Product oversight and governance
On 10 November 2014, EBA published a consultation paper Draft Guidelines on product oversight and governance arrangements for retail banking products on these guidelines, which require the establishment of internal arrangements for the design, marketing and life cycle maintenance of products and are aimed at ensuring that products are designed to meet interests, objectives and characteristics of the target market.
The guidelines apply to :
- Manufacturers’s internal control functions, identification of the target market, product testing, disclosure, product monitoring, remedial actions and the selection of distribution channel and distributors of retail banking products.
- Distributors’s internal arrangements, identification and knowledge of the target market, and information requirements.
EBA is waiting for comments on all proposals put in this paper by 10 February 2015.