2016-03-02 11:29

Bank Payouts at Risk in Sweden Following Latest Regulatory Blow

Phil Noble (Reuters / Scanpix) nuotr.
Phil Noble (Reuters / Scanpix) nuotr.
Once the darlings of European finance, Sweden’s banks have had a harder time of late.

New Swedish bank rules unveiled on Tuesday risk leaving less money for shareholder rewards. Svenska Handelsbanken AB, which is hardest hit by the change, says it still needs to work out how badly its capital ratio will be affected. But it can already see that its risk-weighted assets will swell by more than $10 billion, according to Mikael Hallaaker, the bank’s head of investor relations.

That puts dividend-per-share forecasts for Handelsbanken “at risk,” according to analysts at DNB Markets.

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