Sustainability-related disclosures (SFDR)

Regulation (EU) 2019/2088 on sustainability-related disclosures (SFDR) is a pillar of the EU sustainable finance agenda. SFDR aims to increase the transparency of financial market participants towards end-investors and contribute to the objective of fighting greenwashing. It lays down sustainability disclosure obligations on the environmental and social impact of an entity’s investment decisions, and requirements on how to present the characteristics of green investment products.

To ensure this new set of rules successfully delivers on its objectives, EFAMA contributes to developing the regulation, as well as assisting members’ implementation efforts. We voice any concerns around the timelines for applying rules, implementation challenges and interpretation issues. Additionally, we provide the industry’s informed views on current risk management frameworks and practices concerning the disclosure of information to end-investors.

Related policy positions

Topic

year

Keywords

Policy Position

EFAMA response to EC CfE ESG ratings and sustainability risks in credit ratings

Distribution ＆ Client Disclosures

Sustainable Finance

EU Taxonomy

Sustainability-related Disclosures (SFDR)

13 June 2022

EFAMA response to EC CfE ESG ratings and sustainability risks in credit ratings

EFAMA welcomes the opportunity to respond to the EC’s targeted consultation on the functioning of the ESG rating market in the EU and on the consideration of ESG factors in credit ratings. Please note that our response covers, at the same time, ESG ratings and ESG data providers, as the demand for ESG “raw” data has been increasing at a steady pace. The use of ESG data has also rapidly shifted from a narrow set of investment products to being prolific across all investment products.

Press Release

Data

Sustainable Finance

EU Taxonomy

Sustainability-related Disclosures (SFDR)

Sustainability reporting (CSRD)

01 December 2021

The European Single Access Point: a powerful tool for investors to assess the ESG performance of companies

EFAMA sees the European Commission’s proposal for the creation of a European Single Access Point (ESAP) as a crucial step in addressing the limited availability and scattered nature of financial and sustainability-related entity information at EU level.

Policy Position

Sustainable Finance

Sustainability-related Disclosures (SFDR)

13 September 2021

IOSCO´s consultation on ESG ratings and data products providers

Given the increasingly important role ESG ratings and data products providers play in investment processes, EFAMA welcomes the increased attention of regulators to this issue. In light of the growing regulatory scrutiny on the ESG characteristics of potential investments, improving the usability and reliability of the ESG ratings and data products is a key priority for the European asset management industry.

EC Consultation on EU Taxonomy Delegated Acts

Press Release

EU Taxonomy

Sustainability reporting (CSRD)

Sustainability-related Disclosures (SFDR)

27 February 2025

Simplification Omnibus reduces regulatory burden while maintaining important sustainability ambitions like double materiality

Yesterday, the European Commission published its first regulatory simplification Omnibus, which aims to reduce the sustainability reporting burden on EU companies through amendments to the Corporate Sustainability Due Diligence Directive (CSDDD), Corporate Sustainability Reporting Directive (CSRD) and EU Taxonomy Regulation. We support this initiative as a positive and necessary step to increase the competitiveness of European companies and reduce regulatory burden, while still maintaining the ambitions of the EU Green Deal.

Positive developments include:

Press Release

Sustainability-related Disclosures (SFDR)

05 February 2024

Financial sector calls for a coordinated approach by regulators when changing sustainable finance disclosures

Joint letter asks European Commission to delay technical changes by supervisors until broader review of SFDR is complete

all news

Related publications

Topic

year

Keywords

Press Release

Sustainability-related Disclosures (SFDR)

30 June 2023

EFAMA’s latest Market Insights shows fluctuations in the SFDR fund market and makes policy recommendations for the future | Issue # 12

EFAMA has released today a new issue of its Market Insights series titled “The SFDR fund market – State of play, latest market developments and outstanding regulatory issues ”.

Publication

Stewardship

Sustainability-related Disclosures (SFDR)

29 November 2022

Infographic | The CSRD Timeline

Key dates for the Corporate Sustainability Reporting Directive

Mandatory European sustainability reporting standards are crucial as insufficient availability of ESG data is a key impediment to realising the full potential of the EU’s sustainable finance regulatory framework. As information preparers under the Sustainable Finance Disclosure Regulation (SFDR), asset managers will undoubtedly benefit greatly from relevant, comparable, reliable and public ESG metrics of companies’ activities and financial risks.

Publication

Sustainable Finance

EU Taxonomy

Sustainability-related Disclosures (SFDR)

17 November 2021

The European ESG market in Q1 2021 – Introducing the SFDR | Market Insights | Issue #7

This report breaks down the size of the European ESG market, reviewing the assets under management of funds using the SFDR (Sustainable Finance Disclosure Regulation) framework.