Change in supervision of financial investment brokers slowed down

Berlin The law was considered urgent. Before the parliamentary summer break, the government project, which provides for a change of supervision, should be adopted.

But according to the Handelsblatt, the schedule cannot be kept from political circles. The Union has requests for changes that cannot be implemented in the short term. Since the rapporteurs from the SPD and Union could not agree, the responsible vice-group leaders were involved. Although the SPD insists that the coalition agreement be adhered to, the project is doomed to fail without the Social Democrats’ willingness to compromise.

The 38,000 financial asset brokers and fee-based financial investment advisors are actually to be controlled by the financial regulator Bafin in the future. The Chambers of Industry and Commerce (IHK) and trade offices are currently responsible for this.

Klaus Müller, board member of the Federation of German Consumer Organizations (VZBV), has already warned that the planned innovation will not fail. “The IHKs are stakeholders for financial investment brokers. It is therefore impossible for them to be responsible for supervision any longer, ”Müller told the Handelsblatt.

“Consumers need security in their finances and thus security in the supervision of financial intermediaries,” says Müller. However, Germany’s top consumer advocate sees “still room for improvement” in the Bafin prospect after the Wirecard scandal.

For the interest groups of the investment brokers, the failure of Bafin at Wirecard supervision is a steep step. “In view of the Wirecard scandal and the resulting increasing lack of publicity, even the Bafin – a superau – it seems impossible to delegate additional tasks to the Bafin,” says Norman Wirth, executive director of the AfW Federal Association of Financial Services. The first parliamentarians see it that way. “The Wirecard events show that the Bafin first has to clean up internally instead of devoting itself to new tasks,” says Frank Schäffler, finance expert of the FDP.

The SPD’s spokesman for finance policy, Lothar Binding, draws other conclusions. “Using Wirecard as an example, we can see what effects it will have if the competencies of the supervisory authority are not extensive enough,” he told the Handelsblatt. It was all the more important to strengthen Bafin in the area of ​​financial sales and to bundle supervision with it.

Showdown after the summer break

The Union made it clear weeks ago that the draft law regulating investment brokers from the SPD-led Federal Ministry of Finance goes too far. The cabinet passed the draft law, including the ministers of the Union.

According to Union financial expert Carsten Brodesser, a possible compromise could look like this: “We are gradually transferring supervision to product categories. And we could start with the advisors who sell assets who need prospectuses, ”he told Handelsblatt.

In contrast to open-ended real estate funds, for example, these are clearly riskier commitments that are offered by around 6,000 consultants. In these cases, he would also advocate that the Bafin prospectuses not only check formally, but also materially, i.e. in terms of content. “That would be real consumer protection,” says Brodesser.

In contrast, SPD politician Binding does not want to commit to concrete details. “We are in ongoing discussions with our coalition partner to implement the agreement in the coalition agreement and to transfer supervision to Bafin,” said Binding. “We expect that we will pass the bill in the Bundestag quickly and do not think that the coalition agreement should be broken.” That will be decided after the summer break.

Investor lawyer Peter Mattil cannot fully understand the excitement surrounding the supervisory law. He advocates a change of supervision. There is almost no other EU country where there is a breakdown into financial market and trade supervision: “Supervision is more than just registration and formal monitoring of application and evidence requirements. It includes the assessment and, if necessary, an intervention regarding the care and quality of the profession. ”

More: Hardened fronts in the dispute over control of financial intermediaries. Read more here.

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