Qi Qi Dong January 21, 2022
The Financial Conduct Authority (FCA) has issued an update regarding the Packaged Retail and Insurance-based Investment Products (PRIIPs) Regulation, specifically focusing on Article 18 of the Regulatory Technical Standards (RTS). This update follows the extension of the Undertakings for the Collective Investment in Transferable Securities (UCITS) exemption within the PRIIPs Regulation, now extended to December 31, 2026.
Key Points:
- UCITS Exemption Extension: The exemption allows UCITS funds offered to UK retail investors to continue providing a UCITS Key Investor Information Document (KIID) instead of a PRIIPs Key Information Document (KID) until the new deadline.
- Upcoming Amendments: The FCA plans to amend the UK PRIIPs RTS and associated Handbook guidance to reflect this extended exemption period.
- Interim Measures: Until these amendments take effect, the FCA will not enforce action against firms that provide disclosures as follows:
- UCITS schemes supplying a UCITS KIID.
- Non-UCITS retail schemes (NURS) supplying either a NURS-KII document or a PRIIPs KID.
This approach aims to offer clarity and flexibility to firms during the transition period, ensuring compliance with regulatory requirements while accommodating the extended UCITS exemption.
The full statement available from the FCA website: