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Nov 10, 2016

Eurex

Postponement of the application date of the regulation for Packaged Retail and Insurance-based Investment Products (PRIIPs)

Eurex welcomes the decision reached by EU policy makers to postpone the application date of the regulation for Packaged Retail and Insurance-based Investment Products (PRIIPs) until 1 January 2018. This will allow  for the proper finalization of the necessary details through regulatory technical standards, reduce uncertainty in the market and will enable alignment with other ongoing regulatory initiatives, i.e. MiFID II / MiFIR.

Eurex will continue to support our market participants and customers to ensure compliance with this upcoming regulation. Therefore we will continue a close dialogue with policy makers, regulatory authorities as well as market participants to help to develop a feasible solution.

Background:

The European Commission has decided to delay the application date on the Regulation on Key Information Documents (KIDs) for Packaged Retail and Insurance-based Investment Products (PRIIPs) until 1 January 2018. This reflects concerns of the European Parliament that the proposed rules on KIDs could mislead retail investors in areas like performance. Most of the EU members, including the UK, France, Germany, and Ireland, support the delay. The KID is designed to be a simple document giving key facts to investors in a clear and understandable manner. It not only covers collective investment schemes but also other ’packaged’ investment products offered by banks or insurance companies.