Overview of Banks in Sweden
As per Moody’s Investors Service, Sweden’s banking system is quite stable. The reasons behind this rating are the following –
- Sweden has strong operating conditions that allow the banking system to thrive.
- Secondly, its banking system maintains a low-interest rate which will help the profitability and asset quality to increase.
- Thirdly, Sweden’s economic growth is commendable that allows the banking system to evolve in the near future.
Moody’s Investors Service has also mentioned that they expect the banking system’s creditworthiness will improve in the next 12-18 months.
As in economic growth, Sweden will outperform many economies in Europe; Moody’s Investor Service has high hope for Sweden’s banking system.
Structure of Banks in Sweden
There are a total of 114 banks in Sweden. As we all know there are big 4 top banks in Sweden. The best part is these four banks have acquired around 80% of the total assets of the industry’s total assets.
We can divide these 114 banks into four categories – commercial banks, savings banks, co-operative banks, and foreign banks. As you can expect, the four top banks in Sweden have got the major stakes and other banks are small to medium-sized banks.
List of Top 10 Banks in Sweden
- Nordea Bank AB
- Svenska Handelsbanken AB
- Skandinaviska Enskilda Banken
- Carnegie Investment Bank AB
- Ikano Bank
- Forex Bank AB
- Sveriges Riksbank (Bank of Sweden)
- Westra Wermlands Sparbank
(source: relbanks.com). We will first talk about the big four banks and then we will discuss the rest.
#1. Nordea Bank AB:
This is the top bank in Sweden. It is also the first major bank among the big four banks in Sweden. In 2001, this bank was formed by a mergerMergerA merger is a voluntary fusion of two existing entities equal in size, operations, and customers deciding to amalgamate to form a new entity, expand its reach into new territories, lower operational costs, increase revenues, and earn greater control over market share. among four banks – Christiania Bank, Merita Bank, Unibank, and Nordbanken. It has been serving around 11 million customers. Around 32,000 employees work here. And it has 600 branches across Sweden. At the end of June 2017, the total assets acquired by this bank were SEK 6183 billion. It is headquartered in Stockholm.
#2. Svenska Handelsbanken AB:
This is the second-largest bank and needless to say that it is also one of the big fourBig FourBig Four refers to the top four accounting firms in the world that audit more than 80% of the US public companies. These firms are Deloitte, Pricewaterhouse Coopers, KPMG, and Ernst & Young. These firms have earned this title because of their huge size, good reputation and the worldwide reach in the field. top banks in Sweden. It is quite an old bank and it was established in the year 1871, around 146 years ago. Around 11,000 employees work here. It has a presence in over 20 countries. And this bank has 430 branches only in Sweden. At the end of June 2017, the total assets acquired by this bank were SEK 2961 billion. Its head-quarter is also located in Stockholm.
#3. Skandinaviska Enskilda Banken:
This is the third-largest bank in Sweden. And also one of the big four banks in the country. It has been providing services for 4 million customers. And it has a presence in over 20 countries. It is older than Svenska Handelsbanken AB; it was established in the year 1856, around 161 years ago. At the end of June 2017, the total assets acquired by this bank were SEK 2777 billion. Its head-quarter is also located in Stockholm.
This bank is one of the largest in Sweden. It is also one of the big four banks in the country. It has been serving over 7 million customers and it has around 240 branches in Sweden. Around 14,000 employees work in Swedbank. It has a presence in many countries like South Africa, Luxembourg, Norway, Finland, Denmark, etc. At the end of June 2017, the total assets acquired by this bank were SEK 2426 billion. Its head-quarter is situated in Sundbyberg.
#5. Carnegie Investment Bank AB:
This is one of the oldest top banks in Sweden. It was established in the year 1803, around 214 years ago. This is one of the most significant investment banks in Sweden. It has been providing services like investment banking, securities brokerage, and also private banking. It has many branches in the Nordic region. In the year 2001, Carnegie Bank acquired HQ Fonder and HQ Bank and has become the leader of investment banking in the Nordic region.
#6. Ikano Bank:
Ikano Bank is one of the most prominent internet banks operating in Europe. Previously, it was known as IkanoBanken. In the year 2009, the name was changed to Ikano Bank. It provides all sorts of financial services like car loans, mortgage loans, insurance, corporate leasing, etc. It was established in the year 1988 and it is a part of the Ikano group. Around 3800 people work here. At the end of December 2016, it has total assets of SEK 41.5 billion.
#7. Forex Bank AB:
This was established in the year 1927, around 90 years ago. But until 1990, it was just a company. It got its license from the Bank of Sweden in the 1990s. As of now, Forex Bank AB is the world’s biggest foreign exchange bureaus. It has a turnover of SEK 20 billion. It has around 110 branches in Sweden, Norway, Finland, and Denmark. It is headquartered in Stockholm. At the end of March 2017, it had total assets of SEK 9 billion.
It is also another internet bank which has a significant repute in Sweden. It has been serving over 450,000 customers and it has employed around 300 employees. Skandiabanken is the subsidiary of the Scandia group, Swedish banking, and insurance company with 2.5 million customers. It was established around 23 years ago, in the year 1994. At the end of June 2017, it had total assets of SEK 62,322 million. Its head-quarter is situated in Kungsgatan.
#9. Sveriges Riksbank (Bank of Sweden):
This is the most important bank among all because Sveriges Riksbank (alternatively, Bank of Sweden) is the central bank of Sweden. This bank controls and regulates the monetary policy of the banking system so that the price remains stable. This bank was founded long, long ago, around 349 years ago, in the year 1668. And it is considered to be the oldest central bank in the whole world. It is authorized under the Riksdag, the parliament of Sweden.
#10. Westra Wermlands Sparbank:
It was one of the oldest banks in Sweden. It was established in the year 1856, around 161 years ago. It is one of the most significant savings banks in Sweden. The head-quarter of this bank is located in Arvika and it operates majorly in Western Warmland. In the year 1998, it has become a part of Swedbank. It has employed around 100 employees. At the end of 2016, it had total assets of SEK 9.5 million.
We hope you liked this guide to top banks in Sweden. If you are looking forward to making a career in Banking, then you can check out some of the awesome resources –