FCA Warns of “Inconsistent” Approach to MiFID II Charges and Disclosure Rules
The UK’s Financial Conduct Authority (FCA) has urged firms to review their compliance with retail customer costs and charges disclosure rules after it raised concerns of “inconsistent approaches”.
In a review of firms’ compliance with the EU’s Packaged Retail and Insurance-Based Investment Products (PRIIPs) regulations and MiFID II disclosure requirements, FCA found that awareness of the rules was generally good, but there were inconsistencies in the way businesses had interpreted the rules. It noted, however, that there was no evidence of deliberate non-compliance.
FCA continues to work with firms and the EU to address concerns about PRIIPs regulations, with summary risk indicators and performance scenarios a particular focus.