• Reasons for and objectives of the proposal
In line with the European Commission's objective of "an economy that works for people", and as announced in the 2023 work programme, the Commission is seeking to ensure that the legal framework for retail investments sufficiently empowers consumers, encourages improved and fairer market outcomes and ultimately creates the necessary conditions to grow retail investor participation in capital markets.
In its September 2020 new Capital Markets Union action plan [https://finance.ec.europa.eu/capital-markets-union-and-financial-markets/capital-markets-union/capital-markets-union-2020-action-plan_en], the Commission announced its intention to put forward a strategy for retail investments in Europe, aimed at ensuring that retail investors can take full advantage of capital markets and that they are supported by rules that are coherent across all relevant legal instruments.
The core objective of the Capital Markets Union (CMU) is to ensure that co
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