The BaFin examined online sales documents and adverts for investment products that target retail investors and the websites of investment management firms at the end of 2015 BaFin has identified 74 potential breaches of advertising rules for financial products aimed at retail investors as part of this analysis.

The BaFin wanted to determine whether product providers comply with advertising regulations for financial products and to uncover cases of violations. The analysis, which is designed to improve investor protection, covered 82 investment managers and 162 investment portfolios aimed at retail investors.

BaFin stated it is “encouraging” that 92 per cent of the retail investment portfolios it analysed complied with advertising regulations but notes that it found 74 cases of potential breaches.

The majority of violations affected companies that are not under constant BaFin supervision.

The German regulator identified 13 cases where sales documents were incomplete or where firms failed to properly direct investors to sales documents and essential investor information.

The analysis also uncovered 10 cases where investment managers supplied incomplete or no information on their supervision by BaFin.