The leading knowledge platform for the financial technology industry
The leading knowledge platform for the financial technology industry

A-Team Insight Blogs

More Uncertainty Around PRIIPs Compliance Deadline

Uncertainty around the compliance deadline for EU regulation Packaged Retail Investment and Insurance Products (PRIIPs) was underlined this week when the European Parliament voted against the Level 2 Regulatory Technical Standards (RTS) supplementing the regulation. PRIIPS is due to take effect on 31 December 2016, but this second vote objecting to the RTS brings the deadline into doubt. The Economic and Monetary Affairs (ECON) Committee of the European Parliament rejected the RTS earlier this month.

In the wake of the European Parliament vote, the Parliament has called on the European Commission to consider postponing the application date of the Level 1 regulation so it doesn’t enter into force without the RTS.

What the Commission will do next is not yet clear. It could adopt new RTS taking into account the objections of the Parliament and take these to a further parliamentary vote next month. Alternatively, it could propose to postpone the level 1 regulation, or it could do nothing. The latter is unlikely, but would lead to no change to the 31 December 2016 deadline as the European Parliament alone cannot initiate a formal delay of the regulation or force the Commission to postpone the date.

Despite the ongoing uncertainty, providers of PRIIPs solutions continue to encourage firms within the regulation’s scope to press on with compliance programmes. Philip Lynch, head of markets, products and strategy at SIX Financial Information, says: “Our message to industry is clear: don’t delay in preparing for PRIIPs. While the parliamentary vote may shed doubt on the implementation timetable, the decision does not change the significant demands that PRIIPs puts on the industry. Even in the event of a delay, compliance pressure is in no way reduced by the vote, particularly because preparing for the arrival of MiFID II already gives firms a full workload during 2017.”

Related content

WEBINAR

Recorded Webinar: Trade surveillance: Deploying monitoring and surveillance capabilities for today’s new normal

Let’s face it: The old ways aren’t coming back. A plethora of challenges brought on by the covid-19 pandemic, coupled with unrelenting market volatility and uncertainty, have pushed financial service firms to look for rigorous monitoring and surveillance solutions to meet the demands of the emerging trading landscape. Working from home (WFH) has increased the...

BLOG

Data Standards Can Be a Challenge, But Also an Opportunity

Data standards are crucial to interoperability across capital markets, can be challenging to implement, and are constantly evolving. Against this backdrop, how can market participants implement and make best use of existing and forthcoming data standards? And how are regulators approaching standardisation? Next week’s A-Team Group webinar, Data Standards – Progress and Case Studies, will...

EVENT

LIVE Briefing: ESG Data Management – A Strategic Imperative

This breakfast briefing will explore challenges around assembling and evaluating ESG data for reporting and the impact of regulatory measures and industry collaboration on transparency and standardisation efforts. Expert speakers will address how the evolving market infrastructure is developing and the role of new technologies and alternative data in improving insight and filling data gaps.

GUIDE

RegTech Suppliers Guide 2020/2021

Welcome to the second edition of A-Team Group’s RegTech Suppliers Guide, an essential aid for financial institutions sourcing innovative solutions to improve their regulatory response, and a showcase for encumbent and new RegTech vendors with offerings designed to match market demand. Available free of charge and based on an industry-wide survey, the guide provides a...