Professional responsibility of financial or investments advisors in Spain II. How to avoid problems, precautions.

As we pointed out in a recent article, unfortunately many people have suffered the consequences of having invested through investment or financial advisors who operate in Spain, many of them in an absolutely illegal, negligent, way.

Needless to say, all those financial advisors like any other professionals who do their job correctly and legally, deserve our respect and recognition.

But, in the same way, that as a lawyer, I understand that we must fight against legal advisers who are not qualified or legally able to give advice in Spain and do not have the necessary knowledge, it is important that everyone and especially those financial advisers who act in a correct way fight against those who do not taking into account that the consequences of their negligent actions, when not illegal, can be very serious.


Precautions, checks and information.

Based on the information published by the National Securities Market Commission (CNMV), we are going to give in this article, especially dedicated to those who have contracted (they had, or perhaps will have) an investment advisor, some basic tips that must be taken into account.


1.-Checks. Any adviser, whether individual or company, able to provide financial or investment advice in Spain legally, must be registered with the CNMV.

Therefore, we advise you to check that this is the case with your advisor. You can do it directly on the website of the CNMV:  (which is in several languages), or you can phone to the telephone number that appears on the website.

This inscription is fundamental for the safety and guarantee of the clients, since the CNMV supervises the advisers registered.


2.-Precaution. Ask and require that all advice, correspondence or recommendations be made in writing, with explanation of the risks, characteristics of the recommendations, etc.

Never sign a document without reading and understanding it in full and confirm that everything that is said corresponds to the reality, ie if you are an investor who does not want a risk product, make sure that this circumstance is reflected on the documents.

If you have doubts do not sign and request a written clarification.


3.-Information. It is very important for your advisor to know your needs, and in order for them to be able to provide you with a correct investment and financial advice, you must inform about knowledge, experience, financial situation, objectives of your investment, etc.

Financial advisors must inform you about all the expenses and costs of their services, and must do it before providing the service. In addition, they must make you a test, to know your situation and circumstances, in order to be able to recommend the products that are suitable for you.


If you want to check that your financial or investment adviser operates legally, if you think that they are not complying with the law, or that they have been negligent, or if their advice has caused you damages (even if this happened some time ago), contact us and we will help you.


The information provided in this article is not intended to be legal advice, but merely conveys general information related to legal issues.


Carlos Baos (Lawyer)

White & Baos

Tel:+34  966 426 185


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