Who do retrocessions belong to?
The Federal Supreme Court has ruled on numerous occasions that retrocessions belong to customers. Nevertheless, investors at many banks have to waive their rights to these commissions which the bank takes when they broker financial products. This is not only unfair, but can also lead to conflicts of interest. Banks then have a real incentive to recommend products for which they receive the highest commission. At VZ Depository Bank, all retrocessions are returned to investors – which is not the case at many other banks even if they manage their securities accounts themselves.