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Baker & McKenzie Briefs on Changes to EU Rules Relevant for Advisory and Distribution Activities

Firm News
11 June 2012
Global, June 11, 2012 – On June 11 2012, Baker & McKenzie Zurich held a breakfast briefing on the Changes in EU Rules Relevant for the Advisory and Distribution Activities led by Maria Rubio, a principal in the Madrid office.

The landscape for distribution and advise services in the EU is changing dramatically.  Adapting to the coming modifications will not just be a matter of compliance.  If properly done, it will mean a redefinition of the business model: adaptation to the heightened requirements for distribution of financial products and provision of advisory services that truly recognize clients’ needs and profiles might become a significant competitive advantage in a increasingly crowded market.

"Compliance as a business opportunity is particularly meaningful considering that, beyond the regulatory changes, customers’ perceptions of their relationship with chosen providers of financial services has changed.  Customers’ trust has been punctured by a series of scandals and entities can no longer rely on their clients’ implicit trust," said Rubio. "Rather, that trust has to be won again: demonstrating a clear understanding of clients’ needs, experience and understanding and transparency on the fees charged are essential pillars of that trust."

Regaining customers’ trust is the more important considering not only continuance of business models but the increased litigation risks. Signals indicate that the EU may soon put in place regulations that will allow for collective redress. In this context, distributors of financial instruments and providers of advice may face an increased reputational risk and the threat of financial damages.”

Baker & McKenzie in both Switzerland and Spain have among the largest Wealth Management practices in their respective countries.

Baker & McKenzie Madrid financial services practice is headed by Maria Rubio and is composed of seven associates and local partners.

For any questions about this press release, please contact:

Stephanie Jarrett ( +41 22 707 982)
Marnin Michaels ( +41 44 384 1208)
Maria Rubio ( +34 (91) 230 45 33)
For further information, please contact:
 
Senior Manager, Communications, EMEA
+44-20 7919 1731
 
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