Date: 12th November 2020

The BETTER FINANCE welcomes the proposal put forward by the European Commission to simplify Prospectus disclosure rules for equity issuers in order to stimulate equity financing by companies in need and restore sustainable debt-equity ratios.

We believe that both Capital Markets Union (CMU) and COVID-19 recovery policies should be tailored to attract more EU households to directly invest in the real economy and rebecome the main owner of EU listed companies.

Considering the very low level of confidence non-professional investors have in financial institutions and stock markets, CMU and recovery policies should primarily aim to restore trust and impose a high standard of investor protection.