3. What types of activities require a license in your jurisdiction?
What types of activities require a license in your jurisdiction?

Sweden regulates a broad range of activities. These include (among others):

  • Accepting deposits – This covers typical retail banking activities involving the operation of current and deposit accounts.
  • Issuing electronic money – Electronic money is a prepaid electronic payment product that can be card- or account-based.
  • Carrying out payment services – This covers a broad range of activities involving matters such as money remittance, card issuance, acquiring card transactions, and the operation of payment accounts.
  • Consumer lending – This covers both lending to consumers as well as activities such as credit brokerage and debt collection on behalf of third parties.
  • Arranging regulated mortgage contracts – This relates to the sale of certain residential mortgage contracts.
  • Carrying on insurance business – This involves effecting and carrying out contracts of insurance, both life and general.
  • Providing investment advice – Providing advice on most categories of investments is a regulated activity in Sweden. This activity covers the provision of advice on the merits of acquiring or disposing of particular investments.
  • Trading in securities and other investments as principal or as agent – This covers brokers as well as most institutions engaged in proprietary trading.
  • Arranging transactions in investments – This activity covers the role of intermediaries in investment transactions. It is very broad and covers infrastructure providers, including electronic communication networks that route orders for execution.
  • Insurance mediation activities – Swedish regulation covers various insurance brokering activities.
  • Discretionary investment management – Managing investments on behalf of another person is a regulated activity. Specific permission is required where a person carries on this activity in relation to an alternative investment fund.
  • Establishing, operating and winding up a collective investment scheme – Most types of funds will be regarded as collective investment schemes under Swedish law. This will extend to open-ended bodies corporate, unit trusts and partnerships.
  • Providing custody (safeguarding and administration of investments) – Providing custody services in relation to assets that include investments is a regulated activity.
  • Provision of pension foundation – Pension foundation is a foundation founded by an employer with the exclusive purpose of safeguarding the payment of pension to employees or employees’ survivors. The foundation’s assets must therefore be invested prudently.
  • Crypto-assets and crypto currencies - As of now, there is no specific legal or regulatory regime tailored to crypto currencies and/or crypto-assets in Sweden. Depending on the nature of the crypto-assets and services, these may be included under other regimes in Sweden, such as, inter alia, Certain Financial Operations Reporting Duty Act, Electronic Money Act and Payment Services Act. Furthermore, natural and legal persons who conducts cryptocurrency trading on a large scale or other financial operations are likely to be assessed as carrying out so called "other financial operations" and are likely to be deemed as financial institutions as defined in Securities Market Act.