Strategy

Finanstilsynet aims to promote financial stability and well functioning markets through its supervision of firms and markets. Finanstilsynet’s activities are based on legislation and decisions emanating from the Storting (Norwegian Parliament), the Government and the Ministry of Finance. Its main functions are set out in the Financial Supervision Act section 3.

Finanstilsynet shall ensure that the institutions it supervises operate in an appropriate manner in accordance with law and provisions issued pursuant to law and with the intentions underlying the establishment of the institution, its purpose and articles of association.  

Finanstilsynet’s main goals

Finanstilsynet’s main goal is to promote financial stability and well functioning markets through its supervision of institutions and markets.

Behind this goal lie important economic considerations and a desire to protect consumers and investors. Financial stability and well functioning markets are crucial to economic growth and employment, which in turn are a prerequisite for a high standard of welfare and good conditions of living.

Where financial stability is concerned, Finanstilsynet has a particular responsibility for ensuring that financial institutions are well capitalised. Effective competition and good rules of conduct and norms are important for well functioning markets. Moreover, actors’ compliance with good ethical norms is a social objective of major value in its own right.

Intermediate goals

The main goals of financial stability and well functioning markets are concretised in Finanstilsynet’s strategy through the following six intermediate goals:

1. Sound financial institutions and firms with a fit and proper management, and good internal control and risk management
2. A robust infrastructure ensuring satisfactory settlements and payments
3. Good monitoring of risk in the household and corporate sector and in real estate and securities markets
4. Adequate information to investors and users in the financial market, and good quality financial reporting by listed companies
5. To promote financial market actors’ compliance with the rules of conduct and to seek to prevent conduct which may undermine confidence in the financial market
6. To ensure that critical situations are handled with minimal harmful effects

(Excerpts from Finanstilsynet’s strategy, adopted by the Board on 23 October 2006.)