (Summary)
2013-05-28 | Reports
The development of the margins of new mortgages slowed during Q1 2013. Both the banks' funding cost and households' lending rate for new mortgages continued to fall during the quarter.
2012
Bank interest rates and lending, Q4 2012 (summary)
Both the banks' funding cost and lending rates to households and corporations fell sharply during the fourth quarter of 2012 while the banks' margins on new mortgages increased slightly. Lending to Swedish corporations and households increased during the fourth quarter, but at a slower rate than before. During 2013 Finansinspektionen (FI) will investigate potential measures for how credit institutions can increase the awareness of their customers for how the actual lending rates for mortgages are determined.
Bank interest rates and lending, Q3 2012
Swedish banks have already largely adapted to the forthcoming requirements regarding capital adequacy and access to liquidity. The stricter requirements involve a cost, but also help improve stability in the financial system. On the whole, the forthcoming requirements will generate positive effects for the national economy.
Bank interest rates and lending, Q2 2012
The growth rate of lending to households and corporations is decreasing, but remains positive and is clearly higher than the corresponding figure for the eurozone. Banks' margins on mortgages increased in the same period, according to the second quarterly report.
Market risks management
During 2011, Finansinspektionen (FI) investigated how 11 financial companies market risks management. ‘Market risk’ refers to the risk of loss-incurring value changes in assets and liabilities due to fluctuations in interest rates, foreign exchange rates, stock prices and commodity prices.
Bank interest rates and lending, Q1 2012
In order to strengthen financial stability and avoid future financial crises, new regulations for the banking sector are being prepared. The regulations include higher capital adequacy requirements.
Investigation into high frequency and algorithmic trading
High frequency trading contributes to – but is not responsible for – changes in trading. But there is still considerable concern that market abuse has increased and supervision is insufficient. These are the main conclusions from Finansinspektionen’s investigation.
2011
Bonuses: Are companies following the rules?
Finansinspektionen (FI) received an assignment from the Government to report on the implementation of the EU Recommendation on remuneration in the financial services sector, the measures taken to ensure compliance with the new rules and how affected companies have adapted to the recommendations.
2010
2009
Unwarranted concern for account fraud
The concern for being victimised by account fraud is greatly unwarranted, according to FI’s survey of 2,898 private persons. The survey, conducted during 2008, found that an estimated 1 per cent of the adult population was defrauded that year. The majority, 84 per cent, of those with claims were fully or partially refunded. The expectations of being refunded were considerably lower, however.
The insurance barometer (2009:12)
The insurance barometer, at a total level, summarises the outcome of the insurance companies’ reporting to Finansinspektionen using the traffic light model and solvency for the last five six-month periods.
The households’ financial capability
The majority of the Swedish households have a strong personal financial position and save for the long-term. Most of them have access to a bank account and payment services and three out of four pay by the Internet. This is according to the responses of 1,309 households regarding personal finances. The survey was conducted for FI by Svenskt Kvalitetsindex during the first quarter of 2009.
The banks’ lending for commercial real estate in Sweden
Based on input reported statistical material, we find that the current financial crisis has yet to make any obvious impression in the form of insolvency and credit losses in lending for commercial real estate.
The banks’ financial advice and the law
The overall conclusion is that there is a good census of opinion between bank customers and advisors about how the advisory service should work. Both advisors and customers feel that the advice lives up to the legal requirements.
Insurance intermediaries. In the borderland between marketing and mediation
During 2008, FI has conducted a survey of the insurance intermediaries’ operations. The survey has covered 850 insurance intermediaries who have answered a questionnaire containing questions about the operations.
Follow-up of technical provisions within life insurance
We can conclude that several insurance companies (life insurance companies and occupational pension funds) have deficits in their technical provisions and that the primary reason is an underestimation of the policyholders’ life expectancy rates.
How firms have complied with the new securities regulations
The investment firms have made active efforts to adapt to the new regulations for the securities market, the so-called MiFID regulations. This is according to FI’s major review of banks and investment firms during 2008. The investigation has resulted in viewpoints on several areas, many of which aim at strengthening consumer protection.
Complicated financial instruments in occupational pension funds
The occupational pension funds* predominantly have no large holdings or concentrations of complicated financial instruments.
Reclassification of financial assets
Five out of eight banks investigated utilised new opportunities to assess certain financial assets at amortised cost instead of fair value in connection with the interim reports for Q3 2008.
2008
Investment fund annual reports
Finansinspektionen (FI) can conclude that, on the whole, the annual reports reviewed comply with the regulatory requirements – but that improvements can be made in terms of some of the contents. The information in the annual reports shall enable mutual fund investors to assess the fund’s performance as well as provide a basis for fund comparisons.
The insurance companies’ routines for assets covering technical provisions
Our investigation of some 20 insurance companies shows that the companies are managing their register of assets covering technical provisions in a satisfactory manner.
Suitable TV insurance
Consumers are often offered product insurance when they purchase electronic products. If the consumer accepts, the insurance agreement is printed out and signed in the store.
On the way to new European insurance regulations
We are facing great challenges in the insurance sector. A previously typically national, tightly regulated and protected market has been internationalised and subjected to competition. In addition to this is the EU’s overall ambition to create a genuinely inte-grated and common financial market. The aim is to increase competition and effi-ciency, thereby increasing growth and welfare in Europe. The new regulations for sol-vency calculation, Solvency 2, are an important step along the way. This is going to lead to improved methods for analysis and governance of the companies’ risks.
IT disruptions at a constant, high level
IT disruptions are increasing at some companies and decreasing at others. On the whole, the number of disruptions remains at a constant, high level.
A changing pension market
The competition on the life insurance market is increasing. The pensions based on collective bargaining constitute an increasing share of the total life insurance market. Changed tax regulations are affecting motives and opportunities to take out insurance or supplement private insurances. Other types of investment are challenging life insurance companies and that creates new insurance products with a limited insurance element. FI has surveyed the procurement of supplementary pensions for salaried employees and analysed risks that procurements can entail for a changing pension market.
Processing of complaints in the financial sector II
All of the 150 companies contacted report that they have routines for processing complaints. This is a significant improvement compared with the survey that Finansinspektionen conducted in 2005.
FI tightens control of insurance groups
Finansinspektionen has reviewed 51 companies that did not report that they are a part of an insurance group. The result was that 47 of these companies were a part of an insurance group and should thereby have reported to FI. These companies have been informed that they are supposed to report for the year 2007.
Allocation of surplus in traditional life insurance
It is not unusual that as much as one-fourth or more of a final pension is comprised of additional amounts that are based on surpluses. It is therefore significant how the company distributes its surplus to the customers.
Not everyone can pay
Not everyone has access to payment services such as giro services or internet banking. It is mainly people with a record of non-payment and those without Swedish civic registration or coordination numbers who lack access to such services. Those who are denied payment services are forced to pay their bills through the banks’ counter service which incurs high costs and is time inefficient.
Children’s insurance – a review of information and compensation
Parents who have a seriously ill child are entitled to compensation through the Swedish Social Insurance Administration. Those who choose temporary parental benefits can jeopardise their right to compensation from their child’s sickness and accident insurance.
The responsibility for the payment system
That the payment system functions and can withstand both internal andexternal incidents such as fire, flooding, power failures, etc. is of greatimportance to the national economy.
Market turmoil and the Swedish banks
The Swedish banks have managed relatively well in the international turbulence prevailing on the financial markets. The four major banks made record profits in 2007 and they all have good financial strength. There are, however, risks in the near future as well as in the long-term. Although these risks are relatively serious, no individual risk is considered to pose a threat to the stability. FI continues to closely monitor the development.
Valuation of unlisted holdings in investment funds
Finansinspektionen can conclude that there is a need for broader guidance in terms of the fund management companies’ routines to valuate assets that are not traded on a regulated market.
Evaluation of securities settlement in Sweden in 2007
The financial markets have several important functions. They convert savings into investments, supply tools for risk management and offer payment services. Securities transactions are essential for all three functions. Securities acquisitions are a way of investing while pledging securities is a way of reducing credit exposure risks.
Market turmoil and the Swedish investment funds
The turmoil on the financial market has caused declining values and large net outflows in certain Swedish investment funds. Furthermore, some securities have become more difficult to value. According to this investigation, the fund management companies have taken actions to satisfactorily deal with this matter.
Trading activities in banks and investment firms
According to Finansinspektionen’s investigation, eight scrutinised banks and investment firms primarily have good routines for managing and appraising the trading risks for products that are difficult to assess. However, more can be done in some areas. The undertakings should improve their routines for independent assessment and control of traders’ prices. Some of the undertakings should allocate more resources for their risk control in order to attain a stronger position in terms of business.
Covering of technical provisions in ten insurance companies
Finansinspektionen has investigated the covering of technical provisions at ten insurance companies. All of the companies had assets that covered the companies' liabilities for technical provisions for the policyholders, in other words full coverage of technical provisions. The assets were also invested in accordance with legal requirements.
SMS loan companies to routinely identify their customers
The SMS loan companies report that they have improved their routines to identify their customers after an investigation by Finansinspektionen.
2007
Action plan for retail investors - a 10-point action plan
Consumer protection problems on the financial market often derive from the consumer’s significant disadvantage vis-à-vis the firm in terms of information. The government’s assignment is to find different ways to level out these types of inequalities. This entails ensuring that financial firms produce relevant information that is presented to the consumer so it can be easily understood. It also entails improving the consumers’ possibilities for finding, understanding and applying relevant information. Educational and informational activities are important parts of this assignment.
The benefit statements of pension companies still vague
The benefit statements for pension savings have not notably improved since Finansinspektionen’s review in 2006. A standard insurance vocabulary that would improve comprehension of the benefit statement is still lacking and many companies still specify fees that consumers pay for pension savings as a lump sum. In addition, too few pension companies explain in simple terms for their investors that the entire sum of the pension capital is not guaranteed.
Insurance companies handle some traffic injuries too slowly
Since Finansinspektionen’s review in 2005, insurance companies have taken some measures to shorten handling times for traffic injuries. Despite these measures, this study shows that there is still more progress to be made andthat companies in some cases are unnecessarily slow.
Insurance companies handle some traffic injuries too slowly
Written share offers not covered by prospectus rules improved slightly over the past year. The information contained in these offers is generally still of low quality, but the total value of unregulated share offers continues to be relatively small. The results of this study have not led FI to propose an increase to the prospectus obligation threshold or national regulations for offers not covered by the prospectus rules.
Standard terms and conditions for financial services
Report in accordance with the 2007 letters of appropriation forFinansinspektionen and Konsumentverket
Government bond market – the need for regulation and supervision
This report discusses Finansinspektionen’s view on the need for regulation andsupervision in the government bond market. FI’s level of ambition in thesupervision of the fixed income market has long been lower than that of itssupervision of the stock market. The reasons for this are primarily historical andno well-documented analysis exists. The need for such an analysis has arisen asthe supervision of financial markets has developed in Europe. In conjunctionwith the introduction of MiFID (the EC Markets in Financial InstrumentsDirective) the need for regulation and supervision in the fixed income markethas been discussed at European level.
Hedge funds and private equity firms - The exposure of banks and insurance companies
Hedge funds and private equity firms have grown in significance in theSwedish financial market in recent years. They are also receiving moreattention. This particularly applies to the failure of hedge funds and spectacularcompany takeovers by private equity capital. In view of this, FI have studiedthe exposure of banks and insurance companies. We have also carried out anoutline study of the administration and risk management related to involvementin hedge funds and private equity firms. FI is following up those firms withexposures that are significant in relation to their own funds. Furthermore, FI isfollowing up indications that suggest shortcomings in the management of a fewfirms.
The process for new issues and initial public offerings
This report describes the process that precedes a new issue or initial publicoffering. It clarifies various phenomena that investors should be aware of whenparticipating in this type of transaction, allowing them to understand andevaluate the offer in its entirety.
New issues and initial public offerings – are safeguards working for investors?
Finansinspektionen (FI) has examined how securities institutions and issuersfollow the regulations for new issues and initial public offerings and whetherthere are risks or problems not covered by the regulation.
Criminal attacks on internet banking
Finansinspektionen's study shows an increase in the number of attacks on online bank accounts, although in relation to the number of Internet transactions the scope of the problem is limited.
Pensions being paid
Normal consumers may need some help in understanding how to calculate thesize of their retirement pension. Recently this has been easier to find out. On example is the development of the Minpension.se web page, which can give an idea of how much national pension and occupational pension based on collective bargaining, has been earned to date. However, private insurancebased pension saving and capital pension policies* are not included in the background data with which minpension.se works.
Insurance-based pensions saving
The insurance market for Swedish consumers has changed a lot over the lastcouple of decades. The range of insurance forms has decreased while forms ofasset management have multiplied. The view of how risk should be sharedbetween companies and policyholders has changed. Policyholders are nowexpected to bear an every greater portion of financial risk.
Information disclosure by fund management companies
This study shows that five of 18 reviewed fund management companiessystematically failed to offer their customers information as stipulated by law.
Advice, the customer and the law - a study of financial advice
In this study, FI has identified a number of areas where companies are most likely deficient in their role as a financial advisor, which can have negative consequences for both the customer and the company.
Credit market companies and consumer protection
Problems in certain credit market companies with permission to receive household deposits* such as Custodia and Allmänna Kapital are the background to the review carried out by FI. Its main purpose has been to investigate whether the problems that have come to light in those firms now declared bankrupt, exist openly or latently in other credit market companies which take household deposits. FI has also had the aim of investigating whether these firms are complying with financial regulations in a more general sense.
Neat and orderly? A review of 678 insurance intermediaries
FI has reviewed the basic requirements for the organisation of 678 insurance intermediaries.
Assessment of Stockholmsbörsen as a central counterparty
Finansinspektionen and the Riksbank have co-operated in the assessment of Stockholmsbörsen as a central counterparty according to international recommendations. Finansinspektionen and the Riksbank have assessed all recommendations as observed for Stockholmsbörsen.
2006
Equity-linked bonds - an evaluation of the new prospectus rules
Investors´strong interest in equity-linked bonds is continuing. In the first nine months banks and other financial institutions issued equity-linked bonds and other index-linked bonds to a value of almost SEK 38 billion.
Firms’ management of operational risk and FI’s recommendations (2006:18)
During the autumn of 2005 and spring of 2006 Finansinspektionen carried out a comprehensive review of the operational risk management in fifteen Swedish banks and credit market companies (firms).
Money laundering and terrorist financing - preventive measures in the finance sector
Finansinspektionen (FI) has studied how well companies in the finance sector are complying with the rules governing the combating of money laundering and terrorist financing.
The right of transfer for savers in pension insurance policies - survey and proposals
FI is positive towards an extended right of transfer for pension insurance policies. It proposes that the government reconsider the issue of an obligatory right of transfer for policies entered into prior to 2006. The right of transfer should cover both personal pension insurance policies and occupational pension insurance polices. FI believes that the problems in introducing the right of transfer for older policies can be resolved in the formulation of the terms and conditions of the right of transfer.
Unregulated invitations to subscribe on the stockmarket
Finansinspektionen (FI) has investigated the quality of the information in writteninvitations to subscribe for shares that are exempt from the prospectus obligation.*
The warrant market – a review of information provided to non-institutional investors
It has been possible to trade warrants on the Swedish market since 1995. A warran tis a financial instrument that gives the holder the right, but not the obligation, to either buy or sell a share at a predetermined price at a specific date in the future. Payment at redemption is effected by cash settlement. Since its introduction, warrant trading has fluctuated but in recent years it has increased in conjunction with the increasingly strong stock market. From January-June 2006, warrants were traded for a total of SEK 12.1 billion* on the Stockholm Stock Exchange and an additional SEK 7.1 billion on NDX, which is a part of the Nordic Growth Market NGM AB exchange. The majority of trades involve non-institutional investors.
Pension saving and benefit statements
This report is based on Finansinspektionen’s audit of the benefit statements ofthe more than fifty life insurance companies and friendly societies offering insurancepolicies in Sweden.
Unsecured credits for consumers II
On behalf of the government, Finansinspektionen has followed up last year's report "Unsecured credits for consumers". This report sets out the measures that Finansinspektionen has taken, or plans to take, to remedy the shortcomings previously existing in the information and the structure of the contractual terms and conditions and also credit rating. The study covers the same undertakings as last year. We have also studied interest rate trends for unsecured credits in relation to the reference interest rate. During the survey the Swedish Consumer Agency has been consulted.
Covering of losses by insurance companies – a presentation of various methods
One starting point for the life insurance business is that policyholders should be treated fairly and reasonably. Any surplus that arises in a company should be distributed to policyholders, and the distribution should be based on how they have contributed to the surplus.
Neat and orderly? - a review of 150 insurance intermediaries
Four out of five of the reviewed insurance intermediaries* do not adhere to the rules that by law pertain to their business. By law, insurance intermediaries must check employees’ conscientiousness and competence, and the checks must be documented. They must also establish internal rules to prevent money laundering.
