Decision by the Swedish Financial Supervisory Authority from the 2023 review and evaluation process

Nordnet has been notified by the Swedish Financial Supervisory Authority (SFSA) of its decision regarding the capital requirements and guidance, based on the 2023 Supervisory Review and Evaluation Process.

The SFSA’s supervisory procedure is to a large extent based on the so-called Supervisory Review and Evaluation Process (SREP). The purpose of this process is to regularly evaluate the capital and liquidity situation of financial institutions, and as part of the process the SFSA makes risk assessments of all major risk areas such as credit risk, liquidity risk, market risk and operational risk.

For Nordnet, the SREP is carried out every other year, and in connection with the SREP for 2023 the SFSA has decided to adjust the capital requirements for Nordnet. The risk-weighted Pillar 2 requirement is reduced from 6.47 percent to 2.89 percent for the prudential situation, and the Pillar 2 guidance for the leverage ratio is reduced from 0.9 percent to 0.5 percent. Including pillar 2, this translates a total capital ratio requirement of 15.5 percent (previously 19.1 percent), a Common Equity Tier 1 (CET1) capital ratio requirement of 10.7 (12.7) percent, and a leverage ratio requirement of 3.5 (3.9) percent.

This can be compared to a total capital ratio of 25.3 percent, a CET1 capital ratio of 17.7 percent and a leverage ratio of 6.1 percent reported by Nordnet at the end of the second quarter of 2023.

Nordnet’s total capital amounted to SEK 4.7 billion as of the latest financial reporting period, ending on 30 June 2023. The updated capital requirements from the SFSA reduce the required amount of capital by just over SEK 650 million. As of the second quarter of 2023, Nordnet’s capital exceeds the new requirements by SEK 1.8 billion.

For further information, please contact:
Johan Tidestad, Chief Communications Officer, johan.tidestad@nordnet.se, +46 708 875 775
Marcus Lindberg, Head of Investor Relations, marcus.lindberg@nordnet.se, +46 764 923 128

Nordnet is a pan-Nordic leading digital platform for savings and investments. Through innovation, simplicity and transparency, we challenge traditional structures, and give private savers access to the same information, tools and services as professionals. Visit us at www.nordnetab.com, www.nordnet.se, www.nordnet.no, www.nordnet.dk or www.nordnet.fi.