MEPs vote on fund marketing changes

MEPs in ECON have voted through the proposals for changes to the rules on cross-border investment fund distribution. As part of the vote, they stipulated that marketing communications should be clearly identified as such and should include a detailed note of risks, investors’ rights and redress mechanisms.  On pre-marketing, ECON defined the key point as the need for marketers to tell their Home and any relevant potential Host member state of their intentions to test the waters.

The vote also acknowledged the need to exempt UCITS from the KID requirements for a further two years.