WFE Urges EU to Prioritize Growth-Oriented Reforms Over Structural Supervision in Savings & Investment Union

The World Federation of Exchanges (WFE) has responded to the European Commission's consultation on the Savings and Investment Union (SIU), advocating for a shift from structural reforms to growth-focused measures. While acknowledging the EC's simplification goals, the WFE warns that a single supervisory authority alone won't stimulate economic growth or attract capital.

Tax regime reforms top the agenda—eliminating transaction taxes, reducing listing costs, and correcting the debt-equity bias could unlock investor participation. Retail and institutional investors need better access to risk management tools like regulated derivatives, coupled with financial literacy programs rather than paternalistic restrictions.

Principles-based regulation must balance market integrity with innovation. The WFE's stance underscores a broader truth: markets thrive under frameworks that incentivize participation, not just compliance.