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MLP introduces new product information sheets

  • Recommendations by the German Federal Ministry for Food, Agriculture and Consumer Protection have been implemented
  • Classification of investments concepts by risk tolerance clearly exceeds legal requirements
Wiesloch, February 16th 2010 - The independent financial services and wealth management consulting company MLP has introduced new product information sheets for financial investments which give customers a fast and easy-to-understand overview of the major characteristics of the different investment concepts. With this move MLP implements the recommendations posted by the German Federal Ministry for Food, Agriculture and Consumer Protection in a sample information sheet. The new standard document complements the information that MLP customers receive in the form of documentation concerning product selection and regular reports on their financial investments.

“This move further increases the transparency for our customers,” comments Gerhard Frieg, Member of the Executive Board at MLP AG responsible for Product Procurement and Management. “The new information sheets lay out the opportunities and risks of the respective investment concept, explaining how each works and clearly detailing the associated fees.”

In the new product information sheets MLP covers all specifications recommended by the Ministry including “product description”, “risk” or “fees”. Since the investment concepts managed by the MLP subsidiary Feri are driven entirely by the customers’ risk propensity, MLP also refers specifically to the respective risk tolerance (value at risk) in addition to the legally stipulated risk categories with these concepts. This figure represents the maximum loss limit that, with a 95 percent probability, will not be exceeded within a one-year period. In addition to the product information sheet customers will also receive a market comment which provides an overview of current trends on the capital markets.

For the coming months MLP plans to introduce comparable product information sheets for all financial products including especially old-age pension provision products.

For more information and example information sheets, please visit
www.mlp-beratungsqualitaet.de (German only). MLP published the ten guidelines for consumer consultation on this internet page last November.