EU, Italy sold financial products “inadequate to people perhaps unaware” – Il Sole 24 Ore

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This article was published on Dec. 10, 2015 at 13:14.
The last change is the December 10, 2015 at 20:12.

Brussels wand Italy and what happened on the sale of securities of 4 banks in crisis to savers. Theme subject to an order of the government a few days ago, and controversy. According to European Commissioner for financial services Jonathan Hill, “the modalities used in the reorganization of the four regional Italian banks – Banca Etruria, Banca Marche, Carife and Carichieti – are those that in the dialogue between the government and the European Commission were compatible with Community law and especially with the new rules on State aid “

However, Hill adds,” there is clearly a case in Italy, I am aware that here we have been very harsh and difficult consequences and I think that basically you back to the point that the banks in question have sold inappropriate products to people who maybe did not know what they bought. ” Hill stressed that the Italian government “to be at the helm” of the rescue of the four banks and has “responsibility for this.”

“This is linked to a broader question on the protection of consumers and how we can build a stronger market for retail financial products. We must have citizens who feel secure in investing for this – concluded Hill – we need systems which ensure that people know what they are buying. ”

The transparency in the delivery of financial services is regulated at European level by MiFID in place since 2007. A new directive on markets in financial instruments, the number 65 of 2014, will be implemented by Member States by mid-2016 and applied with effect from the beginning of 2017 (but could be postponed). The Mifid2, replacing the previous 2002 Directive, is accompanied by Regulation (EU) No. 600/2014. The aim of the new legislation, among other forms, is to get to a general increase in the level of information provided to clients on complex financial products. There is also a broader definition of organized exchange markets.

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