CURRENT ISSUES REGARDING THE PROTECTION OF RETAIL INVESTORS ON THE CAPITAL MARKET WITHIN THE EUROPEAN UNION

Abstract

In recent years, policymakers have paid increasing attention to the investor protection issue within the financial markets, which can be considered the backbone of the legal architecture (including the supervisory side) that supports capital markets. By their nature, investments in the financial market involve a number of specific risks to which investors are exposed, depending on the level of their financial education and the context provided by the authorities in the field. The paper approaches the current stage and limits of the capital market investor protection within the European Union. The actual focus on stability and the diversification of funding sources through the capital market calls for an increase in the importance of investor protection, which should be seen as a core issue of the revised legal framework.

Keywords

• capital market
• investor protection
• European Union
• the Capital Markets Union
• European Securities and Markets Authority (ESMA).