Swedbank comments on the Financial Supervisory Authority’s sanction regarding shortcomings in the depositary bank service

Swedbank has received the Swedish Financial Supervisory Authority’s sanction regarding shortcomings in the depositary bank function. Swedbank shares the Financial Supervisory Authority’s view that there have been shortcomings in Swedbank’s depositary bank function. The shortcomings that were called to attention have been corrected on Swedbank’s own initiative.

The historical deficiencies, that were called to attention by the Swedish Financial Supervisory Authority, concerned controls, documentation, resources and division of duties for the depositary banking function for fund companies which have their assets held and controlled by the institute. On account of this the Swedish Financial Supervisory Authority has decided to give Swedbank a remark with a penalty fee of SEK2.5 million. Already in 2008, Swedbank implemented improvements in the depositary bank function, implying a clearer responsibility for controls made, higher standard of documentation, and strengthened routines for follow-up of controls made on site at fund companies. In 2009 and 2010, a further restructuring of the depositary bank function was made, to further strengthen the organisation, clarify responsibility, improve system support and routines. A wide range of changes and controls were implemented. Swedbank is positive to the Swedish Financial Supervisory Authority’s efforts to create lucid and uniform rules for financial market players, and shares the Financial Supervisory Authority’s view that there were shortcomings in Swedbank’s depositary bank function, which have since been corrected. Further information, please contact: Thomas Backteman, Head of Corporate Affairs, Swedbank, phone: +46 708 31 11 66 Anna Sundblad, Press Manager, Swedbank, phone: +46 703 21 39 95