While trying to place an order on an ETF you might receive the following error messages due to possible restrictions:
For a number of ETFs, the manufacturer/issuer may have chosen not to obtain FINMA authorization and/or may not have issued a Key Information Document (KID). Consequently, Saxo will not be in a position to facilitate trading in these instruments for retail clients.
What is a KID and why is it required?
Based on the Swiss Collective Investment Schemes Act (CISA) and the Swiss Financial Services Act (FINSA) retail clients may only trade ETFs that have been authorized by the Swiss Financial Markets Supervisory Authority (FINMA) for offering in Switzerland and for which a Key Information Document (KID) has been produced. The KID describes the key features of the product including its characteristics, risk/return profile and costs.
| To find out if you can trade an ETF in your country, visit our website: ETF available in my country |
How can I check if an ETF has the required KID?
You can check if an instrument has the required KID in the Product Overview itself and also under the Trading Conditions (i) > Trading Rates > Key Information Document
Why can’t I trade an ETF even if the provider has produced a KID?
Before an ETF becomes available for trading, the ETF provider must ensure that it complies with regulatory requirements in each country where it intends to distribute the fund. This involves obtaining necessary approvals and meeting local regulations. If the ETF is not distributable in your country, Saxo cannot make it available for trading.
I was able to trade a particular ETF until now, but not anymore, why?
You might lose access to trade a specific ETF for the following reason:
The PRIIPs regulation requires the KID to be updated whenever there are changes to the information that are significant enough to affect the investor’s decision to invest. Saxo must therefore restrict access to trade ETFs where providers haven't yet updated the KIDs, until the new updated KIDs are made available again.