Key changes in financial market regulation

As our saving and investment customer, you will receive a quarterly report about your holdings. You will also be notified automatically if the value of your leveraged products or discretionary portfolio has declined by 10% or more. If you use Netbank, all the reports will be delivered to Omaposti. If not, the reports will be mailed to you.

When providing investment advice Nordea acts as a non-independent investment advisor. This means that Nordea provides investment advice from a Nordea product universe, consisting primarily of own products or products to which Nordea has close ties. The funds in this product universe mostly have an investment strategy based on active management of the fund, where markets and companies are analyzed with the aim of providing customers excess return, active risk management and, in some cases, ESG management. These factors, generally result in a higher price compared to products without such features (passively managed funds). When offering non-independent investment advice, Nordea may receive inducements from its partners. The costs and inducements are disclosed when providing personal investment advice. We assess whether our investment products suit you in every investment advice situation, but we do not offer regular assessments regarding the suitability of investment products unless otherwise agreed on with you.

Nordea may accept sales commissions i.e. incentives from its cooperation partners. Incentives are accepted in order to improve the quality of the service we offer to our customers. We therefore use the revenue from incentives towards continuously developing our investment services and offering a more diverse range of products.

We will provide you with specific information on the euro amount of the incentives related to the relevant investment service before we offer you the service. If we do not know the amount beforehand, we will provide you with information on how the incentives will be calculated. In this case, we will inform you of the exact euro amount of the incentives paid in arrears.

We offer personal investment advice by always assessing your circumstances and ensuring that we only recommend investments that suit you and your risk tolerance.

We will assess your product knowledge with a test when you use our online services to trade in complex instruments for the first time. You will need to demonstrate a required level of product knowledge in order to be able to trade with the products in question. The purpose of this test is to make sure that you understand the key characteristics and risks of this product group.

In regard to packaged investment products, we will provide you with a key information document that details the product's key characteristics, risks, costs and other charges. This will make it easier to compare the characteristics and costs of different investment products. We will ask you to confirm that you have read and understood the content of the key information document in our online service before placing orders.

Exchange-traded funds (ETFs) listed in North America

ETFs listed in North America cannot be bought in Finland because the issuers’ key information documents do not comply with the language requirements of the PRIIPs regulation that entered into force 1 January 2018. According to the regulation, the key information document must be available in one of the official languages of the target country. ETFs listed in North America do not offer key information documents in Finnish or Swedish. You may, however, continue to sell your existing ETF holdings in our online service.

Exchange-traded notes (ETNs)

From now on, the product range in our online service will cover ETNs (certificates) and other leveraged products (warrants, turbo warrants, mini futures) that offer a key information document in the same language you use our service in (Note! Only Finnish or Swedish).

Nordea’s execution policy governs the principles we strive to follow in order to execute our customer's orders in the best possible way. These principles are in place to ensure that your orders are always executed with the most favourable terms from your point of view. You will be asked to read and accept the new execution policy in our online service before placing your first order.

According to the new regulation, it is our responsibility to specify the investor when reporting to the authorities. This applies to financial instruments admitted to trading on a regulated market or in a multilateral trading system. These transactions include the purchase or sale of listed securities (e.g. shares, bonds, exchange-traded funds (ETFs) and derivatives).

Identifying personal customers  

In future, Nordea will use citizenship information in its reporting on the personal customers. Thus we must have information on all the citizenships of our customers. You will therefore be required to inform us if you have two or more citizenships. In most cases, we will require a copy of your passport in order to confirm your citizenship information. We will ask for this information in our online service and at customer meetings.

Companies and other entities to be identified by an LEI

Companies and other entities will need a Legal Entity Identifier (LEI) for trading in listed securities. Introduced on the basis of EU regulations, an LEI can be obtained from the Finnish Patent and Registration Office for a fee.

Read more about the LEI and how to apply for itOpens new windowOpens new window

In future, when discussing investment products and services with us, you will be provided with more detailed information on their costs and charges. It will be easier for you to compare different investment service providers when you know the precise costs. We will notify you of your annual costs in euros and as a percentage of your investments. Moreover, we will tell you the costs before every investment decision you make.