Erscheinung:06.06.2025 | Topic Measures Donner & Reuschel Aktiengesellschaft: BaFin imposes administrative fine
On 14 May 2025, BaFin imposed an administrative fine amounting to 110,000 euros on Donner & Reuschel Aktiengesellschaft. In 2021, the company failed to conduct the required review of the target market for a self-designed financial instrument and thus violated its obligations under the German Securities Trading Act (Wertpapierhandelsgesetz – WpHG).
Background information:
Investment services enterprises must review the financial instruments it offers or markets on a regular basis to determine whether there have been changes in the previously identified target market. This review should, for example, address the question of whether the investment services enterprise’s assumptions about the needs and objectives of its end customers are still in line with current conditions on the target market. This is set out in section 80 (10) sentence 1 of the WpHG.
BaFin may impose a fine if a company violates these review requirements under the WpHG. The maximum amount for each fine is EUR 5 million or up to 10% of total revenue.
