On 24 June 2022, a new Delegated Regulation (EU) 2022/975, which was adopted by the European Commission on 17 March 2022 and relates to the entry into force of certain rules on the Key Information Document (KID) for packaged retail and insurance-based investment products (PRIIPs), was published in the Official Journal (the Delegated Regulation).
The aim of the Delegated Regulation is twofold:
I. It postpones the application of the rules laid down in Delegated Regulation (EU) 2021/2268 (the RTS Delegated Regulation), amending Delegated Regulation 2017/653 (the PRIIPs Delegated Regulation), to 1 January 2023 (instead of the initially foreseen entry into force on 1 July 2022): as a reminder, the RTS Delegated Regulation aims at amending the regulatory technical standards contained in the PRIIPs Delegated Regulation, by inter alia:
- introducing new methodologies to calculate appropriate performance scenarios and associated presentation of these scenarios;
- amending the summary cost indicators as well as the content and presentation of information on the costs of PRIIPs;
- revising the calculation methodology of transaction costs; and
- clarifying rules applicable to multi-option products (so-called MOPs), offering a range of options for investment, notably to identify the products' full cost implications.
II. It prolongs the application of the transitional arrangement contained in Article 14(2) of the PRIIPs Delegated Regulation until 31 December 2022 (instead of 30 June 2022): such article enables PRIIP manufacturers to use the key investor information document drawn up in accordance with Articles 78 to 81 of Directive 2009/65/EC (the UCITS Directive), provided that at least one of the underlying investment options is a UCITS or non-UCITS fund as referred to in Article 32 of Regulation (EU) No 1286/2014 (the PRIIPs Regulation).
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