Bulletin: Saxo Bank's Systemically Important Bank Designation Reflects Its Role In Denmark's Banking Sector Stability

STOCKHOLM (S&P Global Ratings) June 26, 2023--S&P Global Ratings today said that Saxo Bank A/S's new designation as a systemically important financial institution (SIFI) by the Danish Financial Supervisory Authority (FSA) reflects the bank's role in the stability of the country's financial sector. As a SIFI, Saxo Bank's resolution strategy and additional loss absorbing capacity buffer could increase the likelihood that it would continue to pay senior preferred obligations on time and in full, even if the bank were to fail. Our positive outlook on our 'BBB' long-term rating on the bank reflects this. Saxo Bank--with total assets of about Danish krone 90.5 billion (about €12.2 billion) at year-end 2022--is a licensed banking group and one of Europe's largest retail

...STOCKHOLM (S&P Global Ratings) June 26, 2023--S&P Global Ratings today said that Saxo Bank A/S's new designation as a systemically important financial institution (SIFI) by the Danish Financial Supervisory Authority (FSA) reflects the bank's role in the stability of the country's financial sector. As a SIFI, Saxo Bank's resolution strategy and additional loss absorbing capacity buffer could increase the likelihood that it would continue to pay senior preferred obligations on time and in full, even if the bank were to fail. Our positive outlook on our '###' long-term rating on the bank reflects this. Saxo Bank--with total assets of about Danish krone 90.5 billion (about 12.2 billion) at year-end 2022--is a licensed banking group and one of Europe's largest retail securities brokers. As a result of its growth, primarily funded through deposits, the Danish FSA now acknowledges the bank's role in the stability of the country's financial sector. The SIFI classification will likely increase the...

Bulletin