The Priips Law and Exchange Traded Funds (ETFs)

From October 1, 2024, Norwegians will no longer be able to purchase funds listed on exchanges in the USA and Canada. The reason is an EU regulation adopted as law in Norway.

The so-called PRIIPS law stipulates that financial products cannot be sold unless the provider simultaneously provides key information about the product in a "Key Information Document" (KID). The PRIIPS law regulates what information you as an investor should have about the product and how this information should be provided.

Investors will be helped to make an informed choice

The PRIIPS Law has been adopted to help you as a non-professional investor make good choices. You will receive good and understandable information about the product’s properties, risk, return and loss opportunities, as well as costs. The product supplier is required to set up the information. It must be given in a three-page document according to certain rules, the document is called KID. If a provider does not offer the KID in the official language of the country where the product is sold, they are not allowed to sell there. We who distribute and sell the products are responsible for ensuring that you as an investor have access to the KID.

What is the PRIIPS Law?

PRIIPS is an abbreviation for “Packaged retail, insurance and investment products”. The PRIIPs regulations are essentially an EU regulation adopted as law in Norway.

The PRIIPs law requires producers and providers of investment products to give non-professional investors key information (KID) about products before investing.

The PRIIPS Law (Lovdata, NO)

Some North American ETFs will have KID

US flag and dollar with a graph on the front

US providers of ETFs are not required to offer KID.

From October 1, you will no longer be able to purchase exchange-traded funds (ETFs) listed on exchanges in the USA and Canada. However, you can keep any ETFs you already own on the stock exchange in these countries, and you can also sell them. The ban applies to new purchases.

However, many American and Canadian ETFs are also listed on European stock exchanges. US funds offered in Europe and have Norwegian KID available can still be bought by our customers.

In DNB’s equity trading service, we have several thousand ETFs, which meet the KID requirement.

Questions and answers about ETFs

What is an exchange-traded fund, an ETF?

An Exchange Traded Fund (ETF) is a mutual fund that you can trade on the stock exchange. These mutual funds can consist of shares or other securities that follow the price of an underlying index.

By trading ETFs, you can get exposure to shares, indices, currencies and commodities just as easily as you trade a share.

Some of the products give you both short and long exposure to the underlying asset, as well as increased exposure through gearing.

Where can I find the ETFs that DNB offers?

You will find the selection of Norwegian and international ETFs in the online equity trading service . When you log in, click on the summary page in the online equity trading service and then on ‘Markets and Prices’.

Several of the ETFs are registered on foreign stock exchanges. In order to trade on foreign stock exchanges, you must sign an agreement on foreign deposits.

This agreement can be signed by clicking on ‘My profile’ and selecting ‘Securities - Foreign’.

Is there a minimum amount for buying ETFs?

Which types of commodity ETFs can I buy through DNB?

How can I buy and sell in purely practical terms?

What is the difference between and ETF and a mutual fund?

You can buy normal funds, or mutual funds, directly from your bank or from a mutual fund provider. Mutual funds are managed, either passively (index funds) or actively, by a portfolio manager.

Even index funds, passively managed funds, will often involve a small element of management. Unethical and environmentally hostile companies will for example be removed. An index fund is hence not exactly the same as the index it measures itself against, but slightly adapted. However, an ETF that invests in an index will contain all of the companies in the index – no companies are excluded.

Because an ETF is a completely passive reflection of a share index or price index, these funds are usually also cheaper than mutual funds.

What does it cost to buy and sell ETFs?

What is a commodity ETF?

How can I follow the changes in value?

Can I buy and sell ETFs at any time of the day?

Our prices and terms and conditions

Securities trading is subject to strict rules. We’ve gathered all our terms and conditions onto one page. Here you will find our obligations as an investment firm. In addition, you’ll find information on what you, as a customer, are obliged to familiarise yourself with, and what our services cost.

Prices, terms and conditions