Finland Sets Tight Rules for Financial Institution Compliance
In an effort to promote transparency and accountability in the financial sector, Finland has established a comprehensive framework of laws and regulations governing compliance requirements for financial institutions.
Key Legislation
Securities Markets Act (746/2012)
The Securities Markets Act sets out the general principles for securities trading and provides a foundation for other related legislation.
- Provides a framework for securities trading
- Sets out rules for issuers, intermediaries, and investors
Unfair Business Practices Act (1061/1978)
This act prohibits unfair commercial practices and ensures that businesses operate fairly and transparently.
- Prohibits unfair commercial practices
- Ensures fair competition in the marketplace
Act on Trading in Financial Instruments (1070/2017)
The Act on Trading in Financial Instruments regulates the buying and selling of financial instruments, including stocks, bonds, and derivatives.
- Regulates trading in financial instruments
- Ensures transparency and fairness in financial transactions
Consumer Protection Laws
Consumer Credit Act (852/2016)
This act safeguards the interests of consumers in loan transactions by setting out rules for credit agreements and consumer loans.
- Provides a framework for credit agreements and consumer loans
- Protects consumers from unfair credit practices
Act on Registration of Certain Loan Providers and Credit Brokers (853/2016)
The Act on Registration of Certain Loan Providers and Credit Brokers regulates the registration of loan providers and credit brokers, ensuring that they operate transparently and fairly.
- Regulates the registration of loan providers and credit brokers
- Ensures transparency and fairness in lending practices
Consumer Protection Act (38/1978)
This act provides additional protection for consumers in other areas, such as consumer contracts and warranties.
- Provides additional protection for consumers
- Ensures that businesses operate fairly and transparently
Regulations Governing Credit Institutions
Payment Services Act (290/2010)
The Payment Services Act sets out rules for payment services and electronic money institutions, ensuring that they operate securely and efficiently.
- Regulates payment services and electronic money institutions
- Ensures the security of payment transactions
Act on Credit Institutions (610/2014)
This act regulates credit institution activities, including lending and deposit-taking.
- Regulates credit institution activities
- Ensures that credit institutions operate safely and soundly
Act on Agent of Bondholders (574/2017)
The Act on Agent of Bondholders provides a framework for the appointment of agents to act on behalf of bondholders.
- Provides a framework for the appointment of agents
- Ensures that bondholders are protected
Corporations Laws
Limited Liability Companies Act (624/2006)
This act provides a framework for company formation and operations, including limited liability companies and joint-stock companies.
- Provides a framework for company formation and operations
- Regulates the activities of limited liability companies and joint-stock companies
Partnerships Act (389/1988)
The Partnerships Act regulates partnerships and joint ventures, ensuring that they operate fairly and transparently.
- Regulates partnerships and joint ventures
- Ensures that partners operate fairly and transparently
Funds, Platforms, and Investing
Act on Crowd Funding (734/2016)
This act provides a framework for crowd funding activities, including equity-based and loan-based crowdfunding.
- Provides a framework for crowd funding activities
- Regulates the activities of crowd funding platforms
Act on Investment Services (747/2012)
The Act on Investment Services sets out rules for investment services providers, ensuring that they operate fairly and transparently.
- Sets out rules for investment services providers
- Ensures that investors are protected
EU Directives
Finland has transposed several key EU directives into national law, including:
Bank Recovery and Resolution Directive (2014/59/EU)
The Bank Recovery and Resolution Directive sets out rules for bank recovery and resolution, ensuring that banks operate safely and soundly.
- Regulates bank recovery and resolution
- Ensures the stability of the financial system
Markets in Financial Instruments Directive (2004/39/EC)
This directive regulates trading in financial instruments, including stocks, bonds, and derivatives.
- Regulates trading in financial instruments
- Ensures transparency and fairness in financial transactions
Capital Requirements Regulation (Regulation (EU) 575/2013)
The Capital Requirements Regulation sets out capital requirements for credit institutions, ensuring that they operate safely and soundly.
- Sets out capital requirements for credit institutions
- Ensures the stability of the financial system
European Market Infrastructure Regulation (Regulation (EU) 648/2012)
This regulation regulates market infrastructure, including clearing houses and trade repositories.
- Regulates market infrastructure
- Ensures the security and integrity of financial transactions
Market Abuse Regulation (Regulation (EU) 596/2014)
The Market Abuse Regulation sets out rules for preventing market abuse, ensuring that investors are protected.
- Sets out rules for preventing market abuse
- Ensures fair and transparent markets