BNP Paribas is expected to start issuing and trading on the Swedish Exchange Nordic Growth Market (NGM) following its licensing as a member of the exchange.
BNP Paribas Exchange Traded Solutions' head of sales and marketing - Sweden, Conny Myhrberg, told SRP.com standardised structured products aimed primarily at self-directed private investors are well suited for the Swedish market as people are highly sophisticated in managing their own portfolios both in terms of activity and technology: "The government and regulators have created an environment well suited for private investors to be active and self directed," he said. As an example of this Myhrberg pointed at a new type of standard investment account (ISK) that has been available since 1 January through which private investors do not have to pay taxes on trading profits nor declare trades in their tax returns.
According to Myhrberg, the first products that will be listed in the Swedish exchange will be turbos and mini-futures, which are set to be launched in February. Myhrberg also said the bank expects the speed (and frequency) of issuance to become pretty high: "These are established products and will help us get a foothold in the market before moving on to other types of products," he said.
Myhrberg, who focuses entirely on exchange-traded products, said colleagues at the bank are currently working on developing distributor-based product initiatives.
According to SRP.com, BNP Paribas Arbitrage SNC has issued a number of structured products in Finland and Sweden with Elina Pankkiiriliike acting as the arranger.