E*TRADE FINANCIAL Corporation (NASDAQ: ETFC) today announced the launch of E*TRADE in Norway.
E*TRADE FINANCIAL's wholly-owned Danish subsidiary, E*TRADE Bank A/S, will offer online trading of all Norwegian shares listed on Oslo Bors, as well as online trading on the other Scandinavian markets (Sweden, Denmark and Finland) and the American markets. With the launch of E*TRADE in Norway, E*TRADE now operates branded websites in 15 countries worldwide. E*TRADE Bank is welcomed by the Oslo Stock Exchange and is approved by the Norwegian Kreditttilsynet and the Danish Finanstilsyn.
E*TRADE Bank will offer retail investors in Norway lower trading prices and an award-winning trading platform. Customers will trade at a fixed brokerage cost of NOK 20 for the remainder of 2007, maximizing savings for the company's active traders. E*TRADE Bank in Norway is 100 percent fee free. Beginning in 2008, E*TRADE Bank will operate with a brokerage cost from 0,045 percent, with a minimum cost of NOK 49.
Management is confident that the business model of E*TRADE Bank will raise the stakes so far as pricing and quality in the industry is concerned. "Many Norwegians are currently charged too much in various costs and fees in connection with trading stock," said Jens Hoyer, Director Nordic, E*TRADE Bank. "We are entering the market with a price level significantly below the Norwegian average, and we plan to continue to be a low-cost alternative in the Norwegian market."
Leveraging E*TRADE's tried-and-tested business model and local management expertise, E*TRADE FINANCIAL is confident that E*TRADE Bank will contribute to the company's global business goals. Norwegian operations will be run from E*TRADE Bank in Denmark which ensures that Norwegian investors will benefit from innovative and cost-efficient investing solutions -- a model that earned E*TRADE Bank the title "Bank/Broker of the Year" in Denmark in 2005 and 2006 by "The Association of Danish Shareholders" (Dansk Aktionaerforening).
The interest in trading stock is growing rapidly among retail consumers, according to the Norwegian stock exchange Oslo Bors. "We are pleased that E*TRADE Bank is launching in Norway," said Tor Arne Olsen, Oslo Bors. "We hope this will contribute positively to the development of the private trading culture, as well as act as a great catalyst for the level of competition, which in the end will benefit Norwegian investors."
E*TRADE Bank plans to offer Norwegian retail investors a competitive alternative. "Competition has stalled in the Norwegian market, and retail investors are paying the price," said Mathias Helleu, Executive Vice President Global Retail, E*TRADE FINANCIAL. "We will reinvigorate the industry landscape by lowering prices while offering premier execution quality and service, with a model that has won prizes on the Danish market. Our business model gives us a lot of competitive room to navigate without having to compromise on earnings or product quality."