Between Intention and Reality: RIS and FIDA under Scrutiny

Those who wish to strengthen retail participation in capital markets must not build regulatory barriers to entry. Yet current developments in Brussels suggest a growing risk of precisely that. Two legislative initiatives are currently under the spotlight: the Retail Investment Strategy (RIS) and the Framework for Financial Data Access (FIDA). Both aim to reshape key aspects of the European financial market architecture – but with vastly different objectives and implications.

Retail Investment Strategy: Well-Intended but Ill-Designed

The declared aim of the RIS is to empower retail investors and mobilize private capital to stimulate economic growth. A legitimate goal, in principle. But the way the legislative process is unfolding tells a different story. The ongoing trilogue negotiations have reached an impasse, with three divergent texts from the European Commission, the Council, and the Parliament confronting each other – some with fundamental contradictions.

According to Members of the European Parliament, the current trilogue represents an unprecedented situation: for the first time, both Council and Parliament have formally rejected the Commission's original draft, jointly urging the Commission to revise and simplify its own proposal...

The European Federation of Financial Advisers and Financial Intermediaries (FECIF) was chartered in June 1999 for the defence and promotion of the role of financial advisers and intermediaries in Europe.

FECIF, the only body representing European financial advisers and intermediaries, it is based in Brussels, the heart of Europe.