Regulations rocked: UK industry argues for realistic labelling

Structured products issuers in Europe are grappling with a raft of regulatory demands for simplified, liquid and transparent products. However, speakers at the Structured Products UK conference in London warned that the important thing is not the level of risk itself, but rather that the risk associated with products is described accurately. Magda Ali and Rebecca Hampson report

A complex new product can end up facing a range of obstacles, as regulators worry that more structures mean there is room for more things to go wrong. Various guidelines and documents are currently being developed or revised by the European Commission - including those concerning packaged retail investment products (Prips) - in an attempt to steer structured products issuers towards a simplified and standardised approach to product development that focuses on risk disclosure, oversight, costs