The Governing Council of the European Central Bank (ECB) has notified that it
has designated AS LHV Group as a significant financial holding company and will
subject both AS LHV Group and its subsidiary AS LHV Pank to its direct
supervision starting from 1 January 2023. So far, LHV is supervised by the
Estonian Financial Supervision and Resolution Authority.
As a competent authority, the ECB exercises direct supervision over credit
institutions that are significant according to the criteria of the Single
Supervisory Mechanism Regulation. The significance of credit institutions is
determined according to the criteria set forth in Article 6 of the Regulation,
taking into consideration the total value of the credit institution's assets,
its importance for the economy of their state of location or the European Union
as a whole, the significance of cross-border activities as well as whether the
credit institution has requested or received financial assistance from the
European aid mechanisms. In its decision, the ECB assessed that LHV plays a
significant role in the economy of Estonia and the group's assets accounted for
more than 20% of Estonia's gross domestic product.
LHV Group is the largest domestic financial group and capital provider in
Estonia. LHV Group's key subsidiaries are LHV Pank, LHV Varahaldus, and LHV
Kindlustus. The Group employs more than 860 people. As at the end of October,
LHV's banking services are used by 369,000 clients, the pension funds managed by
LHV have 130,000 active clients, and LHV Kindlustus protects a total of
150,000 clients. LHV's UK branch offers banking infrastructure to 200
international financial services companies, via which LHV's payment services
reach clients around the world.
Priit Rum
LHV Communication Manager
Phone: +372 502 0786
Email: priit.rum@lhv.ee (mailto:priit.rum@lhv.ee)
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