19 March 2009
Stockbrokers should not be treated as banks APCIMS warns Turner
Commenting on the Turner review David Bennett, CEO of APCIMS said:
“We welcome Lord Turner’s leadership on tackling banking regulation in the light of the current crisis. This is a necessary initiative which has our full support. We fully agree that banks need to be appropriately regulated to reduce exposure to risk and that needs to happen at global, European and national levels.
“However I am concerned about unintended regulatory spill over into our sector. We want to ensure that any reforms applying to regulated firms are appropriate and proportionate.
“Unlike banks the stock broking and wealth management firms who are members of APCIMS do not act as market makers, liquidity providers, deposits takers or lenders. The activities of our members do not give rise to systemic risk to the financial system and the risks associated with our members’ business models are different from banks.
“Any changes to the regulatory requirements must be focused on the specific risk that is being mitigated and must be appropriate and proportionate – a one size fits all approach treating all regulated firms as banks must be avoided”
- ENDS -
For more information please contact:
Dirk Paterson, Head of Communications, APCIMS
on 020 7448 7100
Mobile: 07944 866 286
Email: dirkp@apcims.co.uk
Notes to editors:
APCIMS
- More than 12 million people in the UK currently invest directly in stocks and shares and other financial instruments to secure their financial futures
- APCIMS represents over 140 firms all over the UK who deal primarily in stocks and shares on behalf of individuals and the institutions in which we have our money
- Around £400 billion of the country’s wealth is under the management of our members
- Our aim is to ensure that the regulatory, tax and other changes across Europe minimize impact on the investment community
- We want to lead the debate on regulation in Europe, with UK regulators and with British parliamentarians to make sure consumers are protected while at the same time our industry flourishes in the Uk