Thu, Jul 20, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Key Investor Information Document (KID) also coming soon to Switzerland

Wednesday, June 29, 2011

Martin Thommen
Opalesque Industry Update - The Swiss Funds Association SFA welcomes the introduction of the KID in Switzerland, following the Federal Council’s decision to give this the go-ahead at its meeting today.

Under the EU’s UCITS IV Directive, all Undertakings for Collective Investment in Transferable Securities (UCITS) that are publicly marketed in the EU will have to replace their simplified prospectus with the Key Investor Information Document (KID) from 1 July 2011, subject to a one-year transitional period. This standardized information for investors is to be written in readily understandable form and is to comprise no more than two A-4 pages, or three A-4 pages in the case of structured funds.

The KID offers certain improvements compared with the simplified prospectus. In particular, the new synthetic risk and reward indicator will be mandatory, and will express the risk/return profile of a fund as a number between 1 (lower risk/typically lower rewards) to 7 (higher risk/typically higher rewards).

The SFA welcomes the introduction of the KID, and has actively supported the authorities responsible. Only minor amendments are required to the collective investment schemes legislation, and these could be implemented in the Federal Councilʼs Ordinance (CISO). The corresponding amendments to the CISO will enter into force on 15 July 2011. “We would like to thank the authorities involved for dealing with this matter quickly and reaching a prompt decision. Introducing the KID in Switzerland at the same time as in the EU is in the interests of all Swiss and foreign fund promoters who market their UCITS in Switzerland.

This means that they now need only produce a concise information document, which also increases transparency for investors,” explained SFA President Martin Thommen. “The SFA will clarify the further questions relating to technical implementation with FINMA as quickly as possible. We will incorporate the detailed regulations of the EU supervisory authorities on the KID (CESR Guidelines) in the form of SFA self-regulation material, and submit this to FINMA for approval. This will mean that Swiss retail funds can also use a KID in the foreseeable future,” said SFA CEO Dr. Matthäus Den Otter.

Full press release: Source

kb

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Hedge fund manager Crispin Odey says it's now more likely the market will crash[more]

    From Bloomberg.com: Crispin Odey, who made money for a second straight month by sticking to bearish equity bets, said the chance of a market crash is rising as growth slows and the Federal Reserve normalizes interest rates. The credit cycle boosted by loose monetary policy has peaked and there's a w

  2. Little-known cryptocurrency hedge fund seeks $200m in SEC filing[more]

    From Coindesk.com: A little-known, newly established hedge fund is seeking to raise $200m to invest in cryptocurrencies, according to regulatory filings. The bid by Cryptocurrency Fund LP to raise the money was revealed in a Form D submission to the US Securities and Exchange Commission (SEC), dated

  3. FinTech - Bitcoin hedge fund director: ICOs are having a 'eureka' moment, Big data and analytics: Not just for quants anymore, Data breach of a single firm impacts systematic risk (and cost of capital) for the firm's entire sector[more]

    Bitcoin hedge fund director: ICOs are having a 'eureka' moment From Coindesk.com: The director of one of the first bitcoin hedge funds offered praise for initial coin offerings (ICOs) today, arguing in an investor note that the novel fundraising method is already showing signs of

  4. Already above average, Singapore high-networth investors add hedge funds and alternative investments[more]

    Komfie Manalo, Opalesque Asia: An above-average proportion of Singaporean HNW wealth is allocated to alternative investments - the majority of which is held in hedge funds, according to the latest research by ReportLinker. In its report entitled, Wealth in Singapore: HNW Investors 2017

  5. Launches - Crypto boom: 15 new hedge funds want in on 84,000% returns, Crypto madness is striking VCs as Union Square analyst leaves to start new fund[more]

    Crypto boom: 15 new hedge funds want in on 84,000% returns From Forbes.com: With 43 projects raising $1.2 billion in initial coin offerings since May 1, according to Nick Tomaino's The Control, and with stratospheric returns for so many ICOs -- 82,000% for Ethereum, 56,000% for IOTA, 44,