The German financial supervisory authority Bafin has announced plans to restrict the marketing, distribution and sale of turbo certificates to retail investors based in Germany.
The regulator has issued a general administrative order to inform the affected market participants. The product intervention is based on a market survey carried out by Bafin which raised ‘significant concerns’ regarding investor protection. Seven out of 10 small investors suffer losses when trading turbo certificates According to the new guidelines, in the future, the marketing, distribution and sale of turbo certificates to retail investors resident in Germany will only be poss