The ESAs have updated the FAQs on the PRIIPs KID to include a number of new questions, including guidance on:
- confirming that the categorisation of a retail investor should follow the MiFID 2 definition and not take account of any national categories of “semi-professional” investor or similar;
- how to categorise credit-linked notes in terms of their MRM calculation;
- calculation of the number of trading periods that compose one year;
- what “rolling” means;
- some specific permitted adjustments to what should otherwise be prescribed text in relation to OTC derivatives;
- how information on MOPs should be provided – for instance, providing the investor with information only on the underlying investment options the investor is actually considering; and
- how to give costs information in a generic KID for a MOP;