The executive board of Spain's National Securities Market Commission (CNMV) has agreed to initiate disciplinary proceedings against Deutsche Bank AG for advising Spanish clients on highly complex and high-risk monetary and financial derivatives, notably the so-called Target Profit Fords and Pivot TPF.。

According to the regulator, the act constitutes the revised text of the Spanish Securities Market Act, approved by Royal Decree No. 284 of 23 October 4 / 2015 (hereinafter referred to as LMV)..A very serious violation as defined in Article 1, that is, during the period from January 1, 2018 to March 31, 2021, in a non-incidental or isolated manner violated the due diligence and transparency obligations stipulated in Article 208 of the above-mentioned legal text, and violated its obligations under Articles 209, 210 and 211 and their implementing regulations to disclose information to customers。

During the period from October 1, 2018 to March 31, 2021, Deutsche Bank violated, in a non-incidental or isolated manner, its due diligence and transparency obligations under Section 208 ter of the Securities Act and its implementing rules, as well as its obligation to act in the best interests of its customers, and its conduct is also suspected of constituting Section 283 of the Securities Act..Very serious violations under Article 12。

These disciplinary proceedings were initiated in response to the facts established by the Deutsche Bank Group's internal investigation, and the party against whom the disciplinary proceedings were directed also belongs to the Deutsche Bank Group.。Potential non-compliance with applicable regulations was identified within the scope of structured OTC currency derivatives, especially for Spanish customers。

It is particularly important that marketing or advisory entities of financial instruments must inform investors of the characteristics, operations, risks and costs associated with such products in a balanced, clear, fair and non-misleading manner, especially when the products are very complex; They must always take the best interests of the customer as the starting point and provide customers with product advice that suits their investment needs and objectives, especially their risk profile。