Extension of the UCITS exemption and postponement of the PRIIPs RTS

The European Parliament recently approved an extension of the UCITS exemption, in addition to a six-month postponement of the PRIIPs Regulatory Technical Standards (RTS).  As a result of the decision, all PRIIPs manufacturers — including asset managers, banking institutions, and insurance companies — will need to adopt the revised PRIIPs version by January 01st, 2023.

As the next step, once the Delegated Regulation goes into effect, the ESAs will determine the need for further guidance, such as Questions and Answers (Q&A), to clarify the application of the proposed rules by market participants. In its upcoming retail investment strategy for 2022, the Commission will undertake a comprehensive analysis of the broader review of the PRIIPs Regulation to ensure that retail investors can fully take advantage of capital markets, and those regulations are consistent across institutions. Given this, the Commission plans to launch a public consultation by the Directorate‑General for Financial Stability, Financial Services, and Capital Markets Union (DG FISMA) at the end of April, 2022. This may lead to further changes to the PRIIPs regulation and the related RTS next year.

For more news like this, and to stay on top of regulatory updates, visit Regulatory Watch or join the conversation on LinkedIn.

To access ECON’s proposed text amending the UCITS Directive, please click here.

To access ECON’s proposed text amending the PRIIPs Regulation, please click here.

To access the proposed text amending the PRIIPs Delegated Regulation, please click here.

To access the Annexes to the proposed text amending the PRIIPs Delegated Regulation, please click here.