Misleading scenarios on future performance, lack of engaging and telling product information presented in a clear, comprehensive and not misleading manner, need for harmonized key information documents… these are some of the concerns we expressed, as BETTER FINANCE submitted its comments to the Discussion Paper on Key Information Documents (KIDs) for Packaged Retail Investment and Insurance Products (PRIIPs) designed by the Joint Committee of the European Supervisory Authorities (ESAs).
The ESAs themselves admit that “While retail investment products can help EU citizens in building-up savings and also contribute to capital markets that support economic growth in the EU, currently, essential information about the risks, rewards and costs of investment products can be overly complex, difficult to find, and hard to compare for retail investors across the EU.”
PRIIPs are at the core of the retail investment market. They cover a range of investment products that are marketed to retail investors which, taken together, make up a market in Europe worth up to €10 trillion, a portion we should not underestimate.
Read the BETTER FINANCE Position Paper here.