Skandinavisk Fondkommission has had several material deficiencies in its business operations. Such deficiencies relate to the provision of investment advice and portfolio management services and poor internal governance and control. Finansinspektionen has therefore decided to revoke the licence.
Skandinavisk Fondkommission is an investment firm that has had material deficiencies in its business operations. The company has breached fundamental investor protection rules when carrying out investment advice and portfolio management. Such breaches include that Skandinavisk Fondkommission has sold units in a foreign fund without registering the units in customers' custody accounts. In addition, the company has during a substantial period of time held a capital below the statutory requirement.
It is particularly serious that the company has not put in place efficient compliance and risk management functions. This has resulted in failure to discover or remedy the deficiencies.
FI's decision means that the company's investment services operations shall be wound down as soon as possible or by 1 June 2012 at the latest. This will be done in close co-operation with Finansinspektionen. The decision also means that Skandinavisk Fondkommission's three tied agents must cease to provide investment services on behalf of the company.
Skandinavisk Fondkommission AB has approximately 120 customers.