The Joint Committee of the three European Supervisory Authorities – EBA, EIOPA and Esma – has opened up a debate about the risks and benefits of robo-advisors in financial markets.

The Joint Committee of the three European Supervisory Authorities – EBA, EIOPA and Esma – has opened up a debate about the risks and benefits of robo-advisors in financial markets. 

The interest of regulatory authorities in the use of computer technology to provide automated investment advice to consumers comes as more banks pile into the market, sensing an opportunity to cut costs and take on a new generation of wealth management firms such as Wealthfront, Betterment, Personal Capital, and FutureAdvisor who are already luring away clients with the promise of no-frills, low cost, advisory services.

Steven Maijoor, chair of the joint committee, says: “Financial innovation is important and, at its best, contributes to economic growth. However, this can only be achieved and sustained where consumers have confidence in such innovations.

ECN Review of Crowdfunding Regulation 2014

The second edition of ECN Review of Crowdfunding Regulation 2014 was published in December 2014 by the European Crowdfunding Network. The Report covers the legal frameworks in 30 countries across Europe, the USA, Canada and Israel.
Details of how crowdfunding of all types is treated under national regulation across Europe and beyond can be found in the publication.

A PDF copy of the report can be downloaded here.

The report indicates that we are still far from a single European market for crowdfunding, and could even be further from it a single than last year due to what can only be described as uncoordinated regulatory actions on national levels. ECN believe that they are able to work with its network members and stakeholders to establish guidelines for best practices, but confirms that we need to be realistic about the effect of such guidelines in a highly fragmented European market.

A Research Report on Crowdfunding regulation in Europe issued by European Crowdfunding Network

The European Crowdfunding Network’s report is titled “Review of Crowdfunding Regulation - Interpretations of existing regulation concerning crowdfunding in Europe, North America and Israel”

The report provides in depth cover of the current regulatory approaches to crowdfunding in 29 countries, considering the varying applications of the single market legislation to Crowdfunders across Europe both now and in the foreseeable future. The report also reviews Crowdfunding regulation in North America and Israel.

On 3 October 2013 the European Commission started a public consultation asking for opinions on a (possible) harmonised regulation of Crowdfunding until 31 December 2013.