Financial regulation

Firms providing financial services must comply with extensive rules, often including authorisation or registration, internal control and reporting. The objectives are financial stability and customer protection. The rules apply to, among others, banks, payment service providers, fintech companies and other financial institutions.

FI is the supervisory authority for financial firms in Sweden. Supervision is conducted through periodic reporting and targeted reviews. Other actors also play an important role in ensuring safe financial services, for example the Financial Intelligence Unit and the Swedish Tax Agency. Their roles include investigating or supporting the investigation of money laundering, terrorist financing and economic crime. Our practice supports clients throughout Europe in engagements with competent authorities.

• Identify and verify customers (Know Your Customer, KYC).
• Report suspicious transactions to the FIU.
• Carry out risk assessments (both business-wide and case-specific).
• Maintain internal procedures to prevent money laundering.
• Train staff and conduct regular follow-up; structured financial regulation courses can support this obligation.

Morling Consulting helps companies implement and update these procedures in practice.

Such firms often process large volumes of personal data — for example for KYC and transaction monitoring. GDPR therefore applies alongside other regimes. Balancing requirements can be challenging, as the GDPR requires that all processing has a lawful basis, special category data receives enhanced safeguards, and the organisation can demonstrate privacy by design and by default. Our lawyers provide advice that aligns GDPR with financial services regulation.

Yes. Our lawyers have extensive experience with fintech and technology-driven financial services. We provide legal advice across the regulatory lifecycle for fintech — from authorisations and compliance to data protection and commercial contracts — to clients across Europe. Our financial regulation lawyers combine technical understanding with regulatory expertise.

Businesses that provide financial services or handle client funds, including:

• Banks and credit institutions.
• Payment institutions and electronic money institutions.
• Investment firms and fund managers.
• Currency exchanges, crowdfunding platforms and often fintech businesses.
• Insurance intermediaries and certain corporate groups within conglomerates.

We assess whether your business requires authorisation and what that entails, including organisational requirements, compliance with specific rulebooks and capital requirements.

Supervision is external: authorities review whether the firm complies with laws and regulations. Compliance is the internal function ensuring that it does. An effective compliance function reduces the risk of fines, reputational harm and business interruption.

Frequency depends on risk profile, size and history. Some actors receive regular checks; others may be subject to targeted reviews where deficiencies are suspected. Non-compliance can lead to remediation orders, administrative fines or, in severe cases, loss of permissions.

A risk-based approach means firms must calibrate their procedures and controls to the level of exposure, particularly for money laundering, product development and customer management. The higher the risk, the more robust the safeguards.

• Conduct legal pre-analysis for new product ideas.
• Integrate compliance into design and technology (“compliance by design”).
• Involve lawyers early in the development process.
• Ensure customer journeys and data processing comply with the rules governing financial services regulation.

Morling Consulting supports both strategy and legal review in product development.

Operating as a mortgage credit institution requires FI authorisation. They are subject to the Anti-Money Laundering Act and must submit internal governance documents already at the application stage. Morling Consulting assists with authorisations, internal governance and alignment with new regulatory requirements.

• Warning or order to take remedial action.
• Administrative fines.
• Withdrawal of authorisation or registration.

Morling Consulting supports firms subject to supervision or sanction proceedings.

What documentation is required to evidence compliance?

Authorities expect traceable and up-to-date documentation, including:

• Policies and guidelines for AML, risk management and KYC.
• Records of internal controls and follow-ups.
• Training materials and attendance lists.
• Registers of reported suspicious transactions.
• Documentation of actions taken following supervisory visits.

Morling Consulting drafts and reviews documentation so that it meets expectations from FI and other competent authorities across Europe.

• Identification of authorisation and registration requirements.
• Preparation of governance documents, policies and procedures.
• Execution of risk assessments and internal controls.
• Support in dealings with FI and other authorities.
• Advice in supervisory and sanction matters across Europe.