|Bid||162.60 x 327700|
|Ask||162.65 x 246400|
|Day's Range||162.15 - 164.25|
|52 Week Range||135.50 - 174.20|
|Beta (3Y Monthly)||1.14|
|PE Ratio (TTM)||10.24|
|Earnings Date||Oct 24, 2019|
|Forward Dividend & Yield||8.25 (5.10%)|
|1y Target Est||169.97|
(Bloomberg) -- At the biggest bank in the richest Nordic economy, the head of wealth management is about to make life harder for his rivals by cutting fees yet again.DNB Asset Management, which oversees about 600 billion kroner ($67 billion) from Oslo, already lowered fees on several mutual funds back in February. That move gave the asset manager a bigger chunk of the market, with DNB’s share of Norwegian retail business growing to 32.2% in May from 29.8% at the end of March 2018.“We won’t sit still in the boat when competitors follow us,” Hakon Hansen, group executive vice president for Wealth Management & Insurance, said in an interview. “We will do more to defend our position on price toward our customers.”That means accepting smaller margins and lower prices for the whole retail segment, Hansen said. “That’s the direction we’re adjusting to.”The strategy at DNB Asset Management, which is a unit of DNB ASA, is the latest salvo in an ongoing price war in the industry. The digital bank Sbanken ASA cut its price on more than 400 funds in August. Other distributors, such as Nordnet AB, are considering new pricing models. Hansen says pricing is “an important strategic discussion.”Money management has emerged as a key way for banks to earn more as record low interest rates make traditional banking more difficult. But with more firms turning to the industry, the intense competition is eroding profits.“One has to look at all elements of the pricing of funds, both the producers but also definitely the distributors,” Hansen said. “It has been 50-50 between distributor and producer. It’s not certain that it will be like that in the future. What is certain is that it will be cheaper for the customer.”Wealth MergersThe pressure on margins in the fund management industry and higher regulatory costs have led to some consolidation in the Nordics. Storebrand ASA bought Skagen AS in 2017 and Carnegie Fonder acquired Alfred Berg’s Swedish funds in August.“The consolidation can continue,” Hansen said. “We monitor that. At the same time we have a strong underlying generic growth. We’re cautious on how simple buying asset management companies is. We have a sober attitude but if the right candidate is there we will evaluate it.”Hansen said wealth management has a “high degree of strategic freedom” within DNB since it’s a growth area with capital light revenues, especially in private banking.“Private banking is a super business,” he said. “Private banking is the area that had the nicest growth in the past 3-4 years. We see that continuing. We have a good position in the highest segment in Norway. And we start to do better in the lower segments within private banking.”To contact the reporter on this story: Jonas Cho Walsgard in Oslo at firstname.lastname@example.orgTo contact the editors responsible for this story: Jonas Bergman at email@example.com, Tasneem Hanfi BröggerFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Telenor ASA shares fell the most in over a year after the biggest phone carrier in the Nordic region cut its full-year outlook as it struggles amid increased competition in key markets.The Oslo-based company warned that revenue from phone customers and data would likely be little changed this year, after earlier anticipating a 2% gain. Earnings could also post a “low single digit” decline, compared to a previous forecast for a 1-3% gain. “The reason why we are lowering the guidance in 2019 is because we now include Thailand and we see much tougher than expected competition in Malaysia,” Chief Executive Officer Sigve Brekke said in an interview in Oslo after presenting earnings. Telenor is being pressured by slow growth in its mature markets in the Nordic region and competition at its businesses across Asia. The company is in the process of completing a takeover of Finland’s DNA Oyj, to further challenge its Swedish rival Telia Co AB. It’s also in talks with Axiata Group Bhd. to merge operations in Asia, combining their telecom and infrastructure assets to create a company with 300 million customers in nine countries.Second quarter profit also disappointed. Earnings before interest, depreciation and amortization fell 2% to 11.1 billion kroner ($1.3 billion), missing an estimate of 11.3 billion kroner. Revenue was in line with estimates at 28 billion kroner. The shares declined as much as 5.7%, the biggest intraday drop since June last year. They were down 4% to 174.95 kroner as of 1:42 p.m. in Oslo. “We will continue to cut costs on a group level,” Brekke said. “Digitalization of core businesses implies layoffs in customer service and other parts of the business.” Frank Maao, an analyst at DNB ASA, said that the new outlook constitutes an implicit lowering of Ebitda growth guidance to about minus 1%. The numbers were “soft,” driven by weakness in Pakistan and Norway, he said.What Bloomberg Intelligence says...Telenor’s muted 2Q growth and lowered full-year outlook provide some sobering context for the company’s plans for a comprehensive merger of its Asian operations with Axiata. The deal, if approved, will help unlock additional cost savings and investment efficiencies to protect cash flow from sustained top-line weakness.-- Matthew Bloxham, senior industry analyst, to read research, click hereBrekke on Tuesday reiterated that the Axiata talks are expected to conclude in the third quarter. He also said that Telenor will reach a conclusion on a 5G supplier in Norway in the fourth quarter. (Added CEO comments in third and sixth paragraph.)To contact the reporter on this story: Sveinung Sleire in Oslo at firstname.lastname@example.orgTo contact the editors responsible for this story: Jonas Bergman at email@example.com, Tasneem Hanfi BröggerFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Rating Action: Moody's changes rating outlook to stable from negative for seven Norwegian banks and a covered bond company. Global Credit Research- 03 Jun 2019. Outlook change triggered by upcoming MREL ...
Nasdaq withdrew its offer for Oslo Bors on Monday, giving pan-European exchange Euronext free rein to pursue its bid for the Norwegian stock market operator after a five-month battle. Euronext secured approval from Norway's Ministry of Finance this month to buy more than 50% of Oslo Bors for 158 Norwegian crowns per share, effectively blocking Nasdaq's bid. Both had valued one of Europe's few independent stock market operators at around 6.8 billion Norwegian crowns (615.81 million pounds).
OSLO (Reuters) - Norway will allow Euronext to take a majority stake in Oslo Bors VPS, the country's finance ministry said on Monday, confirming an earlier statement by Euronext. The decision effectively ...
The Nordic region's six major banks are joining forces to set up a customer checking centre to crack down on money launderers, part of efforts to recover from a scandal that has shaken confidence in the finance industry. Danske Bank and Swedbank have lost billions from their market value after becoming embroiled in a money laundering scandal involving their businesses in the Baltics. The banks have promised to take steps to rectify shortcomings, such as their planned joint venture with rivals Handelsbanken, Nordea, SEB and DNB to perform common customer checks.
Norwegian banking group DNB's asset management arm has overcharged fund investors and must compensate around 180,000 customers, an appeals court ruled on Thursday, in what was billed as a test case for the industry. Based on the judges' guidelines, DNB will have to pay out a total of around 345 million Norwegian crowns (30.4 million pounds)in compensation, according to calculations by Norway's Consumer Council, which pursued the case on behalf of investors. DNB was not immediately available to comment on the level of compensation.
DNB, Norway's largest bank, reported a smaller-than-expected top-line growth for the first quarter on Friday, but said a recent rate hike by the central bank would have a positive impact from the second quarter onwards. "The Norwegian economy has got off to a flying start in 2019.
Attention dividend hunters! DNB ASA (OB:DNB) will be distributing its dividend of øre8.25 per share on the 10 May 2019, and will start trading ex-dividend in 3 days time on the 02 May 2019. What does this mean for current sharehold...
The Norwegian government does not currently plan to introduce maximum interest rate levels for small, short-term consumer loans, it said in an annual review of the banking industry on Friday. "This ...
PARIS/OSLO (Reuters) - Stock market operators Euronext and Nasdaq, both vying for the control of Norway's Oslo Bors, have been deemed fit and proper owners by the Norwegian financial supervisory authority, the finance ministry said. The verdict leaves it to the government to decide the outcome of the battle for control of one of the last independent stock market operators in northern Europe, which began when Euronext made a first, unsolicited move in December. The Norwegian bourse's response was to seek new bidders, encouraging U.S.-based Nasdaq to make a rival offer.
Want to participate in a research study? Help shape the future of investing tools and earn a $60 gift card! We often see insiders buying up shares in companies that perform well over the long term. On the other hand, we'd be remiss not...
Several banks operating in Norway made insufficient anti-money laundering risk assessments last year, the country's Financial Supervisory Authority (FSA) said in its annual report on Friday. While the FSA listed the banks that had been inspected, its report did not say which were found to have shortcomings. Last November, the FSA criticised DNB, Norway's largest bank, for not having sufficient systems in place to combat money laundering.
Several banks operating in Norway made insufficient anti-money laundering risk assessments last year, the country's Financial Supervisory Authority said in its annual report on Friday. While the FSA listed ...
One simple way to benefit from the stock market is to buy an index fund. But if you buy good businesses at attractive prices, your portfolio returns could exceed theRead More...
Nordea, the Nordic region's largest bank, handled 700 million euros (£602.3 million) in suspicious transactions between 2005 and 2017, Finnish broadcaster Yle reported on Monday, citing leaked documents. Yle, part of a group of media companies working on wider allegations of money laundering in the Baltics linked to Russia, said the money originated from companies registered in tax havens such as the British Virgin Islands, Panama or Belize. The leak did not reveal if Nordea, whose Nordic rivals Swedbank and Danske Bank face allegations over a money-laundering scandal in Estonia, had reported the alleged suspicious transactions to authorities, Yle said.