CMF: Guide to standards and general principles for the protection of financial clients

Jun 25, 2021

Yesterday, June 24th, the Commission for the Financial Market (CMF) published a guide that sets out the criteria that regulated entities must follow in their conduct in the market with financial clients. 

Based on the current legal framework and the most strict international standards, 5 general principles were developed to guide companies regarding the best practices expected by the supervisory body. These are: 

  1. Fair treatment
  2. Adequate management of conflicts of interest
  3. Information protection
  4. Transparency in the marketing and advertising of products
  5. Diligent management of claims and presentations

Although the document does not constitute a normative instruction or a supervisory policy of the regulatory entity, its objective is to guide market agents regarding the best practices for safeguarding and protecting the rights of the financial client, in order to promote “trust and strength of the industry ”. 

It is a preamble to the project that considers the future publication of an integrated Market Conduct Supervision Policy (CdM), which will include the application of the current regulatory framework at the CMF process level and which will contain a dimension of regulatory compliance and another on risk management in the conduct of Financial Customer Protection (PCF). 

The feedback from the industry and stakeholders regarding this document is key for the generation of this future policy that will govern the interaction between clients and institutions supervised by the CMF. 

To read the document, here. 

 

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