Finanstilsynet Regulations to the Securities Trading Act (Securities ...

II. INVESTMENT RECOMMENDATIONS
Section 3-5. Scope of the provisions of this subchapter
(1) The provisions of this subchapter apply to any person who on a professional basis
prepares or transmits investment recommendations relating to financial instruments or the
issuers of such which are intended for a distribution channel or the general public. For
investment firms that prepare investment recommendations the rules of section 9-23 to
section 9-28 shall also apply.
(2) The rules of section 3-9 subsections (1) and (2) and section 3-11 subsections (1) and
(2) apply only to investment recommendations that are prepared by individuals whose
main business is to prepare such recommendations.
(3) The rules of section 3-9 subsection (3) and section 3-11 subsections (3) and (4) apply
only to investment recommendations that are prepared by an investment firm or credit
institution.
(4) The provisions of this subchapter do not apply to investment advice as mentioned in
the Securities Trading Act section 2-4 unless it is probable that the recommendation will
be distributed or published and thereby regarded as an investment recommendation under
subsection (1).
(5) The provisions of this subchapter do not apply to the press where the press is subject
to satisfactory self-regulation.
Section 3-6. Definitions of central concepts in this subchapter
(1) ‘Person’ means a natural or legal person.
(2) ‘Investment recommendation’ means an analysis, report, article or other form of
written or verbal information that recommends or suggests an investment or investment
strategy.
(3) ‘Information that recommends or suggests an investment or investment strategy’
means:
(a) if the information has been prepared by a person whose main business is the
preparation of investment recommendations: information that directly or indirectly
expresses a specific investment recommendation concerning one or more financial
instruments or issuers of such, for example information giving an opinion as to the
present or future value or price of the financial instrument.
(b) if the information was prepared by persons other that those covered by (a):
information that directly expresses a specific investment recommendation concerning
one or more financial instruments, for example a recommendation to buy, sell or hold
a financial instrument.
(4) ‘Person whose main business is to prepare investment recommendations’ means:
(a) independent analysts
(b) investment firms
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