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Sharon Bowles MEP |
Today’s PRIPS vote puts consumers first - comments by Sharon Bowles MEP
Following today's vote on an EU proposal for the development of key information documents for investment products, Sharon Bowles MEP, Chair of the European Parliament's Economic and Monetary Affairs Committee, said:
"Financial products and services are often complex and this can result in confusion and mis-selling to the consumer. The European Parliament has today voted to change all that.
"Consumers will now receive a Key Information Document (KID) with their investment product to help them understand and compare the possible risks and rewards of one product with another. Consumers will also be fully aware of all costs associated with the product through the provision of a disclosure annex alongside a KID.
"With the aim of enhancing the decision-making process for the consumer, Parliament has adopted my proposal for a complexity label, which will signal to consumers whether an investment product contains one of 6 complex criteria or not.
"Finally, I am pleased that today Parliament adopted my proposal for an online fund calculator which will allow investors to check for themselves and to directly compare the information provided to them by fund managers. No hidden costs or charges allowed!"
ENDS