|Date||Title / Document / Description||Download|
May 5, 2017
JAC sends letter to EC and ESAs on Key Information Documents
On May 5, 2017, the Joint Associations Committee on Retail Structured Products (JAC) wrote to the European Commission and European Supervisory Authorities highlighting the risk that, due to the amount of language in the Key Information Documents that is prescribed and not applicable to the products being sold, firms may be compelled to stop trading over-the-counter derivatives with retail investors. The letter was supported by ISDA, ICMA and the Swedish Structured Investments Products Association (SPIS).
October 18, 2016
JAC letter to the European Commission on PRIIPs
On October 17, the Joint Associations Committee on Retail Structured Products (JAC) called on the European Commission to delay the application of the PRIIPs Regulation by one year to January 3, 2018 in order to allow proper time for the Level 2 text to be amended, agreed and consulted on, and to align the timing with MIFID II/R. The JAC letter was supported by ISDA, ICMA, the FIA and the GFXD arm of GFMA. The letter focuses on the technical reasons why this is the only viable course of action to safeguard the interests of retail investors and ensure proper market functioning.
September 26, 2016
JAC response to FCA consultation paper on PRIIPS
On September 19, 2016, the Joint Associations Committee on Retail Structured Products responded to the Financial Conduct Authority’s Consultation Paper CP16/18: Changes to disclosure rules in the FCA Handbook to reflect the direct application of the PRIIPs regulation. This JAC response was supported by ISDA, ICMA and GFMA and made several extensive points considered fundamental to the application of the PRIIPs regulation: highlighting the industry’s need for clarity on the scope of the PRIIPs regulation; and the need for tailoring certain of the requirements to accurately reflect the working of certain derivatives considered as PRIIPs and structured products so as not to mislead investors.
June 23, 2016
JAC letter to the EC and ESAs on PRIIPs
On June 23, 2016, the Joint Associations Committee on Retail Structured Products (JAC) called on the European Commission and European Supervisory Authorities to address outstanding and open questions on the packaged retail and Insurance-based investment products (PRIIPs) regulation. This letter, co-signed by ISDA and the Swedish Structured Investments Products Association, covered the key areas of FX forwards in deliverable currencies, generic key information document for over-the-counter derivatives and grandfathering and secondary trading.
June 22, 2016
Joint letter to the Bank of Italy regarding information reporting
On June 22, 2016, the Joint Associations Committee on Retail Structured Products (JAC), along with the International Capital Market Association (ICMA) and ISDA (with the support of the Associazione Italiana Intermediari Mobiliari (ASSOSIM)), wrote to the Bank of Italy with observations and questions relating to the Bank of Italy Circular entitled Information reporting as contemplated in Article 129 of the TUB relating to the issue and offer of financial instruments in Italy. The letter points to critical doubts concerning the interpretation of the Circular, and lists practical questions raised by several banks ahead of the new reporting requirements applicable as of October 1, 2016. Please also see an earlier letter dated July 14, 2014 further down this page.
May 17, 2016
PRIIPs letters from the JAC to the European bodies and response from the European Commission
The JAC held its Spring meeting on April 27, 2016 and discussed its February 17 letter to the European bodies and the response it received from the European Commission in April. Those letters focused on the key issues of scope, territoriality, secondary trading issues and grandfathering, and the possible gold-plating of the PRIIPs regulation. The JAC meeting also brought together various pieces of legislation on product governance and encouraged members to consider the ways in which it could work together to set industry alignment. The letters and materials discussed in the JAC Spring meeting can be found here
February 17, 2016
JAC letters to European Authorities seeking clarity on PRIIPs Regulation
On February 17, 2016, the Joint Associations Committee on Retail Structured Products (JAC) sent two letters above to the European Authorities. The first letter sought to highlight the four very significant issues relating to the scope of the PRIIPs regulation which remained unclear: scope, territoriality, secondary trading issues and grandfathering and gold plating. The second letter sets out the detailed aspects of the regulation and RTS which the JAC felt required clarification prior to implementation.
February 2, 2016
JAC response to the ESMA consultation paper on PRIIPs key information documents
On November 10, the European Securities and Markets Authority (ESMA) published a consultation paper on packaged retail and insurance-based investment products (PRIIPs) key information documents (KIDs). The paper sought to establish regulatory technical standards on the presentation and content of the KID, including methodologies for the calculation and presentation of risks, rewards and costs within the document. ISDA has responded to this paper in partnership with ICMA and our members.
June 1, 2015
JAC responds to FCA thematic review on product development and governance of structured products
On March 5, 2015, the UK Financial Conduct Authority (FCA) published a thematic review on the product development and governance of structured products. Firms need to ensure they design products that have a reasonable prospect of delivering economic value to end clients and promote their features in a clear and balanced way. The thematic review highlights further areas that firms need to work on. Given the firms are replying in detail to the FCA, the Joint Associations Committee’s (JAC) letter focuses on high-level issues.
May 14, 2015
JAC responds to EC consultation on the Prospectus Directive
On February 18, 2014, the European Commission published a consultation paper relating to the review of the Prospectus Directive. The paper sought to identify the needs of prospectus users with regards to scope, form, content, comparability, the approval process, liability and issuers. Feedback was also requested on aspects that unduly hinder access to capital markets, liability and sanctions. The Joint Associations Committee on Retail Structured Products response focuses on the questions that are of particular interest to the structured securities industry.