Netherlands Authority for the Financial Markets


The Netherlands Authority for the Financial Markets is a financial supervisory authority in the Netherlands.
Whereas it is governed under a national framework of accountability, the AFM increasingly implements policies set at the European Union level. It is a voting member of the Board of Supervisors of the European Securities and Markets Authority. It is also a member of the European Systemic Risk Board.

History

The Netherlands Authority for the Financial Markets was set up on 1 March 2002 as the successor to the Securities Board of the Netherlands. As part of the legislation that created the AFM, its responsibilities were greatly expanded to cover all financial products, including savings, investments, loans, insurance and accounting.
The AFM falls under the political responsibility of the Minister of Finance but is an autonomous administrative authority, which means that the AFM operates autonomously based on the powers given by the Minister of Finance.

Responsibilities and operations

The Netherlands Authority for the Financial Markets is the body responsible for regulating behaviour on the financial markets in the Netherlands. This includes regulating the behaviour of all parties involved with the savings, loans, investment and insurance markets. It includes regulating all organisations that provide financial products and those that issue products, including stock exchanges.
The AFM has the following three aims:
  1. making the financial markets more accessible
  2. promoting the smooth operation of the financial markets
  3. promoting confidence in the financial markets.
The public, the business sector and the government all depend on the financial products offered on the various markets for many of their activities. Confidence in the orderly and honest operation of these markets is therefore crucial.
The AFM works in conjunction with the De Nederlandsche Bank which is responsible for prudential regulation in the Netherlands.

Administration

The executive board of the AFM consists of:
  • Laura van Geest
  • Hanzo van Beusekom
  • Jos Heuvelman
Linda Sas is COO since 1 May 2021.

International

With the advent of Euronext stock exchange which is not only located in Amsterdam, but also in Paris, Brussels, London and Lisbon, the AFM works closely with the regulators in those other countries to regulate this cross border stock exchange.
The AFM participates in the International Organization of Securities Commissions, which brings together more than 80 securities regulators from all around the world. In its role as an audit supervisor, AFM is also a member of the International Forum of Independent Audit Regulators.