The Danish Financial Supervisory Authority has imposed an administrative fine of approximately USD 46.1 million on Saxo Bank.
The move followed findings of prolonged breaches of Denmark’s Money Laundering Act, as the regulator concluded that the bank failed to meet statutory requirements related to customer due diligence, particularly in documenting the purpose and expected nature of certain business relationships.
The supervisory review covered the period from January 2021 to May 2023 and concentrated on Saxo Bank’s handling of white-label arrangements. Under this model, third-party partners use Saxo Bank’s trading infrastructure to service their own clients, placing responsibility for oversight and monitoring on the platform provider. According to the authority, deficiencies in information gathering and risk assessment meant that Saxo Bank could not sufficiently evaluate activity conducted through these partnerships.
Regulatory findings on white-label oversight
The regulator stated that Saxo Bank did not maintain adequate ongoing monitoring of white-label relationships and lacked sufficient insight into the underlying customer activity. These shortcomings were found to be inconsistent with sections 11(1)(4) and 11(1)(5) of the Money Laundering Act, which require companies to understand and continuously assess the risks associated with customer relationships. While the review did not uncover specific instances of money laundering, the authority cited structural weaknesses in the bank’s control framework.
In determining the size of the fine, the Danish Financial Supervisory Authority considered Saxo Bank’s financial capacity and the seriousness of the breaches. Although this initially pointed towards a higher penalty, the final amount was reduced. The authority noted that Saxo Bank cooperated with the investigation and took steps to address the identified gaps. By formally accepting the administrative fine, Saxo Bank avoided court proceedings while acknowledging the regulatory failures.
The enforcement action has also affected a planned share transaction involving Mandatum, which holds a 19.83% stake in Saxo Bank. Under an indemnity clause agreed during negotiations launched in March 2025, the purchase price will be reduced by roughly USD 8.7 million to account for the fine. Mandatum has indicated that this adjustment is not expected to materially affect its financial results, and the transaction remains scheduled for completion in early 2026, subject to regulatory approval.
Source: The Paypers
