Summary of CySEC's Circular C544
Memo #01-2023
CySEC Circular No: C544
Date: 05/01/2023
Subject: Expiry of the extension on the transitional arrangement regarding the obligations to produce Key Information Document for packaged retail and insurance-based investment products (PRIIPs) (In Greek)
Purpose: To inform Regulated Entities that from 01st January 2023 are obliged to draw up KID and provide it to retail investors.
In Summary:
CySEC has issued the Circular C544 (In Greek) on 05/01/2023 to inform the Cyprus Investment Firms (‘CIFs’), Administrative Service Providers (‘ASPs’), UCITS Management Companies (‘UCITS MC’), Internally Managed UCITS, Alternative Investment Management Companies (‘AIFMs’), Internally Managed Alternative Investment Funds (‘AIFs’), Internally Managed Alternative Investment Funds with Limited Number of Persons (‘AIFLNPs’) and Companies with sole purpose the management of Alternative Investment Funds with Limited Number of Persons, that the extension on the transitional arrangement regarding the obligations to produce Key Information Document (KID) for packaged retail and insurance-based investment products (PRIIPs) has expired.
This Circular C544 is issued in continuation to Circular C279 that was issued on 10th August 2018. CySEC notes that Circular C279 and this Circular C544, must be read together.
CySEC reminds the Regulated Entities that the Regulation (EU) No 1286/2014 of the European Parliament and of the Council of 26 November 2014 on key information documents for packaged retail and insurance-based investment products (PRIIPs) (the ‘Regulation’) entered into force on 1st January 2018 and is directly applicable in all Member States.
Article 5 of the Regulation requires manufacturers of packaged retail and insurance-based investment products (PRIIPs), before making a PRIIP available to retail investors, to draw up and publish a key information document (‘KID’).
CySEC notes that, in order to ensure that the need for sufficient time to prepare for the obligation to produce a KID is met, the transitional arrangement was further extended until 31st December 2022, in accordance with the Regulation (EU) 2021/2259 of the European Parliament and of the Council of 15 December 2021 amending Regulation (EU) No 1286/2014 as regards the extension of the transitional arrangement for management companies, investment companies and persons advising on, or selling, units of undertakings for collective investment in transferable securities (UCITS) and non-UCITS.
CySEC informs that, from 1st January 2023, the Regulated Entities that are referred in paragraph 3 and 4 of the Circular C544, shall draw up and publish a key information document (KID) in accordance with the requirements of the Regulation.
CySEC emphasizes that all Regulated Entities should comply with the Regulation and any legislative acts are issued in accordance to it.
The Regulation (EU) No 1286/2014 can be found on the following link: https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32014R1286&from=EN
Read the CySEC Circular C544
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