ESMA’s discussion paper on UCITS ETFs and Structured UCITS |
ESMA considers new requirements
The European Security and Markets Authority (ESMA) published a discussion paper on guidelines for UCITS Exchange-Traded Funds (ETFs) and structured UCITS on 22 July 2011.
The Authority has reviewed the current regulatory regime applicable to such funds and considers that the existing requirements are not sufficient to take account of the specific features and risks associated with these types of funds.
In the discussion paper, ESMA examines the possible measures that could be introduced to mitigate the risk that particularly complex products, which may be difficult to understand and evaluate, are made available to retail investors.
ESMA poses the question as to whether it should include potential limitations on the distribution of certain complex products to retail investors and whether certain UCITS should be considered as ‘complex’.
Read the ESMA discussion paper on the ESMA website.
For further information contact a member of our team.
