About PRIIPs
What are PRIIPs?
PRIIPs is an acronym for “Packaged Retail and Insurance-based Investment Products”.
The new EU regulation represents a cross sector regulatory initiative, aiming at facilitating a standardized information document for most common saving products, including: Insurance backed products (such as unit linked), alternative investment funds, private equity funds, venture capital trusts, unit trusts, structured products, structured deposits and derivatives, among others.
The Purpose of PRIIPs
The premise of the regulation, besides supporting the European single market, is to enhance comparability of these financial products for retail investors - as highlighted in the explanatory works to the proposal of the European Commission - through a standard pre-contractual disclosure that is the same across the various sectors and product types.
The new regulation will first apply for UCITS funds until 31 December 2019. These funds already produce a document named the Key Investor Information Document (KIID), not to be mistaken with the Key Information Document (KID).
The Imminent Challenges
Most of the initial focus of the implementation has been placed on the structure and methodologies used to actually create the KID for PRIIPs, and a key necessary element is now in focus; namely the data collection for the underlying instruments within the package products.
The PRIIPs European Working Group, spearheaded by EFAMA, has exerted a great deal of effort to create a standard set of necessary data, along with data definitions, syntax and a template describing these in detail in order to establish a European standard to ease the burden. Read more and download the templates here.
Even with the standardized data set, there will be enormous challenges in exchanging data and ensuring that all relevant stakeholders have access to the full sets of data in a logical and efficient manner.
The 4 Major Stakeholders
The main groups of stakeholders within the PRIIPs area include the insurance companies and banks who need to produce the KID (Manufacturers), the Product Distributors who need access to PRIIPs data, the Product Issuers who need to get the data in the hands of their investors (Manufacturers) and the Service Providers who are operating as KID producers or data collectors.
The Goal of PRIIPsHub
Our goal is to provide a neutral platform that is a consortium comprised of all 4 of the stakeholder groups. PRIIPsHub strives to work together with any of the stakeholders and create a legitimate European industry utility. PRIIPsHub offers a range of free services that will assist all 3 groups and a series of additional service levels that are subject to a fair annual license for stakeholders who need additional customized services to meet their requirements.
PRODUCT
DISTRIBUTORS
Access PRIIPs data
from product issuers
Place your order to collect or access PRIIPs data & docs from product issuers
PRODUCT
ISSUERS
Make your PRIIPs
data & docs available
Make your PRIIPs data available to PRIIPs Manufacturers
SERVICE
PROVIDERS
Receive PRIIPs
information
Gain access to PRIIPs data from product issuers to help your clients produce their KIDs
MOP + WRAPPED
MANUFACTURERS
Central access
to PRIIPs data
Gain access to external data to create your PRIIPs documents or display external data/documents