Investment service providers

If a service provider authorised in Finland intends to establish a branch in another EEA member state, it must notify the Financial Supervisory Authority (FIN-FSA). The FIN-FSA notifies the authority of the future host country within three (3) months, appending the additional information required of the supervisory authority by the Directive. Activities may only be commenced once a response has been received from the authority of the host country or two (2) months have passed since the host authority received the notification.

Forms:

• Establishment of a branch in another EEA member state
• Appendix: Programme of operations

If a service provider authorised in Finland intends to provide services across the border in another EEA member state, it must notify the FIN-FSA. The FIN-FSA files a notification with the authority of the future host country within one (1) month. Activities may be commenced immediately after the FIN-FSA has made this notification.

Form:

• Provision of cross-border services

An investment firm may also appoint a tied agent to act on its behalf in the EEA. If a service provider authorised in Finland intends to provide services across the border to another EEA country, it must notify the FIN-FSA of its intention with the notification form available on this website. The FIN-FSA files a notification with the authority of the future host country within one (1) month. Activities may be commenced immediately after the FIN-FSA has made this notification.

Form:

• Provision of cross-border services via tied agent

If a Finnish investment firm establishes a branch outside the EEA member states, it needs authorisation granted by the FIN-FSA.

Obtaining authorisation requires that supervision of the branch is effective and covers all operating units. Establishing a branch must not, moreover, jeopardise the activities of the investment firm.

A Finnish investment firm may provide services across the border outside the EEA without having to establish a branch. In that case, the FIN-FSA must be notified in advance as to what services are intended to be provided as well as where and how they will be provided. The supervised entity must clarify the requirements for the activities set by the host country.

If an investment firm coming from outside the EEA intends to establish a branch in Finland, it must apply for authorisation from the FIN-FSA.

The activities of the investment firm must comply with the regulations in force in Finland. Furthermore, the financial operating basis and governance must meet the requirements set for reliable activities.

The domestic legislation of the investment firm must correspond to internationally approved rules for financial supervision as well as recommendations concerning the prevention of criminal abuse of the financial system. Supervision must be adequately effective. In connection with applying for authorisation, the investment firm must give a statement on the protective system established for the benefit of the depositors and investors of the branch, or the lack thereof.

An investment firm authorised in a country outside the EEA may provide services across the border to professional clients and approved counterparties when it is entered in the register of the European Securities and Markets Authority (ESMA). Registration is possible when the Commission has made an equivalence decision relating to the regulation and supervision of the home state applying for registration.

In accordance with chapter 5, section 7(2) of the Investment Services Act, a third-country firm may provide investment services or perform investment activities and provide ancillary services to eligible counterparties and to professional clients referred to in Annex II, Part I of the Markets in Financial Instruments Directive in Finland, subject to an authorisation by the FIN-FSA, without establishing a branch. For more detailed instructions concerning authorisation, see section “Authorisation of a third-country investment firm” on this page.

The cross-border authorization application should include the following information on the firm and its cross-border activities in Finland (Chapter 5 Section 7 (3) of the Finnish Act on Investment Services):

1. All relevant details of the firm (legal name and any other trading name to be used, legal form, registered office and address, members of the management body, relevant shareholders (10 % or more), contact details);
2. A certified copy of the articles of association;
3. A certified copy of the license/authorization the third-country firm holds in its home state;
4. An extract from the commercial register (or similar) where the third country firm is registered, which indicates the board of directors (management body) and the CEO of the firm as well as their deputies;
5. A programme of operations setting out the investment services and/or activities, ancillary services and financial instruments to be provided on a cross-border basis in Finland. Please use the MiFID II Annex 1 codes A(1), A(2) etc.;
6. The name of the home state regulator responsible for the firm’s supervision in the third country concerned and in case of more than one, the division of duties between those;
7. A permission from the home state regulator for the third-country firm to carry out cross-border activities in Finland, where such permission is necessary under home state law; and
8. An extract of the decision made by the relevant body of the third country firm to apply for an authorization in Finland with a reference to the Act on Investment Services Section 5, paragraph 7 (2) and (3).
9. As regards transaction reporting, the applicant is requested to notify:
   1. The timeline in which the applicant aims to establish connectivity to FIN-FSA transaction reporting system (directly or via an ARM) for test environment and for production environment OR
   2. Confirmation if the transaction reporting obligation does not apply to the intended activities
10. Invoicing address (both email and postal address). You will receive the payment details after the authorization has been granted.

The application should be submitted to the FIN-FSA Registry at kirjaamo(at)fiva.fi.

After the authorisation has been granted, it may be amended either by extending the authorisation to new services or by withdrawing services from the authorisation.

An application for the extension of authorisation must include the following information:

1. A renewed programme of operations setting out the investment services and/or activities, ancillary services and financial instruments to be provided on a cross-border basis in Finland. Please use the MiFID II Annex 1 codes A(1), A(2) etc.;
2. An extract of the decision made by the relevant body of the third country firm to apply for an extension of authorization in Finland with a reference to the Act on Investment Services Section 5, paragraph 7 (2) and (3).
3. As regards transaction reporting, the applicant is requested to submit the following information if the firm does not already provide transaction reporting to the FIN-FSA:
   1. The timeline in which the applicant aims to establish connectivity to FIN-FSA transaction reporting system (directly or via an ARM) for test environment and for production environment OR
   2. Confirmation if the transaction reporting obligation does not apply to the intended activities
4. Invoicing address (both email and postal address). You will receive the payment details after the authorization has been granted.

The application should be submitted to the FIN-FSA Registry at kirjaamo(at)fiva.fi.

An application for the partial withdrawal of authorisation must include the following information:

1. List of services whose authorisation is requested to be withdrawn.
2. A statement/report that the firm no longer provides the investment services subject to the withdrawal in Finland and that it no longer has any customers in Finland, to which it provides the services subject to the withdrawal.
3. An extract of the decision made by the relevant body of the firm to apply for the withdrawal since
   1. the firm no longer provides the investment services subject to the withdrawal in Finland
   2. the firm no longer has Finnish customers, to which it provides the services subject to the withdrawal
4. Invoicing address (both email and postal address). You will receive the payment details after the decision has been made.

The application should be submitted to the FIN-FSA Registry at kirjaamo(at)fiva.fi.

An application for the withdrawal of authorisation must include the following information:

1. A statement/report that the firm no longer provides services in Finland and that it does not have any Finnish customers.
2. An extract of the decision made by the management body of the firm to apply for the withdrawal since
   1. the firm no longer provides services in Finland and
   2. the firm does not have any Finnish customers.
3. Invoicing address (both email and postal address). You will receive the payment details after the decision has been made. The FIN-FSA charges a fee on the withdrawal of third country firm cross-border authorization in accordance with the effective schedule of processing fees (service/product: Other decisions and exemptions: decisions, permissions, exemptions and notifications).

The FIN-FSA charges a fee in accordance with its schedule of specific fees for processing the notification.

Please note that act on FIN-FSA's supervision fees was amended so that the person liable to pay is charged the supervision fee for the whole year, despite the fact that the authorisation is withdrawn in the middle of the year. The amendment entered into force 1 January 2024.

The application should be submitted to the FIN-FSA Registry at kirjaamo(at)fiva.fi.

The firm should notify the FIN-FSA of any material changes concerning information submitted in connection with authorisation. The notifications should be submitted at sipa-ilmoitukset(at)finanssivalvonta.fi.