Protection of the Investor as a Consumer in Terms of Capital Market Activities

Dr. Hatice Ebru Töremiş*

The recent dominance of capital market activities, especially leveraged transactions, derivatives and crypto assets has increased investor losses. In the book titled “Protection of the Investor as a Consumer in Terms of Capital Market Activities”, firstly, the weakness of the mechanisms provided by the capital market regulations on the protection of the investors’ rights are examined. Secondly, it is revealed that which investors can be considered consumers among investors that are classified as professional and general according to customer classification rules. Finally, the extent to which the consumer protection regulations are able to be applicable to the users of the investment services and activities once regarded as consumer, are put forward. Within this context, for the investors that can be considered consumers, assessments related to applications of regulations on the unfair terms, the defective services and the responsibility for defective services, the distance contracts on financial services, the commercial advertisements and announcements, and the jurisdiction of the consumer courts and the consumer arbitration committee are given.

For the full text of this post in Turkish, please click here.

Key words: Capital market activities, investor, consumer, customer classification rules, jurisdiction of consumer courts.

* Chief Legal Counsel, Capital Markets Board of Türkiye.