The European Association of Co-operative Banks (EACB) has commented on and welcomed the European Commission’s Proposal for a Regulation on key information documents for investment products.  

The EACB commented that it considers that the scope of the Regulation needs to more clearly define the nature of an investment product and believes that the Regulation should allow the product manufacturer to insert additional information into the KID that enhances the retail investors understanding of the product. In relation to the future risk indicator, the EACB believes that the indicator should not only contain an oversimplified numerical scale but should also provide for a narrative to explain the numerical risk indicator in further detail.