New EU regulations might stop free personal investment
| Related: | Personal Finance•Investing•Share Dealing |
Newly proposed EU regulations aim to make everyone interested in investing on the stock market undergo an 'appropriateness test' on every transaction to make sure the investor is aware of the risks involved.
It will effectively end the 'execution only' means of investment, and the cost to the share broker or fund market of complying could end free investment transactions meaning everyone would have to pay a qualified individual to make investments on their behalf.
What do you think of this? Is it a good thing to prevent people investing in products they don't understand, or is it just another example of the growing nanny state?
Responses (2)
Excellent question and one reason why I hate bureaucracy so much ... it takes the fun and individualism out of life.
Yes, it is another soul destroying example of the nanny state and just goes to show how the 'jobsworth' brigade is alive and kicking.
Everyone is so aware that investments depend on one prices that can go up as well as down and when we sign on the dotted line, we do so with that firmly in our minds. Do we need a so called 'professional' to enhance the risk even further and of course, at cost? Do we heck! Abd if we did have to pay for such 'professional' advice or 'execution', does that mean a professional indemnity will kick in if things go badly wrong? That would be a 'win win' situation I suggest. That would be a nighmare of professional liability I suggest.
No, leave things as they are. I mean, who wants to promote more 'jobs for the boys' anyway? People do not need to be told if they are taking risks, do they? Paying to be told is simply as insult to intelligence.
I mean what next? Paid dietary consultants in every branch of McDonalds?
Its another way of screwing a few quid out of the private investor its now well known that these so called qualified investors screw up hence the state this country is in.
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