The following is an extract from Danske Bank's business procedures for advice on securities trading:
"Special rules for traders in securities
(Business procedures)
Persons covered by these rules
These rules apply to traders in securities and also to you when you provide advice and help carry out a securities trade.
Advice
All securities trading requires advice.
Know-your-customer principle
When you advise a customer on securities trading, you must always examine the financial situation of the customer beforehand and use your conclusions to advise whether the financial services the customer asks for are suited to the customer. You can use the customer's profile as a starting point. Note that a customer may have several profiles.
The advice you give must take into consideration the purpose of the customer's investment, the complexity and risk attached to the instrument in which the customer wants to invest and the information and advice the customer has already received.
Customers may still trade securities on their own through our eBanking service.
Illiquid securities
According to the executive order, the Bank must notify the customer immediately if we cannot or will not supply a specific financial service.
This stipulation means that you must always assess whether the securities trade in question can be executed within the usual time limits.
Statement
At least once a year, we send the customer a statement of facilities and holdings. This is done automatically."
Last updated/revised on August 10, 2006