The Financial Conduct Authority (FCA) have published a Policy Statement that sets out how their disclosure requirements will change to reflect the application of the PRIIPs Regulation.
In July 2016 the FCA published CP16/18 setting out how we propose to reflect the Packaged Retail and Insurance-based Investment Products (PRIIPs) Regulation in our Handbook.
This Policy Statement summarises and responds to the feedback to the Consultation Paper. It sets out how disclosure requirements will change to reflect the introduction of the PRIIPs key information document (KID), and sets out final rules and guidance. Given the delayed application of the PRIIPs Regulation, these rules will apply from 1 January 2018, the same day on which the PRIIPs Regulation is expected to take effect.
Who this applies to
This paper will be relevant to most firms that provide, advise on, or sell investments or investment services to the UK retail market. It will also be of interest to firms providing legal, regulatory or compliance support services to firms that provide investments or investment services to the UK retail market.
What you need to do
The PRIIPs Regulation will require persons within its scope to draw up, publish and provide a KID for each PRIIP manufactured. The regulation, and related regulatory technical standards, set out the form and content of the KID.
Firms will need to comply with the directly applicable PRIIPs Regulation and any revised disclosure rules in the FCA Handbook from 1 January 2018.