Derivatives on the rise in diverse markets

Companies in the Nordic region are sophisticated users of derivatives and far advanced in theirpreparations for IAS 39. Now they are looking at using new products to improve cashflowperformance. Meanwhile funds are looking to invest in listed products.

The Nordic region – which covers Denmark, Finland, Iceland, Norway and Sweden – is all too easily considered homogenous. But the countries in this huge geographical area with a population of just 24 million are as diverse in their financial systems as they are in their cultures.

Necessarily, these differences – and the types of industries in each country, level of government intervention in the economy and sophistication of investors – inform how the derivatives markets in each country have