The European Fund and Asset Management Association (EFAMA) has hailed the publication by the EU of implementing measures on Key Information Documents (KIDs) as “marking the end of a long and complicated legislative debate”.
The level-2 implementing measures for companies that produce or sell packaged retail investment and insurance-based investment products (PRIIPs) were published last week in the Official Journal of the European Union.
EFAMA said in a statement published today that the KIDs for PRIPPs are: “a powerful instrument to ensure that consumers receive the right information before making their investment choices, when it comes to this type of packaged investment products”.
“The PRIIPs regulation has, by and large, set up a good framework to achieve this objective.
“When it comes to the KID Regulatory Technical Standards (RTSs), many of their provisions fulfill the purpose of allowing a practical implementation, but we are discouraged to see that other important provisions simply go against the level 1 objectives.
“We acknowledge that the EU institutions have made efforts to reconcile various views and find workable compromises. Throughout the two-year technical process, the final RTSs have benefited from a number of improvements.
The new regulation will apply from 1 January 2018 and will be reviewed by the end of 2018.
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