Discrepancy between investment agreement and profile

We have identified a number of investment agreements that were registered incorrectly, resulting in discrepancies between the customers’ investment agreements and investment profiles. In some cases, the error dates back to 2007, and it may have resulted in customers having achieved a lower or higher return than they would have achieved if the agreement had been registered correctly.

We are strengthening our controls and updating our processes for how investment agreements are registered to prevent similar errors from occurring again.

Customers affected and information to them 

Around 600 customers are affected across the Nordic region, primarily in Denmark. We are inviting all affected customers to a meeting with an investment specialist to ensure alignment between their agreement and profile. Customers who have suffered a loss due to the registration error will be compensated. 

Numbers below updated 1 February 2021

Around 600 customers estimated to be affected

511 customers informed about being affected

226 customers confirmed for compensation

Timeline

  • Dec. 2020 –Affected customers begin to receive information

    In December 2020, we begin to inform the 600 affected customers across the Nordic region about the discrepancy between their investment profile and their agreement that has arisen due to an error in manual registrations and invite them to an investment meeting to ensure alignment between their agreement and profile.

    Furthermore, Danske Bank starts contacting around 1,900 customers for whom there are discrepancies between their investment profile and the investment agreement. For these customers, the discrepancies are not a result of incorrect manual registrations. In this case the discrepancies may be the result of customers having their investment profiles updated during an advisory meeting – and subsequently not returning a signed investment agreement to Danske Bank. 

  • Nov. 2020 – Review of customer cases

    In November 2020, Danske Bank begins to review customer cases to identify for which customers there is a discrepancy between their investment agreement and their investment profile due to a registration error made by Danske Bank.

  • Sept. 2020 – The issue is identified and an internal review is initiated

    In connection with an extensive review of customers’ investment agreements and investment profiles in September 2020, we identify a number of cases in which incorrect registration of investment agreements has resulted in discrepancies between the customers’ investment agreements and their investment profiles. An internal review is initiated to understand the root causes and scope of the issue.

    We also begin strengthening our controls and updating our processes for how investment agreements are registered to prevent similar errors from occurring again.

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