REUTERS SUMMIT-Denmark's Saxo Bank wants more business outside FX market

(Repeats to add SAXO to story slug)

* Danish Saxo Bank is looking for more diversified business model

* Saxo Bank CEO says to increase business via more asset classes

By Ole Mikkelsen

COPENHAGEN, Sept 30 (Reuters) - Specialised investment bank Saxo Bank wants to diversify activities more and aim to increase profit from other areas than foreign exchange trading which last year accounted for two- thirds of the bank's revenue, its chief executive told Reuters.

The Copenhagen-based bank, which has operations in 25 countries and a daily average turnover of 100 billion Danish crowns ($18.16 billion), is behind around 60 percent of the total Danish FX spot market.

"We want a more balanced business and that trend is already going on. Activities in other asset classes are growing more than FX trading," co-Chief Executive Kim Fournais said in an interview on Monday at the Reuters Nordic Investment Summit.

Two-thirds of the bank's revenue came from foreign exchange trading last year, down from 97 percent 10 years ago.

"The bank is a sailing boat now that moves when volatility causes customers to trade. We are trying to put an engine in the sailing boat, so it also moves when volatility is low," said Fournais.

The solutions are more asset classes and more fee-based products. Later this week the bank will be targeting small and medium-sized companies in the Nordic countries with a product aimed at covering risk against a specific currency or commodity.

"It's basically focused on FX and fixed income and it will remove complexity, save money for companies and will be able to scale much better," said Fournais.

A quarter of the bank's earnings is generated in Central and Eastern Europe while Asia Pacific is the second biggest region. Just around five percent is from countries in the Nordics.

"Scandinavia has not been in focus for us but it will be now," said Fournais.

The banking market in the Nordics is mature but according to Fournais it is a traditional bank market, whereas in many other markets private investors are used to investing their own money. Saxo Bank expect more private individuals in the Nordic countries will be ready to do their own investment instead of letting banks do it in a more expensive way.

According to Fournais, customers can save money by switching their business to online brokers like itself, away from traditional banks that charge big fees.

Saxo Bank, whose rivals include FXCM Inc (NYSE: FXCM - news) and Interactive Brokers (NasdaqGS: IBKR - news) Group Inc, is among the top 30 foreign exchange banks based on volume and one of the biggest in retail forex trading.

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Reuters Insider interview: http://reut.rs/1fC6hMs ($1 = 5.5072 Danish crowns) (Editing by Stephen Nisbet)