EC Publishes Guidelines on Key Information Documents for PRIIPs
EC adopted guidelines that will further help providers and distributors of investment products, funds, and investment-insurance policies design their Key Information Document (KID). The guidelines will ensure a smooth implementation of the PRIIPs Regulation (EU Regulation No. 1286/2014) by retail financial services sectors before it enters into application on January 01, 2018.
The KID, introduced by the Regulation on Key Information Documents for Packaged Retail and Insurance-Based Investment Products (PRIIPs), is a standardized and simple document that has the objective of presenting the main features of an investment product in a consumer-friendly manner. This is yet another step by the EC to make today's complex investment environment more understandable for consumers, while increasing their protection, along with their trust in the financial services industry. Looking ahead, the ESAs are preparing Q&As, which will further clarify how the PRIIPs information rules need to be applied to cater for transparency while ensuring that consumers are not overburdened with information not needed in their decision-making. In particular, the Q&As will address a wide range of technical aspects in relation to, for example, derivatives or multi-option products offering to retail investors multiple underlying investment options.
Related Links
Guidelines on KIDs for PRIIPs (PDF)
Keywords: Europe, EC, Insurance, KID, PRIIP, Guideline
Previous Article
FPC Publishes Financial Stability Report in June 2017Related Articles
BIS and Central Banks Experiment with GenAI to Assess Climate Risks
A recent report from the Bank for International Settlements (BIS) Innovation Hub details Project Gaia, a collaboration between the BIS Innovation Hub Eurosystem Center and certain central banks in Europe
Nearly 25% G-SIBs Commit to Adopting TNFD Nature-Related Disclosures
Nature-related risks are increasing in severity and frequency, affecting businesses, capital providers, financial systems, and economies.
Singapore to Mandate Climate Disclosures from FY2025
Singapore recently took a significant step toward turning climate ambition into action, with the introduction of mandatory climate-related disclosures for listed and large non-listed companies
SEC Finalizes Climate-Related Disclosures Rule
The U.S. Securities and Exchange Commission (SEC) has finalized the long-awaited rule that mandates climate-related disclosures for domestic and foreign publicly listed companies in the U.S.
EBA Proposes Standards Related to Standardized Credit Risk Approach
The European Banking Authority (EBA) has been taking significant steps toward implementing the Basel III framework and strengthening the regulatory framework for credit institutions in the EU
US Regulators Release Stress Test Scenarios for Banks
The U.S. regulators recently released baseline and severely adverse scenarios, along with other details, for stress testing the banks in 2024. The relevant U.S. banking regulators are the Federal Reserve Bank (FED), the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC).
Asian Governments Aim for Interoperability in AI Governance Frameworks
The regulatory landscape for artificial intelligence (AI), including the generative kind, is evolving rapidly, with governments and regulators aiming to address the challenges and opportunities presented by this transformative technology.
EBA Proposes Operational Risk Standards Under Final Basel III Package
The European Union (EU) has been working on the final elements of Basel III standards, with endorsement of the Banking Package and the publication of the European Banking Authority (EBA) roadmap on Basel III implementation in December 2023.
EFRAG Proposes XBRL Taxonomy and Standard for Listed SMEs Under ESRS
The European Financial Reporting Advisory Group (EFRAG), which plays a crucial role in shaping corporate reporting standards in European Union (EU), is seeking comments, until May 21, 2024, on the Exposure Draft ESRS for listed SMEs.
ECB to Expand Climate Change Work in 2024-2025
Banking regulators worldwide are increasingly focusing on addressing, monitoring, and supervising the institutions' exposure to climate and environmental risks.