The Dutch Authority for the Financial Markets (AFM) published its 2025 annual report alongside two reports covering the financing challenge for housing foundation repairs and the impact of artificial intelligence (AI) on capital markets, linking these themes to a broader increase in compounding economic, technological and geopolitical risks. The AFM argues that fast-moving shocks are increasingly clustered and reinforcing, requiring financial firms to identify risks more quickly, maintain robust buffers and be prepared for more volatile market dynamics, while supervision will depend on closer cooperation within Europe and regulation that can adapt to persistent uncertainty. Its research on foundation problems estimates that around 500,000 homeowners have vulnerable foundations, that more than 120,000 need repairs with a total cost of EUR 11 billion, and that most cannot pay upfront, with borrowing appearing an irresponsible option for over 25,000 homeowners. In its exploratory AI study, the AFM points to potential benefits such as more efficient price formation and better-informed investment decisions, but warns that greater use of autonomous, self-learning systems can reduce transparency and raise risks of sudden market volatility and new, hard-to-detect forms of market abuse, making human involvement, the ability to intervene and clear accountability key safeguards.

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