The German Federal Financial Supervisory Authority (BaFin) is introducing new rules increasing transparency for retail investors when trading highly speculative leveraged products.

This is based on a product intervention measure concerning turbo certificates, which will be in effect from June 16, 2026. It affects the marketing, distribution, and sale of these certificates to retail investors residing in Germany.

The background to this product intervention measure is a comprehensive market study conducted by BaFin. This study revealed that three out of four retail investors lose money when trading turbo certificates.

What will change for retail investors?

• Notices regarding turbo certificates will contain a standardized risk warning, for example, in the order form.
• Intermediaries (custodian banks), issuers, and providers of turbo certificates may no longer offer you bonuses or other incentives for trading turbo certificates.
• Before you purchase turbo certificates, you must successfully answer test questions on “basic turbo knowledge” at your custodian bank. You must repeat this test every six months.