Simplifying Key Features Documents (KFDs)
Legal and regulatory communications designed to help consumers aren’t doing their job. This isn’t new news. The FCA has challenged firms to improve their communications and design with the consumer in mind. The Consumer Duty is in motion. Nevertheless, the FCA’s own regulations and firms’ risk appetite mean that consumers are still being presented with reams of text and complex jargon.
Firms’ communications are putting people off investing. In 2022, TISA’s work with Oxera found that over 70% of people with £5k in a cash savings account didn’t even consider investing in a S&S ISA because they thought it was ‘too risky’. Of those that did try to open an account, between 21% and 24% dropped out of the investing journey when they sought to find out information about S&S ISAs or assess them for their own benefit.
In response, TISA has worked with its members and the University of Nottingham and Amplified Global to design and test three Key Features Documents (KFD). UX and functional design support for the Key Features Document (KFD) prototype was provided by EY-Seren. Each KFD was increasingly shortened and simplified:
This project was delivered in partnership with the University of Nottingham and Amplified Global.
We are grateful to EY-Seren who provided the UX and functional design support for the Key Features Document (KFD) prototype.
TISA and industry partners yesterday launched a wide-ranging Inclusive Investing initiative to make investing more accessible and equitable for all individuals at an event on the Parliamentary Estate, with endorsement from Nadhim Zahawi MP and Lord Vaizey of Didcot.
Building on previous research (available here), TISA aims to counter the broad investment gap which exists in this country. With women, those outside London and people from a wide range of other demographics keeping more of their assets in cash and investing less in Stocks & Shares ISAs.
Carol Knight, CEO at TISA, said: “Financial wellbeing for all is at the heart of TISA’s mission. Statistics show a widespread investment gap, particularly affecting women and minorities as well as residents of UK regions outside London and the South-East. This needs to be urgently addressed.”
