Press Release

“Retail investors must lie at the heart of the CMU” – WMA’s initial response to the CMU Green Paper

18th February 2015

The Wealth Management Association (WMA) welcomes the European Commission’s Green Paper on establishing a Capital Markets Union (CMU), especially its focus on translating savings into investment.

WMA will be working to ensure that the retail investor is seen as key for contributing to future growth and development within the EU and is encouraged in this by the European Commission’s analysis of the need to boost retail investment.  In its initial response to the Green Paper WMA highlights five key principles that should inform the debate:

  1. Retail investors must lie at the heart of the CMU
  2. Transforming retail savings into productive investments for both individuals and the economy is a vital part of the CMU
  3. CMU must recognise legitimate differences between financial sectors, markets and member state practices
  4. CMU should ensure that legislation is based on need, is well focussed and is not one size fits all
  5. Retail supervision in the CMU should happen as close as possible to the markets and private investors

Liz Field, CEO of the Wealth Management Association, commented:

“The creation of the Capital Markets Union is a real opportunity to boost economic growth in Europe. The WMA applauds ambitions to lift jobs and growth in the EU by helping businesses to ‘tap into diverse sources of capital from anywhere within the EU and offer investors and savers additional opportunities to put their money to work’.

WMA’s five key principles highlight important areas for consideration from the retail market perspective as the CMU debate evolves and we will continue to feed into the process and represent the interests of the retail investor to ensure they lie at the heart of future plans”.

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Notes for Editors

About the Wealth Management Association (WMA)

  • The Wealth Management Association (WMA) is a trade association representing 186 Wealth Management firms and Associate members.
  • 110 full members are wealth management and stockbroking firms that deal directly for over 4 million retail investors.
  • They deal in stocks and shares and other financial instruments for individuals, trusts and charities through a range of services spanning execution only, advisory and discretionary fund management.
  • 76 associate member firms provide professional services to our full member firms.
  • WMA’s aim is to ensure that business, regulatory, tax and other relevant changes across Europe are appropriate and proportionate for the investment community and their clients.
  • Our member firms manage in excess of £650 billion of wealth in the UK, Ireland, Channel Islands and Isle of Man.
  • The firms operate across more than 580 sites, employing over 32 000 staff.
  • The firms also run over 5.5 million client portfolios and carry out over 20 million trades a year.

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