PROFIM finances in crisis

The financial crisis has definitely opened the doors to the independent advice sector. Since the outbreak of the problem with subprime mortgages called subprime in 2007 in the U.S. and spread to the rest of the globe causing the deepest crisis since the Great Depression, the credibility of the banking sector has plummeted PROFIM. Not surprisingly, have been the very entities that have wasted a lot of money to its customers to place products that in many cases, even they understand or do not fit her profile and did so only for its own business needs . "In recent years there has been the epitome of conflict of interest between banks and savings banks and their customers," explains Victor Alvargonzález of PROFIM Cotizalia.com, CEO of the independent advisory firm PROFIM. "What interested them put on a few occasions was what interested the customer." "The atrocities that banks have done in these years have been good to the industry." Historically, investment banks have provided their reports and recommendations on a "free", relatively speaking, because the payment came through their brokers commission PROFIM. But with the dotcom bubble burst, they began to question the quality and impartiality of many of these studies sent by banks to their customers.

To clean this mess, governments and regulators in the system introduced a series of commissions to the client and that's when a large number of independent advisers began to come into play. However, the culture of the financial advisor has not been introduced equally in all countries. While in the Anglo world, especially, has taken some solid roots in society, in Spain is now beginning to emerge, fueled by the plummeting image of Spanish banks and savings banks. "The problem in Spain is that there is a regulatory bottleneck that causes the number of EAFIs be ridiculous," said a Cotizalia.com Salvador Mas, CEO and PROFIM Openfinance. At present, only about 40 firms are registered with these characteristics. "The National Securities Market has problems not only for discharge but no resources to make a control, a follow-up." In this sense "in Spain, unlike other countries, the absence of a large sector of financial advisors, banks have acted arrogant," says Alvargonzález of PROFIM. "From a little old lady placed at an equity fund super aggressive to sell to an investor girl, who could face the risk, a super-conservative background," he touched at the time.

And, according to analyst "In the commercial bank tell the place to be both specific product and has to be done by the commission, which is what weighs PROFIM." A situation that has always been given but so far has not skipped, because when things go well all the products to a greater or lesser extent, are profitable. Thus, the main advantage of independent advice is that not having your own product can work in freedom. But with care, because with the boom of this new financial class have also emerged which have registered as independent advisers who belong to a certain group that does have products that need to place PROFIM. In any case, thanks to the outbreak of the crisis and the difficulties facing the banking sector in Spain, the truth is that the financial advice sector in our country has increased fivefold growth capacity in the last year.