Identifier: TFG:509
Authors: Calero Maqueda, Héctor
Abstract:
As everyone knows, the marketing of preference shares has caused a major upset in society. We are talking about a financial instrument of a complex nature that does not grant any political right to its holder, perpetual, traded on the secondary market and, in case of bankruptcy of the distributor, the order of priority of payment to their holders will be after that the common and subordinated creditors. Nowadays are governed primarily by la Ley 10/2014, de Ordenación, Supervisión y Solvencia de las Entidades de Crédito, la Ley 24/1988, de 28 de julio, del Mercado de Valores y la Directiva 2004/39/CE, del Parlamento Europeo y del Consejo, de 21 de abril de 2004, sobre mercados de instrumentos financieros. The rise of marketing occurs in 2008. Due to the crisis in the financial sector, this sector entities needed to increase its assets, so they used the savings of their customers and, through the marketing of preference shares, transformed those savings into equity. The main problem is that the placement of this financial instrument was violating all legal requirements. One of them was the duty to provide information to investors and the duty of care required financial institutions themselves. We have to keep in mind that many of the investors didn’t have any knowledge of invest. After this, many investors lost their money invested, so they have gone to court. Courts are giving them the reason estimating error in consent at the time of signing contracts for subscription of preferences shares cause they had contracted a different product than the product that entities had been offered.
Repositori URV