This text provides an extensive and critical assessment of the current regulatory and supervisory framework of investment services in the European Union (EU) and proposes alternative institutional structures. Trends in financial services at EU level, as well as regulatory and institutional developments at national level, make the focus of this book very timely. It contributes to the debate by making specific suggestions with regard to the institutional structure and the operational sphere of a central pan-European regulator. INDICE Part 1 Why supervise?: the objectives of financial supervision theoretical underpinning the objectives of supervision key principles of financial supervision concluding remarks. Part 2 How to supervise?: Europe and world integration Europe and economic integration European market integration and liberalization the home country principle the institutional design assessment of the home country control principle - effectiveness and efficiency. Part 3 Moving ahead: the case for a European securities regulator structure and operation of the European securities regulator