A KID is pre-contractual information and a stand-alone document, separate from marketing material. It is limited to a maximum of three sides of A4 paper when printed1. It follows a fixed order of headings: what the product is, what are the risks and what could I get in return, what happens if the manufacturer cannot pay out, the costs, the holding period and early withdrawal, how to complain, and other relevant information2.

A KID is a different document from the key investor information document (KIID) that UCITS management companies and others prepare for UCITS investors. Article 32 of the Regulation set a transitional exemption for UCITS management companies and others3. The article that covers this term explains the details.

Notes

  1. Regulation (EU) No 1286/2014 Article 6(1), (2), and (4) (adopted version on legislation.gov.uk). ↩

  2. Regulation (EU) No 1286/2014 Article 8(3) (adopted version on legislation.gov.uk). ↩

  3. Regulation (EU) No 1286/2014 Article 32(1) (adopted version on legislation.gov.uk). ↩