The Financial Conduct Authority has delayed its policy statement regarding key information documents (KID) to Q1 2022.
While the packaged retail and insurance based investments products regulation (PRIIPs), which requires a KID to be given to an investor before and after the sale of any PRIIPs product, has already been onshored, concerns had been flagged by the regulator in relation to its 2018 call for input and 2019 feedback statement.
As such, the regulator was due to publish its final rules for KIDs in January 2022 but has now delayed the publication to a more vague "Q1 2022".
The regulator confirmed it will include "confirmation of when the rules will take effect and any implementation period".
Chief executive of the Association of Investment Companies Richard Stone welcomed the move, saying the trade body was encouraged by the regulator's decision to "listen to industry concerns and take its time to get the changes to KIDs right".
He added it would give the FCA "breathing space" to consider the best outcome for KIDs in order to help investors make better decisions.
"We hope one option being considered is bringing KIDs' performance disclosures in line with those of UCITS funds," Stone said. "Getting more people involved in investing is a goal which policymakers and the industry share.
"But to make it work, consumers must have confidence in the products they are offered, and this can only happen if they have reliable and accessible information.
"That is something that KIDs do not provide."
