The new Regulatory Technical Standards (RTS), submitted by the ESAs to the EU Commission early February and meant to provide detailed rules for implementing the EU PRIIPs Regulation come along with many inconsistencies and technical issues, likely to render the Key Information Documents incorrect, especially in the area of structured products. Moreover, the RTS rules may be subject to a further change after the upcoming PRIIPs level 1 review.
EUSIPA hence pleads for exempting structured PRIIPs from these new RTS.
Heike Arbter, EUSIPA chairwoman says:
“At the retail point of sale, technically insufficient new RTS and such that allow product manufacturers to apply individual methodologies, will render many KIDs incorrect and incomparable. This will have a detrimental effect on the retail customers’ understanding and willingness to invest. In addition, the uncertainty of yet another change to the RTS ruleset in the near term will deter many distributors from engaging with retail customers on future investment opportunities.”
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