PURPOSE: to defer the date of application of Regulation (EU) No 1286/2014 of the European Parliament and of the Council on key information documents for packaged retail and insurance-based investment products.
LEGISLATIVE ACT: Regulation (EU) 2016/2340 of the European Parliament and of the Council amending Regulation (EU) No 1286/2014 on key information documents for packaged retail and insurance-based investment products as regards the date of its application.
CONTENT: the Regulation defers the date of application of Regulation (EU) No 1286/2014 by 12 months, until 1 January 2018.
As a reminder, Regulation (EU) No 1286/2014 requires manufacturers of packaged retail and insurance-based investment products (PRIIPs) to produce a Key Information Document (KID) in order to enhance investor protection and increase transparency in the retail investment market.
On 30 June 2016, the Commission adopted a delegated regulation supplementing Regulation (EU) No 1286/2014 which specifies the presentation and the content of the KID.
On 14 September 2016, the European Parliament objected to the delegated regulation adopted by the Commission and called, together with a large majority of Member States, for a deferral of the date of application of Regulation (EU) No 1286/2014.
A deferral of 12 months will give additional time for those concerned to adhere to the new requirements.
ENTRY INTO FORCE: 24.12.2016.