It is heartening to see at last some good news on the regulatory front in Europe. It is now widely expected that the European Parliament and Commission will move to postpone the entry in force of the PRIIPs Regulation by 12 months. This will bring the timing in line with MiFID II. If all goes well the “cunning plan” will move the date of application to 31 December 2017.
This avoids the Level 1 law entering in to force on 31 December 2016 without the supporting Level 2 technical standards. The realignment of the PRIIPs and MiFID II timetables makes a more strategic approach to investor protection compliance possible. Many aspects of dealing with PRIIPS-KIDs will be relevant to MiFID II. For firms looking for a holistic approach to achieving efficiencies in the application of these regulations it is good news. It allows a more strategic approach and will result in cost savings as synergies around system integration, API’s and connectivity will reduce the amount of technology resource needed to comply. Some early cheer ahead of the festivities!