The financial information leaflet contains detailed information on the product. It also has to include details on the most significant risks. The AFM assesses financial information leaflets after they have been published and once the firm has started selling the financial product. However, some firms have the text of the leaflets checked by the AFM before they start selling the product.
Regulation by the AFM
The AFM keeps a close watch on whether financial enterprises provide good quality information. The AFM can take action if it discovers that a firm is not keeping to the rules in its publicity or advertising. Suchaction takes place afterwards. The AFM does not assess publicity or advertisements before they appear on the radio or television or are published in a newspaper.
Checking the financial information leaflet
Providing general information on financial enterprises
The AFM also provides information for consumers. For example, the AFM provides information on certain financial products in order to ensure that consumers gain confidence in the world of finance. That is why this website contains the text of AFM folders on, for example, borrowing, investing, equity-linked insurance, mortgages and the risk of rising interest rates.
What can you do?
- Ask as many questions as possible and only purchase financial products that you understand.
- Ask for a financial information leaflet if you are thinking of purchasing a complex financial product.
- If you are not provided with proper information you should notify the AFM's Financial Markets Information Line.