Finanstilsynet’s supervision of institutions in the securities market comprises on-site inspections and off-site supervision. Finanstilsynet is also assigned administrative and legislative tasks.
Supervision encompasses companies authorised to carry on activity under the Securities Trading Act, Securities Funds Act, Central Securities Depository Act and Stock Exchange Act.
Important areas of supervision are the market players’ financial position and operations and their compliance with rules governing their activities. Supervision also covers compliance with a number of general rules of conduct laid down in the Securities Trading Act.
Marketing of foreign UCITS in Norway
Foreign securities funds domiciled in a state party to the EEA Agreement and covered by the UCITS Directive (Council Directive 2009/65/EEC) may be marketed in Norway subject to notification to Finanstilsynet pursuant to Act of 25 November 2011 No. 44 on Securities Funds section 9-3.
"Marketing of units in securities funds" is regarded as inviting or soliciting the acquisition of rights in a securities fund. Only invitation or solicitation that is intended, or especially likely, to have effect in Norway is regarded as marketing.
There are no exceptions from rules or requirements governing arrangements made for marketing applicable for certain UCITS, certain share classes or certain categories of investors.
Requirements with regard to notification
UCITS established in another EEA state may be marketed in Norway once the supervisory authority in the UCITS's home state has given Finanstilsynet notification of marketing in accordance with the Securities Funds Act section 9-3. The notification shall include the version currently in effect of the following documents:
• Standard notification letter to be completed by the fund/management company (lenke) (Annex I to Commission Regulation No 584/2010): Notfication letter
• UCITS attestation issued by the home state's supervisory authority (Annex II to Commission Regulation No 584/2010)
• Articles of association
• Prospectus
• Key Investor Information Document (KIID)
• Latest annual report and, if applicable, half-yearly report
Translations
The above documentation may be submitted in Norwegian, English, Swedish or Danish, with the exception of KIID, which must be submitted in Norwegian. In the case of funds marketed to professional investors only, or funds that have a minimum subscription amount of 5 MNOK or more, Finanstilsynet may grant dispensation to submit KIID in English. If the fund wishes to make use of this exemption, the part B of the notification letter shall include a statement that the fund meets the abovementioned conditions and that the fund in the future will not be marketed towards private individuals and households.
Details of the notification procedure
The supervisory authority in the UCITS' home state shall, not later than 10 days after receipt of complete documentation, transmit this documentation to Finanstilsynet. Once it has transmitted the documentation to Finanstilsynet, the supervisory authority in the UCITS' home state shall immediately inform the UCITS of this fact. The UCITS may be marketed in Norway once it has been informed by the home state supervisory authority that transmission of the documentation has taken place.
Finanstilsynet will, not later than five days after receipt of the notification letter with documentation, confirm to the host state's supervisory authority that documentation in accordance with the Securities Funds Act section 9-3 has been received.
Format, maximum file size etc.
Finanstilsynet accepts electronic notifications with enclosures of up to 30 MB.
Finanstilsynet recommends that notifications be submitted in the following file formats:
• PDF document.
• Microsoft Office documents.
Zipped formats will be accepted.
Fees
No charges will be levied in connection with the notification procedure.
Other requirements
Sales in Norway of units of the UCITS must take place directly from the head office of the manager of the securities fund, through a representative office in Norway or through a management company holding a licence under the Securities Funds Act sections 2-1, 3-3 or 3-4, a credit institution entitled to engage in financing activity in Norway, an insurance company entitled to engage in insurance activity in Norway or an investment firm entitled to provide investment services in Norway.
The UCITS shall in accordance with the Securities Funds Act make such arrangements as are necessary for the purpose of making payments to the unit holders, redeeming units and providing such information as is required in the fund's home state as regards prospectuses, KIID, annual and interim reports and the making public of the value of units.
All marketing in Norway offering sales of units of the UCITS shall make reference to the availability of the prospectus and the KIID, and point out where these documents are available. The part B of the notification letter shall therefore include a statement that such information will be provided and included in all marketing material that will be offered to Norwegian investors.
The fund's articles of association, prospectus, KIID, annual report and half-yearly report shall be made available to Finanstilsynet on the management company's website in a format in common use. Finanstilsynet shall be notified of any changes made to the above documents and, at the same time, details of where the documents are electronically available. Finanstilsynet shall also be notified before any changes are made in the marketing of the funds or in the event of changes regarding the fund's share classes.
Where the marketing of a UCITS in Norway ceases, Finanstilsynet shall be notified. The notification letter shall be signed by an authorised signatory of the securities fund or a third person empowered to act on the fund's behalf. The notification shall contain confirmation that the unit holders' interests will be safeguarded.
Standard notification letters and notification letters regarding changes in marketing or unit classes or regarding cessation of marketing shall be sent electronically to ucits.notifications@finanstilsynet.no.
