Legal & Compliance

Arctic Securities is authorized as an investment firm and is under supervision by the Norwegian Financial Supervisory Authority. The Legal and Compliance department provides legal advice to the organization and seeks to ensure that the company conducts its activities in accordance with applicable laws and standards.

 

Feel free to contact us

Thomas Berge

Head of legal and compliance
Department mail

Complaints

All complaints must be in writing and forwarded by e-mail to arctic.compliance@arctic.com or by mail to

Arctic Securities AS
Att.: Compliance
P.O. Box 1833 VIKA
0123 Oslo
 

You will find our internal complaint procedures here: Instructions for complaint handling

Terms and policies

Please find below the standard terms in force, which are appendices to our client agreement.

Licenses

Please see below for information on the licences Arctic Securities and its subsidiaries hold.

Norway 
Arctic Securities AS is registered in the Norwegian registry of business enterprises under registration no. 991 125 175. Arctic Securities AS is under supervision by the Norwegian Financial Supervisory Authority.

Please see the Norwegian Financial Supervisory Authority for our regulatory status: Finanstilsynet's registry

Tied agents 
Arctic Capital AS, org.no. 911881438, Haakon VII’s gate 5, 0161 Oslo, is a tied agent of Arctic Securities AS, cf. the Norwegian Securities Trading Act 10-16.
 
Arctic Capital AB, org.no. 559110-3329, Biblioteksgatan 8, 111 46 Stockholm, is a tied agent of Arctic Securities AS, cf. the Norwegian Securities Trading Act 10-16. 
 
Real estate agency 
Arctic Securities AS’s subsidiary Arctic Property AS, org.no. 997 985 532, holds a license from the Norwegian Financial Supervisory Authority to act as real estate agent.   
 

Brazil 
Arctic Securities AS is represented in Brazil through its wholly owned subsidiary, Arctic Brasil Escritório de Representação Ltda, which holds a license from Banco Central Do Brazil to act as representative office. Arctic Brasil Escritório de Representação Ltda is a limited liability company, enrolled with the CNPJ under no. 13.329.318/0001-62.

Sweden 
Arctic Securities AS is represented in Stockholm through its branch “Arctic Securities AS, filial Sverige”, org.no. 516408-5366, Biblioteksgatan 8, 3 tr, 111 46 Stockholm, Sweden. The branch is under supervision by the Norwegian and Swedish Financial Supervisory Authority. 

United States
Arctic Securities LLC is a broker-dealer subject to regulation by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA).

Disclaimer Research

Disclaimer and disclosures
This document provides additional disclosures and disclaimers relevant to research reports and other investment recommendations issued by Arctic Securities AS (“Arctic”), according to the Securities Trading Act Section 3-10 with further regulations.

Supervision
Arctic’s business in general, as well as the reports it prepares, is subject to supervision by the Norwegian Financial Supervisory Authority (No: “Finanstilsynet”). Arctic aims always to operate in compliance with appropriate business principles, including Business Standard No. 3 of 6 September 2005 of the Norwegian Securities Dealers Association (No: “Verdipapirforetakenes Forbund”), regarding handling of conflicts of interests and the content of reports produced by investment companies and other relevant standards.

Authors’ independence/Analyst certification
Arctic has no agreements with issuers with respect to dissemination of recommendations. Arctic confirms that our analysts have not been, nor are or will be, receiving direct or indirect compensation in exchange for expressing any of the views or the specific recommendation contained in our reports, and confirm that none of the compensation of our analysts was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in our reports. The analysts of Arctic's research department are not employed by the companies they cover, nor do they hold any board positions in such companies. The analysts of Arctic’s research department are eligible to remuneration from Arctic’s general bonus scheme.

Basis and methods for assessment
Recommendations in respect of shares, bonds and related instruments are based on estimates using various valuation methods. These methods include analysis of earnings multiples, discounted cash flow calculations, net asset value assessments, credit figures, peer valuation, recovery valuation and qualitative assessment of credit profiles.

Recommendation structure and assessment of risk of shares
Arctic’s research department operates with 3 recommendation categories for shares based on the expected relative return within 6 to 12 months:

Buy

The return is estimated to be considerably in excess of the applicable sector/market index return.

Hold

The return is estimated to be more or less in line with the applicable sector/market index return.

Sell

The return is estimated to be considerably less than the applicable sector/market index return.

The analyst’s assessment of risk is identified by the following terms:

High risk

The share is likely to be considerably more volatile than the general index of the Oslo Stock Exchange. The reason may be the characteristics of the company or the company’s industry, or issues associated with the share as a security, such as a recent listing, a limited free float or the expectation of corporate action.

Medium risk

The share is expected to be about as volatile as the general index.

Low risk

The share is expected to fluctuate less than the general index, and the Company, the share or the industry has inherent characteristics that reduce the expected volatility of the share price.

Recommendation structure and assessment of risk of bonds
Arctic’s research department uses 3 recommendation categories for bonds based on the expected relative return within 6 to 12 months:

Outperform

The bond is currently trading at a wider credit spread than the applicable credit index for the relevant rating category.

Market perform

The bond is currently trading at a credit spread in line with the applicable credit index for the relevant rating category.

Underperform

The bond is currently trading at a tighter credit spread than the applicable credit index for the relevant rating category.

The analyst’s assessment of credit risk is identified by the following terms:

AAA

Highest quality

AA+/AA/AA-

High quality

A+/A/A-

Strong payment capacity

BBB+/BBB/BBB-

Adequate payment capacity

BB+/BB/BB-

Likely to fulfil obligations, ongoing uncertainty

B+/B/B-

High risk obligations

CCC+/CCC/CCC-

Current vulnerability to default

D

Default

Risk of investment - general
There is risk attached to all investments in financial instruments. The opinions in our reports are based on numerous assumptions. Different assumptions could result in materially different results. Furthermore, the assumptions may not be realized. The reports do not provide individually tailored investment advice and all recipients of the reports are advised to seek the advice of a financial advisor before deciding on an investment or an investment strategy.

Prevention and avoidance of conflicts of interests
Arctic’s research department is separated from the corporate finance department in order to control the flow of information. All employees of Arctic are subject to duty of confidentiality towards clients and with respect to handling inside information.

Investment services provided to the issuers
Please see the
PDF file for a list of companies, to which Arctic has provided investment banking services the last 12 months. Arctic has received compensation for investment banking services from the companies on the list in the previous 12 months. Please note that Arctic may have received assignments, that are not publicly known and that due to professional secrecy we are currently obliged not to reveal.

Ownership of shares or bonds
Arctic does not alone, nor together with related companies or persons, hold more than 5 % of the total share capital of any company on which it issues research, or more than 1% of any class of common equity securities of any company on which it issues research. Arctic may have holdings in the companies as a result of proprietary trading, market making operations and/or underlying shares as a result of derivatives trading. Arctic may buy or sell such shares both for its own account as a principal or as an agent. Please see the
PDF file for a complete list of shares and bonds held by employees of Arctic.

Statistics on Recommendations
Please see the following
PDF file were you will find quarterly statistics on the overall ratio of “Buy”, “Hold” and “Sell” or "Outperform", Market perform" and "Underperform" in Arctic Securities’ recommendations in financial instruments, including a split with respect to issuers where Arctic has provided investment banking services the previous 12 months.

Planned updates:
There is no fixed schedule for updating. However, Arctic aims to update its recommendation on a company when:

  • The price target is achieved/large change in credit spread,
  • New accounting figures are released
  • Any material news on a company or its industry is released


Limitation of liability
Our reports do not constitute or form any part of any offer for sale or subscription of or solicitation of any offer to buy or subscribe for any securities; nor shall they or any part of them form the basis of or be relied on in connection with any contract or commitment whatsoever.

Our reports are based on publicly available information only. Generally Arctic will present a draft of a company report to the relevant company prior to publication in order to ensure a correct factual basis. All information, including statements of fact, contained in the reports has been obtained and compiled in good faith from sources believed to be reliable. However, no representation or warranty, expressed or implied, is made by Arctic with respect to the completeness or accuracy of its contents, and it is not to be relied upon as authoritative and should not be regarded as a substitute for the exercise of a reasoned and independent judgement by you. Arctic accepts no liability whatsoever for any direct or consequential loss arising from the use of the reports or their content.

Jurisdiction, reproduction etc.
Our reports are governed by and to be construed solely in accordance with Norwegian law. They may not be reproduced, redistributed or republished by any recipient for any purpose or to any person. If you are not a client of Arctic, you are not entitled to receive the research reports.

Distribution in the United States
Arctic Securities LLC takes responsibility for the research reports. Research reports are prepared by Arctic for information purposes only. Arctic and its employees are not subject to the Financial Industry Regulatory Authority's ("FINRA's") research analyst conflict rules. Arctic research reports are intended for distribution in the United States solely to "major U.S. institutional investors" as defined in Rule 15a-6 under the United States Securities Exchange Act of 1934, as amended. Each major U.S. institutional investor that receives a copy of an Arctic research report by its acceptance thereof represents and agrees that it shall not distribute or provide copies to any other person. Any U.S. person receiving the research reports that desires to effect transactions in any securities discussed within the reports should call or write Arctic Securities LLC, an affiliate of Arctic, at 212-597-5541, One Rockefeller Plaza, Suite 1706 N.Y., N.Y. 10020. Arctic Securities LLC is a broker-dealer registered with the U.S. Securities and Exchange Commission and a member of the FINRA and the Securities Investor Protection Corporation.

Our research reports do not provide individually tailored investment advice or offer tax, regulatory, accounting or legal advice. Prior to entering into any proposed transaction, recipients should determine, in consultation with their own investment, legal, tax, regulatory and accounting advisors, the economic risks and merits, as well as the legal, tax, regulatory and accounting characteristics and consequences, of the transaction. Financial statements included in the report, if any, may have been prepared in accordance with non-U.S. accounting standards that may not be comparable to the financial statements of United States companies. It may be difficult to compel a non-U.S. company and its affiliates to subject themselves to U.S. laws or the jurisdiction of U.S. courts.

Prices and all other information in our research reports are believed to be reliable as of the date on which this report was issued.  No representation or warranty, either express or implied, is provided in relation to the accuracy, completeness or reliability of the information contained in our research reports, except with respect to information concerning Arctic, its subsidiaries and affiliates, nor is it intended to be a complete statement or summary of the securities, markets or developments referred to in the report.  Arctic is under no obligation to update or keep current the information contained in our research reports.

For debt research reports please note:

Debt research reports are intended for institutional investors and are not subject to all of the independence and disclosure standards applicable to debt research reports prepared for retail investors. Debt research reports may not be independent of Arctic’s proprietary interests. Arctic trades the securities covered in debt research reports for its own account and on a discretionary basis on behalf of certain clients. Such trading interests may be contrary to the recommendation(s) offered in the report.

Distribution in Brazil
Arctic is represented in Brazil through its representative office Arctic Brasil Escritório de RepresentaÇÃo Ltda. Arctic is not registered with the Brazilian Securities Commission (Comissão de Valores Mobiliários, the CVM). The securities discussed in our reports have not been and will not be publicly issued, placed, distributed, offered or negotiated in the Brazilian capital markets and, as a result, have not been and will not be registered with the CVM. Therefore, Arctic represents, warrants and agrees that it has not offered or sold, and will not offer or sell the securities in Brazil, except in circumstances which do not constitute a public offer, placement, distribution or negotiation of securities under the Brazilian capital markets regulation.

 

Capital Adequacy

Disclaimer Web

The contents of these web pages are solely a source of information. Users of these web pages should not base themselves exclusively on this information, but should always seek professional personal advice. Acts of accessing and downloading information from our web pages do not establish any client relationship with our company. We endeavor to constantly update this site, but have no responsibility or liability for information that may prove to be insufficient or incorrect.

The contents and layout of these web pages are protected by copyright. Reproduction of or modifications to information or data content, including, but not limited to, text, graphics, pictures and sound files, require prior written approval.

Unauthorized use of the web site and systems, including, but not limited to, unauthorized entry into the systems, misuse of passwords or misuse of any other information, is strictly prohibited. We reserve the right to change these web pages without prior notice and users are required to ensure that they review the content of the website on a regular basis to become informed of the latest changes thereto.

We will not be responsible for any loss or damage, direct or indirect, incurred by the user, as a result of said user’s access to this website, or any associated web pages or linked documents, whether or not the circumstances giving rise to such cause may have been within the control of us or of any vendor providing software or services. This includes, but is not limited to, the transmission of viruses, failure of communication lines, theft or force majeure.