Welcome to
FIAP product insights

After the issuance is completed, we are still in charge of your product and cater to it during our life cycle management: We monitor your product and the PRIIPs key figures on a daily basis, we re-compute MiFID II costs and risks and whenever we detect significant changes that necessitate a new KID document, we automatically create a new KID and distribute the document as well as the relevant product data to the relevant third parties.

The calculation of PRIIPs Key Figures as offered by our FIAP platform includes the following figures:

1. Value at Risk Equivalent Volatility

2. Market Risk Measure

3. Credit Risk Measure

4. Summary Risk Indicator

5. Expected value and yield for a simulated investment of 10,000 EUR for each of the following performance scenarios for both the recommended holding period (RHP) and maturity-dependent for interim holding periods in accordance with the applicable PRIIPs regulation:

   1. Favourable scenario

   2. Moderate scenario

   3. Unfavourable scenario

   4. Stress scenario
      
      

6. Total costs (expressed as an absolute amount and reduction in yield) for each holding period to be delivered as specified above.

7. Cost break-down for the Recommended Holding Period: 

   1. One-Off costs:

      1. entry costs

      2. exit costs
         
         

   2. Recurring costs 

      1. portfolio transaction costs

      2. other ongoing costs 
         

To be compliant with the MiFID II product governance requirements, manufacturers must identify the potential target market for every financial instrument that they offer. Manufacturers must also make sure that each of their offered products remains compliant with the target market criteria that were defined throughout the lifespan of the product.

MiFID II also requires that ex-ante cost estimates and ex-post costs for entry, exit and ongoing costs are calculated. On the FIAP platform, these calculations are performed in accordance with the MiFID II regulatory requirements.

FIAP allows manufacturers to define a set of rules for the allocation of target market categories to every product.

FIAP also allows manufacturers to define validation rules using MiFID key figures as a reference.

The so-allocated MiFID target market information is part of FIAP’s response files, which are then processed and distributed to third parties.

FIAP users also benefit from automated monitoring of potential violations of validation rules. If a violation occurs, it is reported to the customer via the MiFID dashboard and via email. Manufacturers can then use the dashboard for an audit-proof exception handling.

KIDs (Key Information Documents) are produced fully automated via the FIAP platform. 
This includes the following services:

• Set up of KID document templates in the desired languages according to the sample KID document provided by the customer or based on the official document template for KIDs as laid out in the Regulatory Technical Standards (RTS) in the respective language.

• Automated PRIIPs KID production in the form of unmodifiable PDF files, one for each product and language

• Cloud storage and publication of the latest KID version via static URL

• Daily monitoring of the relevant PRIIPs key figures and performance scenarios to identify “significant changes” and trigger the creation of KID updates, if required

• Audit-proof archiving for KID pdf files

KID documents produced by FIAP are at all times compliant with the Regulatory Technical Standards (RTS).

_{*Not in production yet}

Customers benefit from a legally compliant document skeleton for each language provided by TTMzero that allows them to focus on the descriptive content. The skeleton includes the structure of the KID document, the PRIIPs key figures, and  the wording specified in the Regulatory Technical Standards (RTS). Users producing KIDs in several languages therefore benefit from reduced complexity due to KID templates compliant with current regulations.

KID templates in the KID Template Editor are set up in the customer’s corporate design, including logos, fonts and colors.

The creation and modification process of the templates includes a four-eyes principle (Maker, Checker and Starter roles), audit trail and collaboration functionalities. All change requests are archived and can be accessed at any time.

The Template Editor keeps log files of all changes and provides users with a history of all versions for each template. Changes can thus be traced and downloaded for audit purposes.

The Template Editor allows editing of one document template or multi-document editing of different templates in one editing step. 

Documents can be previewed and downloaded as PDF files.

All this makes creating and editing KID templates easy, cost-efficient and audit-proof.