The EU disclosure obligations under the PRIIPs Regulation came into effect this month. Intended to improve the comparative information for investors, performance scenarios in the Key Information Document (KID) are already causing controversy as being potentially wholly misleading in some circumstances. Asset managers and distributors have to balance compliance with the strict, prescriptive details of the Regulation, with the requirement to produce a KID that is fair, clear and not misleading. Responding to industry concerns about this dichotomy, the FCA has said that it is acceptable for a PRIPs manufacturer to provide explanatory materials to put the calculation in context and to set out their concerns for investors to consider.