IA welcomes cost disclosure as EU unveils KID proposals

Will come into force 31 December 2016 if approved

The Investment Association has welcomed EU proposals to publish separate transaction costs and charges in the new Key Information Document (KID).

Yesterday the joint committee of the European Supervisory Authorities (ESAs) - which includes the European Securities and Markets Authority (ESMA), European Insurance and Occupational Pensions Authority (EIOPA) and the European Banking Authority - launched a consultation on the details product providers will need to include in a three-page KID including a breakdown of costs, summary risk indicators and performance scenarios. The aim is to provide EU retail investors with consumer-friendly information to enable them to understand and compare packaged retail and insurance-based products (P...