?Ärligt talat så har det [tradingen] blivit en skitaffär?
En fallstudie av HQ Bank
The global financial crisis hit hard on banking operations worldwide and the sector fell under considerable scrutiny, with particular criticism directed against the banks' own trading practices. A bank owned by the Swedish financial corporation HQ seemed to go without serious financial damage duringthe crisis.In 2008 Finansinspektionen began a review of HQ's activities and a number of shortcomings were identified. Among other things, HQ's risk management was questioned by Finansinspektionen and further how this potentially affected the valuation of complex financial products.In our paper we have chosen to highlight both national and international laws and guidelines that HQ used for their operations and study if HQ followed those laws and guidelines. We also want topresent the theoretical model used by HQ for the valuation of its European options and how HQ calculated their capital requirements ratio. Our purpose is to show how the valuation affected the capitalrequirement ratio and whether HQ followed the necessary laws and guidelines for the valuation of complex financial products.We have chosen to carry out a case study from a deductive approach. Because we did not have access to all empirical data regarding the case study of HQ we have been limited to test the theoryon the official material regarding HQ.After compiling and reviewing the empirical data it brought to light that HQ is likely to have violated lagen (1995:1559) om arsredovisning i kreditinstitut och vardepappersbolag. HQ has not compliedwith regulations and guidelines that are available from Finansinspektionen, which led to the option portfolio being overrated and market risks to be underestimated.