The European Supervisory Authorities (ESAs) have opened today a call for evidence regarding the PRIIPs (Packaged retail and insurance-based investment products) Regulation.
The input provided will feed into the ESAs’ technical advice to the European Commission on a review of the key information document (KID) for PRIIPs.
The ESAs are requesting information from stakeholders on a range of topics including the practical application of the existing KID such as its use by financial advisors or the use of digital media, the scope of the PRIIPs Regulation and the degree of complexity and readability of the KID.
The call for evidence is open until Thursday, December 16, 2021.
The ESAs also plan to hold a stakeholder event in Q1 2022 before finalising the advice. Further details about this event and how to register will be available in due course.
The call for evidence follows the request from the European Commission of 27 July 2021 concerning multiple aspects of the PRIIPs Regulation.
The request is closely connected to the European Commission’s Capital Markets Union Action Plan and its future strategy for retail investments in Europe. The European Commission’s Capital Market Union (CMU) Action Plan aims to boost market-based financing in the European Union to help chart a return to long-term growth and to finance the green and digital transitions of the continent’s economy. With its strategy for retail investors, the European Commission wants to offer consumers increased investment opportunities and stronger investor protection on the capital markets.
PRIIPs cover a range of products marketed to retail investors such as insurance-based investment products, structured products and derivatives. Due to the variety and complexity of PRIIPs, it is important that consumers have access to comprehensive information about them. Key information documents (KIDs) help provide vital consumer-friendly information about the key features of investment products.