Activities of Kostadinka KUNEVA related to 2017/0143(COD)
Plenary speeches (1)
Pan-European Personal Pension Product (debate) EL
Shadow opinions (1)
OPINION on the proposal for a regulation of the European Parliament and of the Council on pan-European Personal Pension Product (PEPP)
Amendments (115)
Amendment 27 #
Proposal for a regulation
Recital 1
Recital 1
Amendment 31 #
Proposal for a regulation
Recital 1 a (new)
Recital 1 a (new)
(1a) A skilfully reworked redistributive (pay-as-you-go) pension scheme with predefined benefits and tripartite funding continues to be the key to sustainable and acceptable pensions in the EU. However, the long-term sustainability of the redistributive system and the social effectiveness of first-pillar pensions are being systematically undermined by unemployment, flexible or atypical forms of work, demographic shifts and uninsured and undeclared work, as well as austerity policies that are limited to quantitative adjustments (increase in retirement age, increase in the amount of insurance contributions, reduction in pension replacement rates) and the policies adopted by the EU Member States. At the same time, the quantitative adjustments, coupled with a shift from redistributive to funded pension schemes, are merely serving to widen inequalities between pensioners without ensuring the sustainability of pensions.
Amendment 35 #
Proposal for a regulation
Recital 1 b (new)
Recital 1 b (new)
(1b) The supplementary (second-pillar) pension system is also in deep crisis. The destruction of traditional sectors and business activities following the latest financial crisis, the decline of collective bargaining and collective agreements and the investment of a portion of supplementary and occupational pension reserve funds in securities that came crashing down during the last financial crisis has eroded second-pillar assets. However, second-pillar social security benefits, in many countries based on collective agreements between the social partners with bilateral funding from employer and employee contributions, can also continue to be a means of boosting total pension income.
Amendment 41 #
Proposal for a regulation
Recital 2
Recital 2
(2) Personal pensions are important in linking long-term savers with long-term investment opportunities. A larger, European market for personal pensions will support the supply of funds for institutional investors and investment into the real economyIndividual third-pillar personal pension insurance may, under certain circumstances, supplement pension income. A basic prerequisite for this is the existence of a sound and secure system for the supervision and control of individual providers - at both Member State and EU level - to mitigate the risk of losing funds invested in financial securities. Private pensions are only affordable for those with surplus income to save or invest. Therefore they must not and cannot be regarded as a substitute for public pension schemes for the vast majority of workers forced to get by on reduced incomes and faced with high unemployment and poverty, especially in countries where budgetary adjustment programmes have been implemented. At the same time, the increased percentage of unemployed persons facing poverty (48% in the EU, 70.8% in Germany and 48.3% in Greece) would suggest that a growing section of the population will find it impossible to secure any type of pension. It is necessary to strike the right balance between first, second and third-pillar arrangements. Any tax concessions for private pension products must not be at the expense of social security systems that are either publicly guaranteed and funded under the national budget (first pillar) or rely on bilateral funding from employer and employee contributions, providing greater security for workers, given that their sustainability is not totally dependent on market yields.
Amendment 45 #
Proposal for a regulation
Recital 3
Recital 3
Amendment 48 #
Proposal for a regulation
Recital 3 a (new)
Recital 3 a (new)
(3a) The cornerstone of more sustainable first-pillar, second-pillar and occupational pension schemes, which are still limited in scope, should be the implementation of job creation policies and mass employment programmes aimed a tackling unemployment and consolidating the financial resources necessary to provide security for the pensioners of today and tomorrow. The basis of the redistributive pension system is employment, while funded and private pensions schemes rely on returns from financial products and the capital markets.
Amendment 52 #
Proposal for a regulation
Recital 4
Recital 4
Amendment 56 #
Proposal for a regulation
Recital 5
Recital 5
Amendment 57 #
Proposal for a regulation
Recital 6
Recital 6
Amendment 58 #
Proposal for a regulation
Recital 7
Recital 7
Amendment 59 #
Proposal for a regulation
Recital 8
Recital 8
Amendment 60 #
Proposal for a regulation
Recital 9
Recital 9
Amendment 65 #
Proposal for a regulation
Recital 10
Recital 10
Amendment 72 #
Proposal for a regulation
Recital 11
Recital 11
Amendment 78 #
Proposal for a regulation
Recital 12
Recital 12
Amendment 79 #
Proposal for a regulation
Recital 13
Recital 13
(13) Article 114 TFEU allows the adoption of acts both in the shape of Regulations or Directives. The adoption of a Regulation has been preferred as it would become directly applicable in all Member States. Therefore, a Regulation current proposal to create a PEPP, which would, allow a quicker uptake of the PEPP and contribute more rapidly to address the need for more pension savings and investments in the CMU context. Since this Regulation is harmonisiccording to the Commission, help transfer funds from the safety of bank accounts with short maturities into capital market investments, and contribute to worker mobility, will not resolve the problem of European citizens regarding pensions. This is, in fact, a serious bid to streng then core features of the PEPPs, they do not have to be subject to specific national rules, so a Regulation appears better suited than a Directive in this case. On the contrary, the features which are out of the scope of the Regulation (e.g. accumulation phase conditions) are subject to national rules. apital markets by transferring funds from the second pillar - which still has substantial reserves - to high-risk private financial products that provide little by way of security. This is reflected in the dramatic losses sustained by private fund reserves invested in financial products during the 2008 financial crisis. In addition, it is uncertain whether the investments generated by this initiative will remain within the EU.
Amendment 81 #
Proposal for a regulation
Recital 14
Recital 14
Amendment 85 #
Proposal for a regulation
Recital 14 a (new)
Recital 14 a (new)
(14a) The introduction of the PEPP is targeted at a limited number of social categories, primarily mobile professionals whose country of employment frequently changes and to self-employed people in the middle and high income brackets. The proposal, if implemented, will therefore further widen the already substantial pension inequalities, favouring the higher income brackets. At the same time, it will pave the way for pension privatization and the transfer of funding from the second to the third pillar. Instead of legislating in favour of better private pensions for the few, the Commission, following the social shift flagged by the European Pillar of Social Rights, should focus more on underpinning employment policies that will help consolidate pension systems, especially for those in the lower income brackets, workers with precarious, intermittent or zero-hour contracts and seasonal workers.
Amendment 87 #
Proposal for a regulation
Recital 16
Recital 16
Amendment 88 #
Proposal for a regulation
Recital 17
Recital 17
Amendment 89 #
Proposal for a regulation
Recital 18
Recital 18
(18) The competent authorities of the Member States should have at their disposal all means necessary to ensure the orderly pursuit of business by PEPP providers and distributors throughout the Union, whether pursued in accordance with the freedom of establishment or the freedom to provide services. In order to ensure the effectiveness of supervision, all actions taken by the competent authorities should be proportionate to the nature, scale and complexity of the risks inherent in the business of a particular provider or distributor, regardless of the importance of the provider or distributor concerned for the overall financial stability of the market. Investors should be given protection through the introduction of a mechanism for cross-border complaints and claims for damages.
Amendment 90 #
Proposal for a regulation
Recital 19
Recital 19
(19) The pan-European dimension of the PEPP can be developed not only at the level of the provider, through the possibilities for its cross-border activity, but also at the level of the PEPP saveinvestor – through the portability of the PEPP, thus contributing to the safeguarding of personal pension rights of persons exercising their right to free movement under Articles 21 and 45 TFEU. Portability involves the PEPP saveinvestor changing residence to another Member State without changing PEPP providers, whereas the switching of PEPP providers does not necessarily involve a change of residence.
Amendment 92 #
Proposal for a regulation
Recital 20 a (new)
Recital 20 a (new)
(20a) Uniform tax incentives should be provided for individual national investment products so as to avoid creating unfair competition on the national insurance market. Given that, in many countries, tax incentives are not provided for the third pillar, but only, to a certain extent, for collective occupational pension schemes, implementation of the PEPP is not a practical proposition.
Amendment 98 #
Proposal for a regulation
Recital 22
Recital 22
(22) Taking into account the nature of the pension scheme established and the administrative burden involved, PEPP providers and distributors should provide clear and adequate information to potential PEPP savers and PEPP beneficiaries to support their decision-making about their retirementsupplementary private pension benefits. For the same reason, PEPP providers and distributors should equally ensure a high level of transparency throughout the various phases of a scheme comprising pre-enrolment, membership (including pre- retirement) and post- retirement. In particular, information concerning accrued pension entitlements, projected levels of supplementary retirement benefits, risks and guarantees, and costs should be given. Where projected levels of retirement benefits are based on economic scenarios, that information should also include an unfavourable scenario, which should be extreme but plausible.
Amendment 100 #
Proposal for a regulation
Recital 22 a (new)
Recital 22 a (new)
(22a) Detailed information on the nature of the investment product must be provided in a prospectus to be cosigned by the investor prior to the purchase of the new product. The product data contained in the key investor information document must be visible, clearly legible, comprehensible and user-friendly for everyone without exception, including those with disabilities, and intended to provide them with an accurate product description.
Amendment 102 #
Proposal for a regulation
Recital 23
Recital 23
(23) Before joining a PEPP scheme, potential PEPP saveinvestors should be given all the necessary information to make an informed choice.
Amendment 103 #
Proposal for a regulation
Recital 23 a (new)
Recital 23 a (new)
(23a) Investors must be given detailed information about the cost of the product from which they hope to receive additional income. From the first page of the contract, investors must be given an analytical and detailed breakdown of the total cost of the product and in particular: a. entry fee b. administrative costs, c. investment management costs, d. any additional costs.
Amendment 104 #
Proposal for a regulation
Recital 24
Recital 24
(24) In order to ensure optimal product transparency, PEPP manufacturers should draw up the PEPP key information document for the PEPPs that they manufacture before the product can be distributed to PEPP savers. They should also be responsible for the accuracy of the PEPP key information document. The PEPP key information document should replace and adapt the key information document for packaged retail and insurance-based investment products under Regulation (EU) No 1286/2014 of the European Parliament and of the Council33 which would not have to be provided for PEPPs. __________________ 33Regulation (EU) No 1286/2014 of the European Parliament and of the Council of 26 November 2014 on key information documents for packaged retail and insurance-based investment products (PRIIPs), OJ L 352, 9.12.2014, p. 1.
Amendment 106 #
Proposal for a regulation
Recital 25
Recital 25
(25) In order to ensure widespread dissemination and availability of PEPP key information documents, this Regulation should provide for publication by the PEPP manufacturprovider of PEPP key information documents on its website.
Amendment 107 #
Proposal for a regulation
Recital 25 a (new)
Recital 25 a (new)
(25a) Key information documents regarding the product must be provided to the investor in hard copy, drafted in a comprehensible manner at no additional cost, before he or she signs the relevant investment contract.
Amendment 108 #
Proposal for a regulation
Recital 26
Recital 26
(26) Pension product calculators are already being developed at national level. However, in order for the calculators to be as useful as possible to consumers, they should cover the costs and fees charged by the various PEPP manufacturproviders, together with any further costs or fees charged by intermediaries or other parts of the investment chain not already included by the PEPP manufacturproviders.
Amendment 109 #
Proposal for a regulation
Recital 26 a (new)
Recital 26 a (new)
(26a) Investors should be given the possibility - by means of a specific appliance - of calculating provision levels during the decumulation period.
Amendment 110 #
Proposal for a regulation
Recital 27
Recital 27
Amendment 111 #
Proposal for a regulation
Recital 29
Recital 29
(29) PEPP providers should draw up a Pension Benefit Statement addressed to PEPP saveinvestors, in order to present them with key personal and generic data about the PEPP scheme and to ensure continuous information on it. The Supplementary Pension Benefit Statement should be clear and comprehensive and should contain relevant and appropriate information to facilitate the understanding of supplementary pension entitlements over time and across schemes and serve labouinvestor mobility.
Amendment 114 #
Proposal for a regulation
Recital 30
Recital 30
(30) PEPP providers should inform PEPP savers sufficiently in advanceinvestors two years before retirement about their pay-out options. Where the supplementary retirement benefit is not paid out as a lifetime annuity, members approaching retirement should receive information about the benefit payment products available, in order to facilitate financial planning for retirementsupplementary benefits.
Amendment 116 #
Proposal for a regulation
Recital 31
Recital 31
(31) During the phase when supplementary retirement benefits are paid, PEPP beneficiaries should continue to receive information on their benefits and corresponding pay-out options. This is particularly important when a significant level of investment risk is borne by PEPP beneficiaries in the pay- out phase. PEPP beneficiaries should also be informed of any reduction in the level of benefits due, prior to the application of any such reduction, after a decision which will result in a reduction has been taken. As a matter of best practice, PEPP providers are recommended to consult PEPP beneficiaries in advance of any such decision.
Amendment 118 #
Proposal for a regulation
Recital 32
Recital 32
(32) In order to protect adequately the rights of PEPP saveinvestors and PEPP beneficiaries, PEPP providers should be able to opt for an asset allocation that suits the precise nature and duration of their liabilities. Therefore, efficient supervision is required as well as an approach to investment rules that allows PEPP providers sufficient flexibility to decide on the most secure and efficient investment policy, while obliging them to act prudently. Compliance with the prudent person rule therefore requires an investment policy geared to the customers' structure of the individual PEPP provider.
Amendment 119 #
Proposal for a regulation
Recital 33
Recital 33
Amendment 122 #
Proposal for a regulation
Recital 34
Recital 34
(34) This Regulation should ensure an appropriate level of investment freedom for PEPP providers. As very long-term investors with low liquidity risks, PEPP providers are in a position to contribute to the development of the CMU by investing in non-liquid assets such as shares and in other instruments that have a long-term economic profile and are not traded on regulated markets, multilateral trading facilities (MTFs) or organised trading facilities (OTFs) within prudent limits. They can also benefit from the advantages of international diversification. Investments in shares in currencies other than those of the liabilities and in other instruments that have a long-term economic profile and are not traded on regulated markets, MTFs or OTFs should therefore not be restricted, in line with the prudent person rule so as to protect the interest of PEPP saveinvestors and PEPP beneficiaries, except on prudential grounds.
Amendment 130 #
Proposal for a regulation
Recital 38
Recital 38
(38) In view of the long-term retirement objective of the PEPP, the investment options granted to the PEPP savers should be framed, covering the elements which allow investors to make an investment decision, including the number of investment options they can choose from. After the initial choice made upon the subscription of a PEPP, the PEPP saver should have the possibility to modify this choice at reasonable intervals (every five years), so that sufficient stability is offered to providers for their long-term investment strategy whilst at the same time investor protection is ensured.
Amendment 133 #
Proposal for a regulation
Recital 39
Recital 39
Amendment 136 #
Proposal for a regulation
Recital 40
Recital 40
(40) The competent authority should exercise its powers having as its prime objectives the protection of the rights of PEPP saveinvestors and PEPP beneficiaries and the stability and soundness of PEPP providers.
Amendment 137 #
Proposal for a regulation
Recital 42
Recital 42
(42) Transparency of costs and fees is essential to develop PEPP saveinvestors' trust and allow them to make informed choices. Accordingly, the use of non-transparent pricing methods should be prohibited.
Amendment 139 #
Proposal for a regulation
Recital 44
Recital 44
Amendment 141 #
Proposal for a regulation
Recital 46
Recital 46
Amendment 146 #
Proposal for a regulation
Recital 47
Recital 47
(47) In order to find better conditions for their investments, thus also stimulating the competition among PEPP providers, PEPP saveinvestors should have the right to switch providers during the accumulation and the decumulation phases, through a clear, quick and safe procedure.
Amendment 148 #
Proposal for a regulation
Recital 48
Recital 48
(48) The switching process should be straightforward for the PEPP saveinvestor. Accordingly, the receiving PEPP provider should be responsible for initiating and managing the process on behalf of the PEPP saveinvestor. PEPP providers should be able to use additional means, such as a technical solution, on a voluntary basis when establishing the switching service.
Amendment 149 #
Proposal for a regulation
Recital 49
Recital 49
(49) Before giving the authorisation for switching, the PEPP saveinvestor should be informed of all the steps of the procedure necessary to complete the switching.
Amendment 150 #
Proposal for a regulation
Recital 51
Recital 51
(51) In order to facilitate cross-border switching, the PEPP saveinvestor should be allowed to ask the new PEPP provider to provide the PEPP saveinvestor with information giving details of the new PEPP account, preferably within a single meeting with the new PEPP provider.
Amendment 151 #
Proposal for a regulation
Recital 52
Recital 52
(52) PEPP saveinvestors should not be subject to financial losses, including charges and interest, caused by any mistakes made by either of the PEPP providers involved in the switching process. In particular, PEPP saveinvestors should not bear any financial loss deriving from the payment of additional fees, interest or other charges as well as fines, penalties or any other type of financial detriment due to delay in the execution of the switching.
Amendment 152 #
Proposal for a regulation
Recital 53
Recital 53
(53) PEPP saveinvestors should be given the freedom to decide upon subscription of a PEPP about their pay-out choice (annuities, lump sum, or other) in the decumulation phase, but with a possibility to revise their choice once every five years thereafter, in order to be able to best adapt their pay-out choice to their needs when they near retirement.
Amendment 153 #
Proposal for a regulation
Recital 54
Recital 54
(54) PEPP providers should be allowed to make available to PEPP saveinvestors a wide range of decumulation options. This approach would achieve the goal of enhanced take-up of the PEPP through increased flexibility and choice for PEPP saveinvestors. It would allow providers to design their PEPPs in the most cost- effective way. It is coherent with other EU policies and politically feasible, as it preserves enough flexibility for Member States to decide about which decumulation options they wish to encourage.
Amendment 156 #
Proposal for a regulation
Recital 64
Recital 64
(64) In order to detect potential breaches, the competent authorities should have the necessary investigatory powers, and should establish effective mechanisms, to enable reporting of potential or actual breaches. It would also be necessary to introduce cross-border collective redress mechanisms.
Amendment 160 #
Proposal for a regulation
Recital 68
Recital 68
(68) This Regulation should not be understood as obliging Member States to apply to PEPPs the same tax rules as they would apply to comparable personal pension products under their national laws. However, in application of the national treatment principle, stemming from Articles 21 and 45 of the TFEU and interpreted by the Court of Justice of the European Union, it should be possible for a PEPP that is objectively comparable to a personal pension product (PPP) distributed in a given Member State to benefit from the same tax relief granted to the PPP in this Member State, if the PEPP saveinvestor there is subject to tax. This also applies if the PEPP is provided by a provider from another Member State.
Amendment 173 #
Proposal for a regulation
Article 2 – paragraph 1 – point 1 – point b
Article 2 – paragraph 1 – point 1 – point b
(b) has an explicit retirement objectivecould be a supplementary private pension product linked to first and second-pillar pensions while nevertheless excluding the large majority of workers;
Amendment 174 #
Proposal for a regulation
Article 2 – paragraph 1 – point 1 – point d a (new)
Article 2 – paragraph 1 – point 1 – point d a (new)
(da) is a product of questionable security, given its reliance on stock market performances, which may or may not guarantee the issue thereof;
Amendment 177 #
Proposal for a regulation
Article 2 – paragraph 1 – point 2
Article 2 – paragraph 1 – point 2
(2) "pan-European Personal Pension Product (PEPP)" means a long-term savings personal pension product, which is provided under an agreed PEPP scheme by a regulated financial undertaking authorised under Union law to manage collective or individual investments or savings, and subscribed to voluntarily by an individual PEPP saveinvestor in view of retirement, with no or strictly limited redeemability;
Amendment 179 #
Proposal for a regulation
Article 2 – paragraph 1 – point 3 – introductory part
Article 2 – paragraph 1 – point 3 – introductory part
(3) "“PEPP saveinvestor" means: (This amendment applies throughout the text.)
Amendment 187 #
Proposal for a regulation
Article 2 – paragraph 1 – point 9
Article 2 – paragraph 1 – point 9
(9) "Supplementary PEPP retirement benefits" means private benefits paid by reference to reaching,yable subject to returns orn the expectation of reaching, retirement.investment made under the Regulation; These benefits may take the form of payments for life, payments made for a temporary period, a lump sum, or any combination thereof;
Amendment 203 #
Proposal for a regulation
Article 2 – paragraph 1 – point 20
Article 2 – paragraph 1 – point 20
(20) "“compartment" means a section which is opened within each individual PEPP account and which corresponds to the legal requirements and conditions for using incentives fixed at national level for investing in a PEPP by the Member State of the PEPP saver'investor’s domicile. Accordingly, an individual may be a PEPP saveinvestor or a PEPP beneficiary in each compartment, depending on the respective legal requirements for the accumulation and decumulation phases;
Amendment 207 #
Proposal for a regulation
Article 2 – paragraph 1 – point 24
Article 2 – paragraph 1 – point 24
(24) "default investment option" means an investment strategy applied when the PEPP saveinvestor has not provided instructions on how to invest the funds accumulating in his PEPP account;
Amendment 211 #
Proposal for a regulation
Article 2 – paragraph 1 – point 28
Article 2 – paragraph 1 – point 28
(28) "PEPP customer" means a PEPP saveinvestor, a prospective PEPP saveinvestor and/or a PEPP beneficiary.
Amendment 214 #
Proposal for a regulation
Article 2 – paragraph 1 – point 28 a (new)
Article 2 – paragraph 1 – point 28 a (new)
(28a) "Biometric risks” means risks associated with longevity, disability and death.
Amendment 218 #
Proposal for a regulation
Article 3 – paragraph 1 – point b
Article 3 – paragraph 1 – point b
(b) where authorised by this Regulation, the provisions of the contract for the provision of a PEPP concluded between a PEPP saveinvestor and a PEPP provider,
Amendment 232 #
Proposal for a regulation
Article 5 – paragraph 1 – point c
Article 5 – paragraph 1 – point c
Amendment 237 #
Proposal for a regulation
Article 5 – paragraph 1 – point e
Article 5 – paragraph 1 – point e
Amendment 239 #
Proposal for a regulation
Article 5 – paragraph 1 – point f
Article 5 – paragraph 1 – point f
Amendment 243 #
Proposal for a regulation
Article 5 – paragraph 2 – point a
Article 5 – paragraph 2 – point a
(a) information on standard contract terms to be proposed to PEPP saveinvestors;
Amendment 284 #
Proposal for a regulation
Article 12 – paragraph 1
Article 12 – paragraph 1
1. The portability service allows PEPP saveinvestors to continue contributing to the PEPP which they have already contracted with its provider, while changing their domicile by moving to another Member State.
Amendment 285 #
Proposal for a regulation
Article 12 – paragraph 2
Article 12 – paragraph 2
2. In case of using the portability service, PEPP saveinvestors are entitled to retain all advantages and incentives granted by the PEPP provider and connected with continuous investment in the same PEPP.
Amendment 288 #
Proposal for a regulation
Article 13 – paragraph 1
Article 13 – paragraph 1
1. PEPP providers shall provide the portability service to PEPP saveinvestors holding a PEPP account with them and requesting this service.
Amendment 291 #
Proposal for a regulation
Article 13 – paragraph 2
Article 13 – paragraph 2
2. When proposing a PEPP, the PEPP provider or PEPP distributor shall provide potential PEPP saveinvestors with information on which national compartments are immediately available.
Amendment 299 #
Proposal for a regulation
Article 14 – paragraph 1
Article 14 – paragraph 1
Without prejudice to the deadline under Article 13(3), PEPP providers shall ensure that within each individual PEPP account a new compartment could be opened, corresponding to the legal requirements and conditions for using incentives fixed at national level for the PEPP by the Member State to which the PEPP saveinvestor moves.
Amendment 303 #
Proposal for a regulation
Article 15 – paragraph 3
Article 15 – paragraph 3
3. Not later than three months following the reception of the request under paragraph 2, the PEPP provider shall provide the PEPP saveinvestor with complete information free of charge and advice under Chapter IV, Sections II and III regarding the conditions applicable to the new compartment.
Amendment 318 #
Proposal for a regulation
Article 21 – paragraph 1
Article 21 – paragraph 1
All documents and information under this Chapter shall be provided to PEPP customers electronically, provided that the PEPP customer is enabled to store such information in a way accessible for future reference and for a period of time adequate for the purposes of the information and that the tool allows the unchanged reproduction of the information stored, as well as on hard copy, irrespective of whether or not the investor has requested it. Upon request, PEPP providers and distributors shall provide free of charge those documents and information also on another durable medium.
Amendment 323 #
Proposal for a regulation
Article 23 – paragraph 1
Article 23 – paragraph 1
1. Before a PEPP is proposed to PEPP saveinvestors, the PEPP provider shall draw up for that product a PEPP key information document in accordance with the requirements of this Chapter and shall publish the document on its website.
Amendment 324 #
Proposal for a regulation
Article 23 – paragraph 1 a (new)
Article 23 – paragraph 1 a (new)
1a. The key information document shall contain a detailed breakdown of : – costs to the investor expressed as a percentage and total amount; – shall be issued in all EU languages; – shall be simple, accessible and comprehensible even to those without financial expertise; – shall be usable by those with impaired vision or hearing or other disabilities; – shall be made available electronically or on hard copy, whether or not this has been requested by the investor; – shall give a detailed breakdown of all investment risks assumed by the investor; – shall indicate the financial investment products with which the product in question may be linked.
Amendment 359 #
Proposal for a regulation
Article 23 – paragraph 4
Article 23 – paragraph 4
4. In addition to the PEPP key information document, PEPP providers and PEPP distributors shall provide potential PEPP saveinvestors with references to any reports on the solvency and financial condition of the PEPP provider, allowing them easy access to this information.
Amendment 362 #
Proposal for a regulation
Article 23 – paragraph 5
Article 23 – paragraph 5
5. Potential PEPP saveinvestors shall also be provided with information on the past performance of investments related to the PEPP scheme covering a minimum of five years, or, where the scheme has been operating for fewer than five years, covering all the years that the scheme has been operating, as well as with information on the structure of costs borne by PEPP saveinvestors and PEPP beneficiaries.
Amendment 370 #
Proposal for a regulation
Article 24
Article 24
Amendment 381 #
Proposal for a regulation
Article 26
Article 26
Amendment 395 #
Proposal for a regulation
Article 27 – paragraph 3 – introductory part
Article 27 – paragraph 3 – introductory part
3. In addition, the PEPP saveinvestor shall be kept informed throughout the term of the contract of any change concerning the following information:
Amendment 397 #
Proposal for a regulation
Article 27 – paragraph 3 a (new)
Article 27 – paragraph 3 a (new)
3a. The concise personalised document shall also set out clearly and conspicuously the product purchase and investment costs incurred by the investor. These shall be indicated on the first page in bold type. (a) entry fee (b) administrative costs, (c) investment management costs.
Amendment 400 #
Proposal for a regulation
Article 28 – paragraph 1 – introductory part
Article 28 – paragraph 1 – introductory part
1. The PEPP Benefit Statement shall include, at least, the following key information for PEPP saveinvestors:
Amendment 402 #
Proposal for a regulation
Article 28 – paragraph 1 – point a
Article 28 – paragraph 1 – point a
(a) personal details of the PEPP saver, name of the PEPP provider, information on pension benefit projections, information on accrued entitlements or accumulated capital, contributions paid by the PEPP saver or any third party and information on the funding level of the PEPP scheme, for which Article 39, paragraphs 1(a), (b), (d), (e), (f) and (h) of Directive 2016/2341/EU shall be applied, where the "member" means the PEPP saveinvestor, the "IORP" means the PEPP provider, the "pension scheme" means the PEPP scheme and "the sponsoring undertaking" means any third party for the purposes of this Regulation;
Amendment 430 #
Proposal for a regulation
Article 33 – paragraph 1 – point d
Article 33 – paragraph 1 – point d
Amendment 436 #
Proposal for a regulation
Article 34 – paragraph 3
Article 34 – paragraph 3
3. All investment options shall be designed by PEPP providers on the basis of proven risk-mitigation techniques which shall ensure sufficient protection for PEPP savers.
Amendment 438 #
Proposal for a regulation
Article 35 – paragraph 1
Article 35 – paragraph 1
The PEPP saveinvestor shall opt for an investment option upon conclusion of the PEPP contract.
Amendment 440 #
Proposal for a regulation
Article 36 – paragraph 1
Article 36 – paragraph 1
1. The PEPP investor saver shall be able to opt for a different investment option once every five years of accumulation in the PEPP.
Amendment 443 #
Proposal for a regulation
Article 37 – paragraph 1
Article 37 – paragraph 1
1. The default investment option shallproduct must ensure capital protection for the PEPP saver, on the basis of a risk- mitigation technique that must results in a safe investment strategy.
Amendment 447 #
Proposal for a regulation
Article 37 – paragraph 2
Article 37 – paragraph 2
2. Capital protection shall allow the PEPP saver to recoup the depreciated capital invested.
Amendment 448 #
Proposal for a regulation
Article 38 – paragraph 1
Article 38 – paragraph 1
Amendment 452 #
Proposal for a regulation
Article 40 – paragraph 2
Article 40 – paragraph 2
Amendment 456 #
Proposal for a regulation
Article 44
Article 44
Amendment 459 #
Proposal for a regulation
Article 45 – paragraph 1 – subparagraph 1
Article 45 – paragraph 1 – subparagraph 1
PEPP providers shall provide a switching service transferring, upon a request of the PEPP saver, any positive balance from a PEPP account held by the investor with the transferring provider to a new PEPP account opened with the receiving provider, with closing the former PEPP account.
Amendment 462 #
Proposal for a regulation
Article 45 – paragraph 2
Article 45 – paragraph 2
2. The PEPP saveinvestor may switch PEPP providers no more frequently than once every five years after conclusion of the PEPP contract.
Amendment 465 #
Proposal for a regulation
Article 46 – paragraph 4 – point b
Article 46 – paragraph 4 – point b
(b) where the transferring PEPP provider does not provide a system for automated redirection of the incoming payments to the PEPP account opened by the PEPP saver with the receiving PEPP provider, stop accepting incoming payments on the PEPP account with effect from the date specified in the authorisation. Member States may require the transferring PEPP provider to inform the PEPP saveinvestor of the reason for not accepting the incoming payments;
Amendment 466 #
Proposal for a regulation
Article 46 – paragraph 4 – point c
Article 46 – paragraph 4 – point c
(fc) transfer the remaining positive balance from the PEPP account to the new PEPP account opened by the investor with the receiving PEPP provider on the date specified in the authorisation;
Amendment 467 #
Proposal for a regulation
Article 46 – paragraph 4 – point d
Article 46 – paragraph 4 – point d
(d) close the PEPP account on the date specified in the authorisation if the PEPP saveinvestor has no outstanding obligations on that PEPP account and provided that the actions listed in points (a), (b) and (c) of this paragraph have been completed. The PEPP provider shall immediately inform the PEPP saveinvestor where such outstanding obligations prevent the PEPP saver’s account from being closed.
Amendment 468 #
Proposal for a regulation
Article 46 – paragraph 5 – subparagraph 1 – introductory part
Article 46 – paragraph 5 – subparagraph 1 – introductory part
Within five working days of receipt of the information requested from the transferring PEPP provider as referred to in paragraph 3, the receiving PEPP provider shall, as and if provided for in the authorisation and to the extent that the information provided by the transferring PEPP provider or the PEPP saveinvestor enables the receiving PEPP provider to do so, carry out the following tasks:
Amendment 469 #
Proposal for a regulation
Article 46 – paragraph 5 – subparagraph 1 – point β
Article 46 – paragraph 5 – subparagraph 1 – point β
(b) inform payers specified in the authorisation of the details of the PEPP saver’s PEPP account with the receiving PEPP provider and transmit to the payers a copy of the PEPP saver’sinvestor authorisation.
Amendment 470 #
Proposal for a regulation
Article 46 – paragraph 5 – subparagraph 2
Article 46 – paragraph 5 – subparagraph 2
If the receiving PEPP provider does not have all the information it needs to inform the payers as referred to in point (b) of the first subparagraph, it shall ask the PEPP saveinvestor or the transferring PEPP provider to provide the missing information.
Amendment 471 #
Proposal for a regulation
Article 46 – paragraph 5 – subparagraph 3
Article 46 – paragraph 5 – subparagraph 3
Where the PEPP saveinvestor chooses to personally provide the information referred to in point (b) of the first subparagraph to the payers rather than provide specific consent in accordance with paragraph 2 to the receiving PEPP provider to do so, the receiving PEPP provider shall provide the PEPP saver with standard letters providing details of the PEPP account and the starting date specified in the authorisation within the deadline referred to in the first subparagraph.
Amendment 472 #
Proposal for a regulation
Article 47 – paragraph 1 – introductory part
Article 47 – paragraph 1 – introductory part
1. Where a PEPP saveinvestor indicates to his PEPP provider that he wishes to open a PEPP account with a PEPP provider located in the same or another Member State, the PEPP provider with which the PEPP saveinvestor holds a PEPP account shall on receipt of such request provide the following assistance to the PEPP saveinvestor:
Amendment 473 #
Proposal for a regulation
Article 47 – paragraph 1 – point b
Article 47 – paragraph 1 – point b
(a) provide the PEPP saveinvestor free of charge with available information about recurring incoming payments to the PEPP saveinvestor’s PEPP account in the previous 13 months;
Amendment 474 #
Proposal for a regulation
Article 47 – paragraph 1 – point b
Article 47 – paragraph 1 – point b
(b) transfer the positive balance remaining on the PEPP account held by the PEPP saveinvestor to the PEPP account opened by the PEPP saveinvestor with the receiving PEPP provider, provided that the request includes full details allowing the receiving PEPP provider and the PEPP saveinvestor’s PEPP account to be identified;
Amendment 475 #
Proposal for a regulation
Article 47 – paragraph 2
Article 47 – paragraph 2
2. If the PEPP saveinvestor has no outstanding obligations on the PEPP account, the PEPP provider with which the PEPP saveinvestor holds that PEPP account shall provide assistance referred to in points (a), (b) and (c) of paragraph 1 of this Article on the date specified by the PEPP saveinvestor, which shall be at least six business days after that PEPP provider receives the PEPP saver’s request unless otherwise agreed between the parties. The PEPP provider shall immediately inform the PEPP saveinvestor where outstanding obligations prevent his PEPP account from being closed.
Amendment 476 #
Proposal for a regulation
Article 48 – paragraph 1
Article 48 – paragraph 1
1. PEPP saveinvestors shall be able to access free of charge their personal information held either by the transferring or by the receiving PEPP provider.
Amendment 477 #
Proposal for a regulation
Article 48 – paragraph 2
Article 48 – paragraph 2
2. The transferring PEPP provider shall provide the information requested by the receiving PEPP provider pursuant to point (a) of Article 46(4) without charging the PEPP saveinvestor or the receiving PEPP provider.
Amendment 480 #
Proposal for a regulation
Article 48 – paragraph 3
Article 48 – paragraph 3
3. The total fees and charges applied by the transferring PEPP provider to the PEPP saveinvestor for the closure of the PEPP account held with it shall be limited to no more than 1,5 % of the positive balance to be transferred to the receiving PEPP provider.
Amendment 483 #
Proposal for a regulation
Article 51 – paragraph 1
Article 51 – paragraph 1
1. In accordance with Article 3, the PEPP conditions related to the decumulation phase shall be determined by Member States unless they are specified in this Regulation; however, the conditions most favourable to the investor must in any case apply.
Amendment 484 #
Proposal for a regulation
Article 51 – paragraph 2
Article 51 – paragraph 2
Amendment 489 #
Proposal for a regulation
Article 52 – paragraph 2
Article 52 – paragraph 2
2. The choice of the form of out- payments for the decumulation phase shall be exercised by PEPP savers upon conclusion of a PEPP contract and can be changed once every five year12 months thereafter during the accumulation phase, if applicable.
Amendment 497 #
Proposal for a regulation
Article 55 – paragraph 1
Article 55 – paragraph 1
1. EIOPA and the competent authority of the PEPP provider shall cooperate with each other and exchange information for the purpose of carrying out their duties under this Regulation. The competent authorities must cooperate with them and with the European institutions.
Amendment 503 #
Proposal for a regulation
Article 62
Article 62