Banks in Sweden Key Terms

Use banks in Sweden key terms to manage your offshore assets more effectively

By Kelley Keith

Even when you're using a bank in the U.S. it can be difficult to understand some of the terminology, and this is especially true when banking in Sweden. While banking today is largely a global industry, there are still distinct differences that make offshore banking a unique opportunity. In Sweden, you have different currency exchange rate and regulatory and industry structure. All of these aspects of the Swedish banking industry have their own terminology. To make the wisest investment choices you'll need to understand these terms.

However before you begin to research, here are a few key terms to help you navigate the Swedish banking system:

The "big four" banks

The "big four" is a term used to define the largest four banks in the Swedish financial industry. At their peak, the "big four" controlled 80-percent of the deposits in Sweden. Therefore, if you're going to bank in Sweden, chances are you'll transact with one or more of the following Swedish banks: Swedbank, Nordea, Skandinaviska Enskilda Banken and Handelsbanken.
Try: Review the Bankers Academy article on the "big four" banks of Sweden.

Co-operative banks

A rising sector of the Swedish banking industry is the co-operative banks. These banks are very similar to the credit unions in the U.S. in that they operate for the benefit of their depositors and not shareholders like the bigger banks.
Try: Scroll down the page to view the definition of a co-operative bank at the Swedish Bankers Association.

The Swedish krona

Since 1873, the krona has been the national currency of Sweden. Before you deposit money in any Swedish bank, it's important to know the exchange rate and if the bank offers U.S. dollar deposit accounts.
Try: Examine the definition and history of the Swedish krona at Investica.

Swedish Financial Supervisory Authority

The Swedish Financial Supervisory Authority is the regulatory agency whose mission is to promote stability and efficiency in the Swedish banking industry. If you intend to invest any of your deposits in Swedish financial instruments, you need to contact the Swedish Financial Supervisory Authority.
Try: Evaluate the information available at the Swedish Financial Supervisory Authority.

Swedish central bank

The Swedish central bank, or Riksbank, controls monetary policy within the country. Another primary goal of the Riksbank is price stability within the Swedish economy.
Try: Assess the Swedish central bank primer at Riksbank.

Swedish Bankers Association

It's important that prior to making any deposits in a Swedish bank you understand the industry. The Swedish Bankers Association hasliterature and representatives that can help you with this process.
Try: Look down at the bottom of the page at SMi Group for a link and a definition of the Swedish Bankers Association.