SFDR

Market participants disagree on future fund labelling system but mainly back disclosures for all funds, eliminating entity-level PAIs.

Finalised reforms to delegated regulation switch one proposed mandatory social indicator to voluntary, delete existing voluntary PAI.

Manager says introducing sub-categories for 8 and 9 a better approach, but IEEFA backs reforming SFDR into labelling system.

Industry body proposes abolishing entity-level PAI disclosures, bringing in proposed labelling system in draft consultation response.

Head of sustainable finance Viet-Linh Nguyen speaks with RI on the EU regulatory framework puzzle, greenwashing and 2024 priorities.

The Managed Funds Association calls on financial watchdog to learn from EU, following European Commission's consultation on SFDR regulations.

AFM calls for Article 8 and 9 abolition and proposes three fund labels, as well as mandatory adverse impact reporting for all products.

AFM publishes guidelines on sustainability claims, describing the use of SFDR classifications in product promotion as ‘undesirable’.

EU financial watchdogs see overall improvements in disclosure and supervisory monitoring on PAI indicators but notes ‘incorrect references’ being used by national supervisors in survey responses.

Market participants welcome possible fixes to SFDR woes, but prospect of further compliance changes prompts increasing frustration.