The European Supervisory Authorities (ESAs) are mandated by the Regulation on Key Information Documents for Packaged Retail and Insurance-based Investment Products (PRIIPs Regulation) to develop draft regulatory technical standards (RTS) on the content and presentation of the key information documents (KIDs) for PRIIPs.
The Joint Committee of the ESAs has published a Discussion Paper setting out their initial views of KIDs for PRIIPs. The Discussion Paper includes a series of possible consumer friendly information templates aimed at providing retail investors with clear and comparable information on the key features of PRIIPs, including on what they might gain if they invest, the risks they are taking, and all the costs they will have to incur.
The Discussion Paper is a first step in the ESA’s work in developing the RTS. The deadline for comments on the Discussion Paper is 17 February 2015.
A more technical Discussion Paper is expected to be tabled in the spring next year, followed, after the summer, by a Consultation Paper on the final rules.
The Joint Committee of the ESAs is expected to submit the RTS to the European Commission at the beginning of 2016 and the new KIDs will start to be used at the end of 2016.