The president of the Pan-Slovenian Shareholders' Association (VZMD), Mr. Kristjan Verbič, M.Sc., has received a notice of the Directorate General for Internal Market and Services of the European Commission about his placement on the List of experts who are to be appointed to the Financial Services User Group (FSUG),  and so far Slovenia has not had a representative in FSUG (in the photo, taken at the European Parliament, Mr. Kristjan Verbič with the EU Commissioner for Internal Market and Services Mr. Michel Barnier and EuroFinUse General Manager Mr. Guillaume Prache.) 

FSUG is an influential group, established in 2010 by the European Commission. During its first three-year mandate the group has proved very useful and effective, since it has been of a great assistance to the Commission at many initiatives, and at the same time it has also created its own ideas and projects. Thus, for example, it helped to rationalize and additionally improve the quality of contributions by consumers, small investors and companies when preparing the policy of the Commission in the field of financial services in general.

When being enlisted on the List of experts, Mr. Verbič, received a letter of congratulation sent by the General Manager of the European Federation of Financial Services Users (EuroFinUse), which was, otherwise, already represented in FSUG in the previous mandate.  

TheGeneral Assembly of the European Federation of Financial Services Users(EuroFinUse) took placein Villa Klimt in Vienna on Thursday, and the International Conference entitled The Financial Repression of Savers and Investors", whichwas organised byEuroFinUse and the Austrian Association of Shareholders (IVA), took place on the premises of Vienna Insurance Group on Friday.

This has been 2nd international conference in Vienna which was – after this year's conference of The European Business Angel Network  EBAN 2013 (VIDEO), in the framework of the efforts of the international business-investment VZMD programmes: Invest to Slovenia (investo.si) and International Investors` Network (invest-to.net) – attended by VZMD representatives, and this has also been 2ndEuroFinUse conference of this type, after the one in March, which took place in the European Parliament (VIDEO). 

Pan-Slovenian Shareholders' Association (VZMD) which is among the most active EuroFinUse members – VZMD President Mr Kristijan Verbič is also a member of the executive board – has this time included among the panel speakers a representative of the Slovene Insurance Business, Mr Benjamin Jošar, a member of Triglav Insurance Company d.d.  Management Board.

In the framework of the round-table discussion VZMD President opened a discussion related to the opinion regarding the so called»investors' haircuts« in Slovenia, which could become an example for other countries. He also presented problems concerning theproposal of the Slovene Law Amendment about Banking (ZBan-1L), which is explicitly retroactively and fundamentally encroaching upon the rights of the holders of subordinate bonds of banks. He also emphasized that those preparing and making decisions in this process have said that the adoption of such law is, in spite of all convincing doubts, inevitable, because the European Commission insists on it, and the Commission is not willing to accept any negotiations, let alone allow any indulgence, therefore his debate was intended mostly for the representative of the European Commission for Internal Market and Services, Mr Carlos Marvall. You canwatch his answer and all other events in the EXCLUSIVE VIDEO REPORT by clicking the photo above.

Otherwise VZMD representatives arrived to Vienna from Moscow where, immediately prior to the events in Vienna, the Russian-Slovene Business and Investment Forum took place in the framework of the visit of the Slovene business delegation, on the occasion of the visit of the Foreign Affairs Minister Mr Karel Erjavec to his Russian colleague Mr Sergey Lavrov.  After the attention-grabbing international conference in Vienna, VZMD President departed for the South-African Cape Town, where the international conference Global KEN forum was concluded yesterday. As a EuroFinUse representative and as a representative of the World Federation of Investors (WFI)Mr Verbič presented the possibilities of cooperation in the field of investments, business contacts, research and education, primarily in the perspective of Invest to Slovenia and International Investors' Network programmes.

After this year's successful presentations in Astana, Almaty, Baku, Brussels, Bucharest, Cape Town, Vienna, Kiev, Ljubljana, Madrid,Moscow, New Delhi, Tokyo and Zagreb, VZMD is pleased to invite all who would like to take part in the activities to contact VZMD investo.si programme coordinator by phone 031 770 771, or e-mail tratar@investo.si. 

This year's Global KEN Forum entitled »Promoting Innovation through Education and Research« began yesterday in the South African Cape Town with the opening speeches of the President of the international network Knowledge Economy Network (KEN) dr. Boris Cizelj, and the Minister of Science and Technology of the Republic of South Africa Mr Derek Hanekom.

After successful business meetings within the framework of the business delegation in Moscow, the international conference in Vienna and a business meeting in Dubai, the President of the Pan-Slovenian Shareholders' Association (VZMD) Mr Kristjan Verbič has been, at the invitation of the Ministry of Science and Technology of the Republic of South Africa, visiting Cape Town since Monday. At the Monday's evening reception, organised for the invited guests by the two organizers: International KEN network and the South African Ministry of Science and Technology, Mr Verbič met numerous international participants, and they all attended a meeting with some representatives of the Slovene business community in South Africa, at the invitation of a distinguished Slovene and international businessman Mr Štefan Bogdan Šalej (in the photo above, PHOTO by Michele La Trobe).

After last week's gala dinner in Schönbrunn Palace on Thursday, which took place after the General Assembly of the European Federation of Financial Services Users (EuroFinUse) in Villa Klimt, the International Conference entitled The Financial Repression of Savers and Investors" took place on Friday, and it was organised by EuroFinUse and the Austrian Association of Shareholders (IVA).

Pan-Slovenian Shareholders' Association (VZMD), which is one of the most active EuroFinUse members – VZMD President Mr Kristjan Verbič is also a member of the Board – has this time included among the panel speakers also a representative of the Slovene Insurance Business, Mr Benjamin Jošar, a member of Triglav Insurance Company Management Board, which is - along with 26 other business entities from Slovenia – included in the two international VZMD business-investment programmes: Invest to Slovenia (investo.si) and International Investors` Network (invest-to.net).

The Government of the Republic of Slovenia on Thursday, 10 October 2013, ratified and  communicated, under an emergency procedure, for consideration to the National Assembly of the Republic of Slovenia, the Act Proposal regarding the Banking Law Amendment (ZBan-1L), which was in September in making at the Ministry of Finance of the Republic of Slovenia, and it explicitly retro-actively and drastically affects the rights of subordinate bond holders (hybrid instruments of the core capital, hybrid instruments of the supplementary capital, and non-hybrid instruments of the subordinated debt). It namely enables that these bonds turn into bank shares, or that they are even deleted, although these two possibilities have never been mentioned by the bonds prospects, approved by the Securities Market Agency (ATVP) as the accredited regulator and the regulator in charge. Apart from that, up to now there has never been any legal basis for the above mentioned two possibilities.  On the contrary, in case of many of such bonds the prospect explicitly states that the holder of such bonds can be at a loss only if the issuing bank goes bankrupt.

Although at least two institutions, considered to be competent and therefore invited to prepare the expert opinion, have expressed serious doubts about the ZBan-1L law proposal compliance with the Constitution of the Republic of Slovenia, the Ministry of Finance of the Republic of Slovenia has communicated this Act Proposal to the Government of the Republic of Slovenia, and the Slovenian Government ratified the Act Proposal on its meeting on 10 October 2013, and then communicated the proposal to the National Assembly of the Republic of Slovenia for consideration under an emergency procedure. Different preparers and decision makers in these procedures have emphasized that the adoption of such law is inevitable, in spite of all the well-grounded doubts, because the European Commission insists on it, and it is not willing to accept any negotiations, let alone allow any indulgence. The justification for this law amendment also contains an explanation, namely that the Constitutional Controversy of ZBan-1L - in reference to both: retro-activity, as well as incompatibility with the existing legislation – is plain enough to »pass the rigorous test of proportionality« in front of the Constitutional Court of the Republic of Slovenia. However, it is possible to have well-grounded doubts about this, due to various reasons:

Firstly, property represents a constitutional right, therefore any interference into it is constitutionally controversial.

Secondly, Law in Force regarding Measures of the Republic of Slovenia to Strengthen Bank Stability Act (ZUKSB) already defines measures for ensuring bank stability and the order in which their enforcement is to be carried out. The set of measures as well as the order of their implementation are, according to ZUKSB, completely different from ZBan-1L provisions.

Thirdly, measures anticipated by ZBan-1L are, in relation to their effects, equal to the two central measures of the compulsory settlement proceedings over a debtor company – a partial write-off of creditors' claims, and transformation of creditors' claims into equities of a debtor company. Compulsory Settlement of a Bank is explicitly forbidden in Article 318 of ZBan-1L .

Fourthly, the consequences of such an essential interference into the rights of holders of the instruments of subordinated debts would – contrary to what the authors of the legislation have been claiming, namely that the interference will not have long term system effects – cause an important change in the existing ways of bank financing, and this would be the case for all the Slovenian banks. Issuing instruments of the subordinated debt would thus – after the emergence of the until-then-non-existing risk that these instruments could be deleted or transformed into shares after the Arbitrary Judgement of the Bank of Slovenia, even if the issuing bank is insolvent – become very difficult (most probably even impossible to  carry out in reality, because even before the introduction of this change, banks had to pay to the holders the annual interest rate of 6 – 9% for most subordinate instruments). This would be the consequence for all banks (therefore systemically) and without time limits (therefore long-term as well).

Thoughtless and constitutionally questionable measures on the level of solving EURO crisis do not represent anything new, neither do their cascade annulations at the Constitutional Courts. At the Portuguese Constitutional Court almost half of the measures of the so called »troika« introduced two years ago, have been annulated in the last two years, one of them two weeks ago, retro-active abolition of holiday bonus has not been approved by the Slovenian Constitutional Court as well.

Therefore VZMD's standpoint in this matter is that it would be inevitable to render possible a wide, expert, quality discussion concerning ZBan-1L and – if really necessary – adopt it in an adequately altered form, so that it would not cause additional difficulties and instabilities, or that it will make sense and that it will be realistic, balanced and in accordance with the Constitution. Besides that, Mr Kristjan Verbič is going to tell his colleagues from the European Associations and Institutions about these questionable and problematic proposals and procedures. Mr Verbič will have an opportunity to inform his European colleagues about this situation as VZMD President, as well as a member of the Executive Board of the European Federation of Financial Services Users (EuroFinUse) during the approaching International Conference »The Financial Repression of Savers and Investors«, which will take place on 18 October 2013 in Vienna (please click here FOR APPLICATIONS).

In VZMD we will be striving to achieve protection of rights and interest of investors (also  bond investors), to establish appropriate mechanisms of supervision, regulation and standards, and we will also be trying to strengthen stability and trust into financial and capital markets – it is, namely, about the key factors, also in the perspective of our international business-investment programmes Invest to Slovenia (investo.si) and International Investors` Network (invest-to.net) which brings together 55 national associations of shareholders and investors.

Intense preparations for three successive international events are taking place at the moment In the Pan-Slovenian Shareholders' Association (VZMD), which will actively participate at these events in the framework the two international business-investment programmes: Invest to Slovenia (investo.si) and International Investors` Network (investo.international).

Within the visit of the Slovene business delegation to Russia and Azerbaijan on October 17, VZMD President Kristjan Verbič, MA, will be, together with some representatives of the Russian Association of Investors, attending »Slovene-Russian Business-Investment Forum« in Moscow, where many B2B meetings will also take place. On this occasion VZMD President and his Russian colleagues are going to sign a memorandum about the Slovene-Russian Business-Investment Conference, which is being prepared in Moscow within the framework of the World Federation of Investors (WFI).

After the programme in Moscow is finished, the business delegation is going to depart for Azerbaijan, which was already visited by VZMD team and business delegation in January this year (click on image to play EXCLUSIVE VIDEO NEWS COVERAGE), therefore VZMD representatives are going to head for Vienna, where the International Conference entitled "The Financial Repression of Savers and Investors" will take place. This conference has been organised by the European Federation of Financial Services Users (EuroFinUse), and the Austrian Association of Investment Management Companies. VZMD, which is one of the most active EuroFinUse members, has this time included among the conference panel speakers a representative of the Slovene Insurance Business – Mr. Benjamin Jošar, a board member of Triglav Insurance Company, d.d., which is, along with 26 other Slovene business entities, included in the two VZMD international business-investment programmes. If you would like to participate, you are welcome to submit your applications free of charge HERE.

As a member of EuroFinUse executive committee and as VZMD President, Mr. Verbič, MA, will be, at the invitation of the South-African Ministry of Science and Technology, from October 20 onwards, visiting South-African Cape Town, where he is going to actively participate at the International Conference Global KEN Forum, entitled »Promoting Innovation through Education and Research« (EXCLUSIVE VIDEO NEWS COVERAGE from the last year's KEN forum). Within the forum's framework, VZMD President will also carry out a presentation, and facilitate one of the thematic round-table discussions on the theme of »protection of small shareholders and individual investors.«

As always, suitable provisions will also be made this time, ensuring successful presentations of companies, institutions, and investment projects included in the two VZMD international business-investment programmes.

After this year's successful presentations in Astana, Almaty, Baku, Brussels, Bucharest, Vienna, Kiev, Ljubljana, Madrid, Moscow, New Delhi, Tokyo and Zagreb, VZMD is pleased to invite all who would like to take part in the activities to contact VZMD investo.si programme coordinator by phone 031 770 771, or e-mail This email address is being protected from spambots. You need JavaScript enabled to view it..

All interested parties are welcome to submit their informational-promotional materials intended for presentations in Moscow, Vienna, and Cape Town. The deadline for submission is 1 pm, Friday, 11 October 2013.

The President of the Pan-Slovenian Shareholders' Association Kristjan Verbič, MA, concluded his official meetings in Madrid by visiting one of the most distinguished and influential law firms Cremades & Calvo-Sotelo. Representatives of the World Federation of Investors (WFI) and International Financial Litigation Network (IFLN), on Friday concluded the joint section of both meetings by having gala reception and dinner. On this occasion, more than 40 participants gave speeches, and they presented their activities and views on the possibilities of cooperation. VZMD President stressed, in a memorable speech, an exceptional importance of the parallel WFI and IFLN sessions, and the possibilities of further cooperation between small shareholders and individual investors, on a global as well as on a national level, and he also pointed out that the inclusion of respectable and influential law firms is inevitable. Mr. Verbič expressed his support for implementation of Class Action to European Legislation, because this legal regulation has proved to be effective in the USA and in Netherlands. 

The President of the Pan−Slovenian Shareholders' Association (VZMD),  Kristjan Verbič, MA, attended at the seat of The Central Bank of Spain in Madrid a discussion about the future and relevance of Central Banks in the European Union. At the same time protesters gathered in front of The Central Bank of Spain, and they welcomed the legal action brought by the law firm Cremades & Calvo-Sotelo against The Central Bank, because of fraud against small shareholders, for which Spanish State Bank Bankia is also held responsible.

Between September 24 and 27 an Establishment Congress of the international network of esteemed law firms - International Financial Litigation Network - will take place in Madrid. The President of the Pan-Slovenian Shareholders' Association (VZMD), Kristjan Verbič, MA, is also attending the congress of the newly established network, which is taking place on the initiative of one of the leading and the most esteemed law firms in Spain - Cremades & Calvo-Sotelo. Mr. Verbič is attending the congress in the framework of efforts for protection of shareholders and investors.

VZMD President Kristjan Verbič, MA, welcomed in VZMD (PanSlovenian Shareholders Association) premises Senior Trade Commissioner at the Canadian Embassy in Budapest Mr. Bradwin Niblock who arrived in Ljubljana on Monday, and he attended Tuesday's meeting of business representatives and Slovenian Honorary Consuls – Mr. John Domo, from Toronto, and Mrs. Ginette Gagne Koch from New Insbruck. The possibilities of the economic co-operation, and the programme of the forthcoming visit of the Slovenian delegation to Canada were also presented at this meeting, which was held at the Slovenian Chamber of Commerce.

In the framework of Monday's meeting the high-profile guest became familiar with VZMD efforts and activities, primarily those related to the international business-investment programmes Invest to Slovenia (investo.si) and International Investors` Network (invest-to.net). The two partners in dialogue also discussed the possibilities of presenting the above mentioned programmes in the framework of the Slovenian business delegation's visit to Canada. The Slovenian delegation will most likely visit Toronto and its surrounding area between November 14 and 20, 2103, and it is, among other things, planning to attend Food and Wine Trade Fair »Gourmet Food & Wine Expo Toronto«, and power conference APPrO 2013.